Questions tagged [income-tax]
This tag is to be used for any question pertaining to an individual's income taxes. If this tag is used, ideally a country-specific tag should also be specified, to indicate which region a question belongs to, as the answer may differ based on the country.
3,455
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How to estimate "estimated" taxes?
I am trying to figure out how to estimate quarterly tax payments. After some wonderful help on this forum, it seems I'll need to do this for my state, but not for the federal government.
From what I ...
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How to calculate super amount?
What is the actual super amount if it is $2000 iclusive super? My friend says $190 is the super amount. I couldn't understand how?
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1
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49
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Roth Conversion using up foreign tax credits before and after expatriation
I'd like to sense-check the following scenario, to make sure I don't do something phenomenally stupid and irreversible. I'm hoping that I've correctly understood what I've read on this site & ...
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2
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49
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Standard deduction when moving to US throughout the year
Consider the following context:
Person A is moving to the US in July of 2022, formerly not tax-liable in the US (non-reisdent alien). They start a regular employment in the US for the remainder of the ...
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Late filing with overwithholding, coupled with unexpected income in more recent years
TL;DR-ish
Can I use any part of my situation to carry forward any amount of refund to next years? It seems so silly to have so much locked up in refunds and then owe penalties when they've had excess ...
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Check a bank legitimate [duplicate]
I would like to know if Habib Union offshore bank is legit. They had ask me to pay income tax ($5250) and IMF registering ($25500) to unlock my account.
And now they asking to pay for IRA Clearance ...
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2
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144
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Can I deduct defaulted Treasury bonds from my taxes owed
I purchase a U.S. Treasury bond. If the government doesn't repay it, may I deduct the face value of the bond from my income tax payment?
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tax filing obligations for class action settlement income of under 10$ (non-resident alien)
I am a non-resident alien having lived in the USA 2017-2019. I received today by postal mail a check for less then $10 due to some class action settlement I had no idea about (apparently my bank ...
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Margin interest deduction carryover when claiming standard deduction
Margin interest is a deductible investment expense on a US 1040 Schedule A as an itemized deduction
Margin interest can be carried over year over year until it is fully deducted
If the standard ...
- 1,231
3
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1
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Can I use capital losses to offset income tax in the UK?
In the US, I am aware of the term called ‘tax loss harvesting’ where capital losses can be used to offset up to $3000 income. Is there a similar method in the UK to do this?
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When must an employer issue a T4A?
I've worked for some companies as a contractor where they have given me no tax slips or pay stubs of any kind. Is this legal? When must a company issue a T4A? I've heard some do it if you earned more ...
- 43
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As an overseas company owner, what are my tax obligations to the UK?
I'm a dual resident of the UK and Country X for tax purposes. I'm not employed in the UK or Country X. However, I have a single company registered in Country X, which has regular income. The income ...
3
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0
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Tax deductible expenses in Canada when moving for work
My husband and I moved for work in Nov. 2022 from Ontario to BC. We own a home in Ontario which has been vacant since (could not be rented due to slow demand in winter time although we had been trying)...
- 175
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2
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Establishing South Dakota Residency: Alternatives to Leasing or Using a Friend's Address
I'm considering relocating to South Dakota due to its advantageous tax environment compared to my current high-tax state. I plan to use a mail-forwarding service for to obtain a South Dakota driver's ...
- 111
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If an Humanitarian Parolee sold property (car, furnitures) from their origin country and have recently move to the US, do they have to pay tax on it?
Let's say a humanitarian parolee from Nicaragua, or Haiti has put their belongings on sale just before they leave for the US, but after 7 weeks in the US those belonging(car, furniture) has been sold, ...
- 103
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1
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IRS Setting up a payment plan
A friend of mine has filed his/her taxes using a paper return with money due. The IRS has yet to process the return. Can my friend setup a payment plan with the IRS now? Should my friend wait for the ...
- 1,378
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J1 visa two year exemption rule
I have been granted a fellowship for a postdoctoral position at a university in the USA starting from September 2023 and with two years duration. The fellowship is from a non-profit European ...
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Are miles driven for business deductible expenses if the travel expenses are reimbursed?
