Tagged Questions

3
votes
1answer
75 views

Do I have to pay the Internal Revenue Service in West Africa in order to transfer a government check from West Africa to a US bank account?

If you have a government check from West Africa and want to transfer the money to a United States bank, do you have to pay the Internal Revenue Service in West Africa before you can transfer you money ...
3
votes
1answer
252 views

ITIN Application - IRS requesting original passport

I have filed joint tax return for 2012 tax year. My wife is not eligible for SSN (she's on H4 visa) so we included the W7 form (application for ITIN) into the package. This year the rules became more ...
2
votes
2answers
83 views

Is it necessary to file taxes if you've made less than $15,000 for the year?

I'm asking on behalf of a friend, who, last year, worked 5 weeks through a temporary placement agency earning ~$400/week after taxes (~$550/week before taxes), and also worked 6 months at an ...
1
vote
1answer
217 views

Need help with completing a backdoor Roth IRA conversion

I am in need of some advice regarding IRA's, IRS income limits, IRA conversions, etc. Here's the points pertinent to my situation: My wife and I got married this year and will be filing 2012 tax ...
4
votes
1answer
109 views

I live in Brazil, I have no US bank account and received a US Treasury check. How do I get my money?

I'm an US citizen living abroad who has no US bank account and that got a tax refund from the IRS. I have and frequently use a Paypal account, but Paypal accounts for people living outside the US ...
1
vote
2answers
162 views

Is is possible to dispute IRS underpayment penalties?

My wife and I are first-time home-buyers. We misunderstood the concept of mortgage interest deductions and didn't set aside enough taxes throughout the year. When taxes were due, we paid the original ...
2
votes
2answers
544 views

Applicability of W-8BEN form to Indian citizen working in India for subsidiary of a U.S. company?

I am an Indian citizen and employed by a legal entity incorporated in India. The parent company of this legal entity is a U.S. bank. Recently, all employees received a notification that since the ...
6
votes
1answer
232 views

Can I find out what the IRS knows about me?

Is there a way to get your 'history' or 'profile' form the IRS. By this I mean, can I find out what has been reported to them about me by third parties over the years in terms of W-4 forms, 1099 ...
1
vote
3answers
167 views

Filing taxes on stocks

In 2007, my father (now deceased), unbeknownst to me, was trading stocks in a custodial account under my name. He actually ended up losing money on the trades, but he never filed taxes for them. ...
3
votes
0answers
49 views

Can this year's free extension-to-pay be filed electronically? IRS Form 1127

Does anyone know if IRS Form 1127 can be filed electronically? I didn't find mention on their site either way so I presume not. But considering they're pushing to go paperless nowadays like most.... ...
16
votes
2answers
580 views

I haven't filed a return to the IRS in 10 years

My employers have always withheld taxes and for the most part I've assumed they've done it right. I have probably owed a bit some years and been owed a refund some years. Anyhow, I want to get ...
3
votes
1answer
40 views

What special things should I do if I move from one state to another, and if I have reported income from both states to report to the IRS?

Should I just get my parents to mail the IRS forms from my old address to my new address (when the forms finally come), and then everything will be taken care of? Or are there more steps I need to ...
5
votes
2answers
280 views

Tax Loss on Forex Trading

In tax year 2011, I traded in a forex brokerage account in FXCM. I had trading losses. FXCM says that they do not report 1099 for US customers. What is the proper way to report my forex trading ...
3
votes
1answer
922 views

Reporting income - independent contractor, received no 1099

I have some stuff from last year that I want to report, I just don't have the information the IRS forms ask for. I know how much I made and I know what percentage to pay taxes on, but for voluntary ...
2
votes
1answer
58 views

Do I use “Deductions” or “Income (loss)” for my business expenses?

I have a new general partnership that has zero money coming in, but sustained losses for the year. Does these go under "deductions", or under "income (loss)" on the 1065 IRS form? The losses relate ...
0
votes
1answer
33 views

For partnership taxes, is “Part III” of the 1065 Schedule K1 form required?

On Schedule K-1 (Form 1065), I'm confused on whether I fill out the "Part III" section. In the instructions from the IRS (page 24, last paragraph on page forward), it is unclear to me on whether it ...
3
votes
1answer
312 views

Clarification of “First Year Choice” in IRS pub. 519, U.S. Tax Guide for Aliens?

