User Submitted Tax Questions

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Personal Taxes

If I take retirement money out to pay off HELOC will it count as income?

I am a 69 yo woman, mostly retired. I live in southern california area. my main income is social security benefits. I qualify and receive MediCal. I have a HELOC from 2014. They say it is time to refinance. I am thinking about using retirement funds to pay it off (currently $26,000). It will save me ~$225/m If I take out money from 401k or retirement IRA or other retirement fund to pay off HELOC will it count as reportable income for taxes?

Asked onFriday, June 09, 2023 by Dee
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Personal Taxes

HSA investment k1

I have a k-1 for a HSA and I was not sure if box 1 for ordinary business income or loss should be passed through to sch E as passive income

Asked onThursday, June 08, 2023 by leyna
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Miscellaneous

Form5701C

filed my taxes supposed to get 5701c but haven't gotten it. How can get it

Asked onThursday, June 08, 2023 by Norma
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Home Ownership

Will trust have to pay taxes if Idaho property is sold?

What is the Idaho state tax law for selling real property that is in her trust? The owner is elderly and her income is SS. She has owned property for 47 years.

Asked onThursday, June 08, 2023 by Nancy
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Small Business

Is indirect service a business expense?

I'm starting a membership business where members pay to support specific activities. For example, members might vote to have me go buy ice cream for 100 random people. None of the members get the ice cream, they aren't paying for the ice cream, they are paying for me to go buy the ice cream and give it to other people. So if 100 members pay $5 per month, then I have $500, and let's say I spend $400 on buying and distributing the ice cream, so I have $100 left. Would the $400 be a deductible business expense? So then my profit would be $100 and I would be taxed just on the $100 and not all $500? Note: This isn't what my business actually does, but the model is the same. Because my members pay for my business to do different activities, I want to make sure the cost of the activities (which is the core service my business provides) are deductible business expenses. If I am paid $500 and taxed on $500, but it costs me $400 to produce the activities, then I will lose money.

Asked onThursday, June 08, 2023 by Paula
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Personal Taxes

person tax

Georgia, age 75, single , no debt, ss 22548 (my check), interest income 18,000. will I have to pay taxes for 2023?

Asked onThursday, June 08, 2023 by david
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Home Ownership

What does the IRS need to know about the house I bought my son?

Last year my wife and I bought a small house ($140K) for our disabled son. We paid cash. We pay the real estate taxes and insurance. Our trust, of which we are the trustees, is the owner of our home and this second house. My son pays for the monthly utilities. He does not pay us rent. What does the IRS need to know about this, if anything?

Asked onThursday, June 08, 2023 by Ray
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Personal Taxes

EV Tax Credit

Hi, I have a question about the EV tax credit in the inflation reduction act. Starting in 2024, the $7,500 EV credit is supposed to turn into a point of sale rebate. If i don't have $7.5k in taxes for 2024, will I still be able to use the whole amount, or will I only be able to use what I have in taxes?

Asked onThursday, June 08, 2023 by Sawyer
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Investment and Finance

Powerbank franchising

I am franchising powerbanks and want to know how I will be taxed on the dividends

Asked onWednesday, June 07, 2023 by Coen
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Tax Forms

Do I need to pay personal property tax in DC if I run my small business out of my rental apartment?

I'm filing out the FR-500 to register my LLC in Washington, DC. The form is asking if I will own or hold trust any tangible personal property located or available for use in DC? It says I have to answer yes if my physical address is in the district. My apartment is my business address but I'm wondering if this applies to people who rent?

Asked onWednesday, June 07, 2023 by Camille
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