Unanswered Tax Questions
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Section 121 Capital Gain exclusion from home sale
I am 81 and my wife is 77. We both retired in 2007 and are both on Social Security. We are both healthy with no disabilities. We want to sell our home and move to an independent living retirement center. My question is pertaining to the Section 121 Capital Gains from sale of primary residence. We’ve received conflicting opinions. Previous Home: Purchased in: 2009 Sold: 6/15/2020 Current Home: Purchased: 7/20/2020 Plan to sell on: 10/1/2023 We used the Section 121 exclusion on the sale of our previous home. It has now been slightly over 3 years and we want to use the exclusion on the sale of this home. We have lived in current home over 3 years and it been over 3 years since we used the exclusion on our previous home. My question is can we use use the Section 121 exclusion again on the sale of our current home? Thank you very much, John Blake
Asked Thursday, August 17, 2023 by John B.Sign in to Answer
Joint EIN
Ok, so I’m an independent contractor for a delivery business. I have an EIN. I use my wife’s car as the business card for deliveries(mileage write off). My question is can I do a joint EIN so me and my wife will be partners in my current delivery job I have now? And if so, since you can write off either mileage or vehicle expenses, can I write off mileage, and she write off expenses since we would be partners of the sole proprietor EIN and technically she could write off the expenses for her car since it’s in her name and being used for business purposes?
Asked Thursday, August 17, 2023 by Malik G.Sign in to Answer
Mapquest says I can get a Reimbursement from the IRS for a trip?
I’m taking a trip from Arkansas to Idaho, so I got on Mapquest to look at different routes. Next to my route information is says “IRS Reimbursement: $1620”. What are the qualifications for this reimbursement? Does it have to be work-related or can you claim personal miles? Please explain.
Asked Thursday, August 17, 2023 by Steven S.Sign in to Answer
Side Hustles
I am wondering about taxes for side hustles. If you get a refund from a regular job, how would a side hustle that brings in maybe a couple hundred dollars a month to help with expenses affect your refund? How would you even prepare taxes for this? Any information would be helpful. Thank you!
Asked Wednesday, August 16, 2023 by Denise M.Sign in to Answer
Form 8606
I need to know when to file form 8606. I have a non deductible contribution to an IRA last year.
Asked Wednesday, August 16, 2023 by Rico Y.Sign in to Answer
Form 8995
Form 8985 Section 199a w 2 wages. Is this actual income the party will receive?
Asked Wednesday, August 16, 2023 by MaryAnn T.Sign in to Answer
Closing business in Texas, how do I notify the IRS?
I am closing my small business, sole proprietorship, no EIN #, working as DBA, no employees, keeping supplies to use as a hobby. Filed taxes for business & personal together earlier this year to meet April 15 deadline. Told 2 conflicting answers on how to alert IRS of closing, need confirmation? Also, when I file my 2023 taxes in 2024, do I include my small business one last time marking business will close on tax filing forms? Do I record my 2 small sales for 2023 and any expenses for 2023 at that time? Thank you for your time.
Asked Wednesday, August 16, 2023 by Melissa F.Sign in to Answer
Estate Distributions Questions
Hi, I have personally received an estate distribution from my dad’s estate. But it is a personal check written from the successor trustee’s personal bank account. It is in excess of $10,000. Is it ok to deposit and cash a handwritten check from a personal bank account as an estate distribution or should I request a check from my dad’s estate/trust checking account for the estate distribution? Does an estate payout require filing irs form 8300 or will the Schedule k1 form that will be filed at the end of the year by the Trust be sufficient? Thank you very much for any help or guidance. I’m so confused. Thank you, Camille S
Asked Wednesday, August 16, 2023 by Camille S.Sign in to Answer
Tax
On my self employment account "instacart", all of the money made is directly deposited into my father's bank account he keeps hold of the money. Come next tax season, whom will be responsible for taxing care of owed taxes?
Asked Tuesday, August 15, 2023 by Brayden b.Sign in to Answer
Employee Educational Assistance Plan
multi partner LLC taxed as S-corp wants to implement educational assistance program for tuition. can a partner of the LLC receive these benefits? how should they be paid and where reported on w2?
Asked Tuesday, August 15, 2023 by Ronald K.Sign in to Answer