I completed some work for an organization. I was paid as an independent contractor and expect to be issued a 1099. For one part of the work, I was required to travel a significant distance (by car). ...
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1
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In the UK, is it more productive to pay wages into a pension than put money into investments?
I am lucky enough to have a sum of money - about £40k - which I have no particular need or pressure to spend. I had been considering investing it in an index fund but one thing that concerns me is ...
- 1,249
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2
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I overpaid the IRS. Can I ask for a refund or credit next year?
For US federal tax this year, I mistakenly paid more to IRS than the amount I owe. I don't have a way to change the payment.
Is it possible to ask for a refund or credit next year?
Edit: I am owing ...
- 203
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2
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Where to report foreign earned income on 2022 1040 form
In 2021 and earlier (PDF), line 1 of the 1040 form said "Wages, salaries, tips, etc. Attach Form(s) W-2". So I would include foreign earned income in that line (and then deduct it further ...
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0
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41
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Bond interest reported on Box 3 of a 1099-MISC
A friend of mine has a significant amount of variable interest bonds. In certain cases, I believe the issuer could have paid the bond off with stock. His broker reported the interest on these bonds on ...
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Question about taxes on Roth backdoor IRA
Last year say I made $100,000.00 in income through my job (that is the amount on my w2 in box 1). I have a 401k through my job, so I use Roth backdoor IRA, so last year I moved 6000 into a traditional ...
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1
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Does the Section 121 exclusion apply if I demolish and rebuild?
If I purchase a home, live in it for two years, demolish it, and build a new house, can I still claim the Section 121 exclusion? Or does it reset the clock? From this 2010 case, it seems the clock ...
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117
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What Schedule C Health care Expenses can I deduct?
I am helping my daughter do her taxes, and have a question about what deductions are appropriate.
She is on her own, not a dependent anymore but still on my insurance as she's under 26. Her income is ...
0
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1
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24
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H4 visa spouse Taxes : Joint or Separate
I'm working on H1B visa since Oct 2019 in the US and married in 2022. My spouse (on H4 visa) is working in Canada and has income in Canada. She doesn't have any income in the US and has no W2 and SSN/...
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1
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43
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Can my S Corp pay my personal tax liability and can my S Corp be able to deduct the taxes?
I understand S Corps are flow through entities so if I am paying the net income on my personal taxes then can the S Corp pay for the taxes due? Also can the S Corp be able to deduct the taxes paid as ...
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10
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1
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2k
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Would it benefit me to file taxes this year?
Neither my wife or I have worked in over a year. She needed a liver transplant and we left our home in Alaska and moved to the East Coast for better health care. During this entire time my family has ...
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954
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Can I file IRS form 1040 first then wait to pay until the deadline?
Normally I file and pay taxes at the same time.
Is it acceptable to file first, perhaps months before the payment deadline?
I ask because I have a large tax liability, and would prefer to put it off ...
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28
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5k
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If I overpay estimated taxes in Q1, am I allowed to underpay in the other quarters?
I'm an independent contractor and I sent in my first quarterly estimated federal tax payment for 2023, but I realized that I went way over. Is it possible to pay less in the coming three quarters (...
- 283
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1
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Tax: When filling out a Schedule C for a partnership, do I report the total sales or just my share as a partner?
Say I'm part of a 2 person partnership in which I own 50% of the business. When filing my personal Schedule C income related to this business I'm asked to report the "total receipts and sales&...
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For an 83(b) election, do I need a 1099-MISC if I am not a W-2 Employee?
I am working as a contractor with a startup company. The only compensation I am getting is RSU's. I was given the RSU's last year and made the 83(b) election within 30 days.
I have been trying to ...
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Taxes: What is the correct way to file freelance income?
I've been living and working remotely as a freelance software developer in America, but for European clients. Each month I write them an invoice for my contract hours and they pay me (in EUR, if that ...
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Do we need to file Form 8958 when we do Federal return, even though all our income are only from employment and interest?
We moved to Washington State last year which is Community Property State. We (myself and spouse) don't have any community income (income generated by shared assets) ; We both have income reported in ...
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Massachusetts State Tax: Can one at the same time apply a FICA deduction on the state tax return and ask for a FICA refund?