In IRS Publication 519, on page 9: What is the purpose of "First Year Choice"? I mean how would it help a taxpayer? Also in the example if Juan DaSilva is considered resident from Nov 1, 2010 then ...
4
votes
2answers
135 views

Are tax preparers being regularly audited?

I was helping a friend filling the tax forms the other day, and he offered to pay for my time helping him. I know that it is illegal to be paid for tax preparation without a California license and IRS ...
1
vote
1answer
65 views

Pay back the 2008 First-Time homebuyers credit with a certain amount?

I repaid 500 on 2010 Tax return for the 2008 First-Time Homebuyers credit, but do I have to pay 500 on each return or just make sure it is paid of within 15 years. For example, can I chose to pay 0 ...
6
votes
1answer
168 views

What are the potential penalties for filing an erroneous tax return, if I amend the return immediately?

In prior years, my school partnered with a certain accounting firm to provide us with 1098-Ts. Up until November of 2011, I was receiving emails from them mentioning this service. In January, their ...
8
votes
2answers
333 views

How to treat blog income for tax purposes & report PayPal income to the IRS?

I made a small amount of money for a blog I write, and I'm wondering how to enter it into my tax form. I was paid via PayPal so I have no W-2. (And not reporting it to the IRS is not a viable option.) ...
3
votes
2answers
113 views

What is the significance of the Home Address on the 1040 US tax form?

I lived in two places last year, one inside the US and one outside the US (where I live now), but I wouldn't use either as a permanent mailing address. I've been looking for clarification about what ...
5
votes
1answer
107 views

IRS overpayment interest - Is it interest on what I pay in taxes?

I have seen that the IRS pays overpayment interest rates that seem to range from 3-8%. When I see these rates are they related to what I pay in taxes? I.e. if I vastly overpay my taxes does this mean ...
5
votes
2answers
113 views

Mother owed previous years federal and state taxes at death and probate is closed. Are her children responsible for paying them?

My Mother died with little or no assets. Her only income was SS which ended upon death. Her estate was probated with no claims against it and is basically insolvent. One of the bills she owed were ...
3
votes
1answer
74 views

Lower my tax withholding liability and increasing my net worth

My goal here is to optimize my net worth, not cash on hand. With the understanding that higher net worth makes access to capital easier. So tax deferred options are appealing to me, as long as I can ...
4
votes
1answer
252 views

What's the fastest way to get another copy of a (lost) letter from the IRS requesting additional information?

I recently received a letter from the IRS saying they needed additional information to process my taxes. They need it in 20 days and I somehow lost the letter and I don't remember what the ...
8
votes
2answers
1k views

Does the IRS track every check deposited by me?

Is there a maximum amount limit on exceeding which the tracking starts? Or does each and every check deposited by me gets tracked by IRS for reconciliatory purposes?
5
votes
6answers
404 views

What are the negative implications of the 2011 cost basis reporting law?

The United States has a new law requiring brokerages to report the cost basis of sales on IRS Form 1099-B. For stocks purchased after January 1, 2011, financial services firms will have to report the ...
7
votes
2answers
371 views

What increases your chance of being audited?

What increases your chances of being audited? Having a home office? Small business? what decreases your chances? Does hiring an accountant do your taxes makes it look more credible to IRS agents?
3
votes
2answers
94 views

Tax implications of re-characterizing a Traditional IRA to a Roth IRA after having taxes filed for the year it was contributed to

I filed my 2010 taxes in February of 2011. In the first week of April 2011, I opened a Traditional IRA account online with Fidelity and contributed the maximum allowable amount of $5000 for the year ...
6
votes
2answers
272 views

What types of ETFs are taxed differently by the IRS?

How does the IRS calculate taxes for ETFs? Until recently, I thought they were taxed the same as stocks, but I recently purchased a gold ETF (IAU) and have to pay a small capital gains tax even though ...
9
votes
3answers
3k views

When do dual citizens (Canadian & American citizenship) need to file U.S. income taxes?

I'm a Canadian-US dual citizen (born in the US to Canadian parents) but I've lived in Canada my whole life (aside from the first 3 weeks). I've never had an American passport or a SSN. I've never ...