I am J1 nonresident for tax purposes using the Sprintax software and I ran into a bit of a conundrum. The software is applying a FICA deduction for my MA state tax return but I am claiming a refund of ...
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1
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Should Box 1 and Box 2 of Schedule K-1 be combined on Form 8582 or Schedule E?
I received a K-1 with a positive value X in Box 1, and a negative value Y in Box 2.
The partner's instructions for K1 seem to treat them completely independently, even if both are passive, although ...
- 527
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0
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Where should the sale of a 506(b) real estate syndication be reported on a limited partner's tax return?
I am a limited partner in a 506(b) real estate syndication, and the property was sold in 2022.
Over the past few years, I have reported passive losses using Form 8582 and Schedule E.
If the property ...
- 527
6
votes
2
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501
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Best Option to Fix IRA Contributions and Do I Need to Do Tax amendments for Previous Years
Please help!!
I contributed $6000 to Roth IRA in 11/3/2020. In 12/22/2020 I contributed to Traditional IRA $6000 (I did not know that $6000 was for the combination of Roth and Traditional). In 1/14/...
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2k
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Whose responsibility is it for paying SS and Medicare?
My previous company never deducted Social Security and Medicare taxes for the last 6 years. In all these years, I have been filing the taxes using the exact W2 information that they provide. I think ...
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votes
1
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Amending Taxes To 'Cheat' Student Loan IBR Payments?
I can find a lot of resources that talk about the impact that different filing statuses have on student loans (example1, example2). My wife is pursuing a Public Service Loan Forgiveness, meaning the ...
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What is the distinction between "earning untaxed income" and "acting as a sole trader" (UK HMRC)
I live in the UK and have a full-time job paid in the usual way under PAYE. In addition, I have received small amounts of income from various organisations (honoraria in return for activities ...
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2
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Why doesn't anyone look at the combined federal and [Your State] tax rate, grouped by bracket?
Why doesn't anyone look at the combined federal and [Your State] tax rate, grouped by bracket? Let's say like the Federal + New York tax rates?
Wouldn't this determine the incremental amount of total ...
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Reporting taxes withheld from social security check on 1040. Do I need to attach SSA-1099? They only send one copy and it says do not return to irs
I have a question about reporting taxes withheld from my social security check. At present, I have 10% deducted for federal tax. Do I need to attach SSA-1099 to form 1040 like I do with 1099-R? They ...
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0
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Mortgage interest deduction limit: omit house?
We have an unusual situation with the mortgage interest deduction limit. We moved late in the year; as a result, we had two mortgages, #1 and #2. #1 was most of the year and had a typical amount of ...
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1
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3k
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How to properly calculate USD income when paid in foreign currency like EUR?
Say I live and work in the United States, but mostly do contract work for European organizations. This would mean that I very often invoice and get paid in EUR, which initially might go into a EUR ...
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0
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How to report dividend reported on French form 2777
I live in the US, but the parent company of my employer is headquartered in France. It's a privately held corporation, and I received some stock as a bonus a few years ago.
Last year they underwent ...
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46
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Should capital losses on RSUs sold for taxes be matched against retained shares in the original vest or only future vests?
My company uses a "Sell to Cover" strategy in order to withhold money for taxes.
That can result in the following situation:
I vest 100 shares on Day 1.
The company sells 22 of these 100 ...
- 527
2
votes
1
answer
295
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AirBNB not in the US being paid in a US bank
I have a question about the use of W8ECI requirements.
I am a foreign nonresident noncitizen living in South America. I have opened a savings account in a US bank filing a W8BEN as I do not live in ...
0
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0
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22
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Unrelated Business Taxable Income (UBTI) exceeding limit in IRA
I've kept an MLP stock in an IRA for several years not wanting to deal with the K-1 tax complexities. However it looks like this year my Unrelated Business Taxable Income (UBTI) will exceed the $1000 ...
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1
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41
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How to calculate imputed interest on options trades?
All interest income (including imputed interest) must go on 1040 line 2 taxable interest. For example, if the interest rate is 5%, then I can buy 100 T-Bills for $95 each. After 1 year I get $100 per ...
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