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.

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2
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0answers
22 views

How are app sales/acquisitions taxed in the US?

Hypothetical scenario: I identify a gap in a company's product offering. I, as an independent developer, write a desktop, web, or mobile application that bridges this gap, and I contact the company in ...
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1answer
32 views

How are Canada Pension Plan payroll deductions paid by both employee and the company?

I am thinking on moving to Canada but I want to calculate what my salary would be after taxes. I am using the tax calculator at https://simpletax.ca/calculator but there's still one thing I can't wrap ...
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0answers
9 views

DTAA in case of India and UK

For current FY (2018-2019) , I have some foreign income from UK. I am a resident of India. I was in UK from April 2018 to Aug 2018 and also during April 2017 to Mar 2018. I have paid and filed tax ...
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2answers
125 views

Maximizing the Cost Basis Reset on Death

Consider the case of a married couple, living in the USA, with appreciated stocks and bonds in a living revocable trust worth between 1 and 5 million dollars. The husband then dies leaving everything ...
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2answers
69 views

Payroll pension contributions- UK higher rate tax relief

In the UK, a higher rate taxpayer who contributes to a pension scheme is entitled to pension relief to recover the difference between basic rate and higher rate tax for pension contributions. (HM ...
2
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1answer
47 views

Is salary for march included in income tax if it gets paid in April?

My mother is a pensioner in India. Her Pension for March 2019 was actually paid on 2nd April 2019. My question is whether this amount would be considered as income for Assessment Year 2019-20 or ...
2
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1answer
38 views

How to exactly find out income earned from Fixed Deposits?

I have an SBI savings accounts with autosweep facility such that it creates FD if the amount goes above a certain limit. Now any interest earned from FDs is taxable. However this year, I don't see ...
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1answer
53 views

How many days it take to reflect income tax paid on form 26as?

Today, I have paid my payable amount of income tax through Government Website as Self Assessment Tax using Chalan 280. Now, I want to file my ITR but same tax paid amount is not available in FORM ...
0
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1answer
58 views

Non UK company hiring local staffing

Do I need to issue any tax form to the local staffing we hired in UK for a small event? We are an Event company based in US.
2
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1answer
41 views

Is it required to mention money returned by friend in ITR filing in India?

I live in India. For a long time I was giving money to my friend as he lost his job; there was no other option for income. But later he got job so he returned all my money recently into my bank ...
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1answer
48 views

How to transfer money directly from US to home loan account?

Can we transfer money from US directly to the home loan account? Do we have any tax implications in US or in India? I don't have an NRE/NRO account and want to transfer directly to Home loan account. ...
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3answers
185 views

Overseas corp acting like a 401k

I run a one man consulting company as an S Corp here in the USA. I was wondering if an alternative arrangement would put me in a better situation for taxes (my goal is legally reducing my taxes, not ...
2
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2answers
69 views

Tax implications of operating an LLC in Wyoming with an Idaho bank account?

I operate an LLC in Wyoming, but my local business banking options have high fees. An Idaho bank offers free business checking and is within a reasonable driving distance for the rare occasions I'd ...
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1answer
47 views

Elementary question about AGI and SS income

I know that 15% of my social security income is not taxed at the Federal level. But is that 15% a deduction or an adjustment? That is, is the 15% counted in AGI or not? I get gobbledegook when I ...
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0answers
29 views

Tax deduction for penalty paid

Can I get tax deduction for my 2 Lakhs penalty paid to the company to break H1B bond. Is there any section I can mention about this 2 lakhs?
2
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1answer
147 views

Filing taxes as a former inmate

My son has been in and out of prison since 2006. He will be out in October of this year again. He has worked in some of the prisons he been to. Can he file taxes for the times he has been in prison, ...
3
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2answers
287 views

About opening an LLC with little to report in the beginning

I am a full time employee in Texas and my wife is a stay at home mom. We are buying our third house and it should be ready in about 11 months. We rent out our current 2nd home (of which we own about ...
4
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2answers
959 views

Do I pay more tax when 2 extra payments are in this paypacket

I recently worked about 17 hours of overtime in a weekend, submitted it and expected to be paid that month but I missed the cut off date apparently. This is fine, but I will also be paid part of my ...
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0answers
57 views

Can I be taxed if a colleague from abroad sends money to my NRI account in India?

I'm residing in USA and have some property in India. An acquaintance of mine who is residing in Dubai has rented that property. Can he send the rent to the NRE bank account I had taken for while I ...
2
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0answers
30 views

Self assessment Tax not reflecting 26AS

I paid Self Assessment on 24/6/2019 before noon. Chart status enquiry on 28th confirms receipt of amount in TIN on 27th. But till 30th 11:30 AM it is not reflected in 26AS. How long will it take to be ...
2
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1answer
66 views

Do you need to pay taxes on income paid outside the US?

Non american here. I currently work in a country outside the US in Country A. I have a company training for 10 weeks coming up that is in the US office. During the time, I will be getting paid the ...
2
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1answer
90 views

How is the average salary calculated for time spend outside Germany

I spent the last few years working and paying taxes in the US with salary X. I then moved to Germany where I get salary Y. This is also the first time I pay taxes in Germany. Within one year of the ...
2
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0answers
44 views

I filed a FICA return and sent it to the IRS, but my company sent me a W2C and also refunded the money. What should I do?

I am an F1 student <5 years in the USA and am eligible for FICA refunds. I contacted my company and told them that I will be requesting the IRS for the FICA refund as I was very close to the last ...
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1answer
56 views

What should be my state tax withholding if I do internship in another state?

I am doing internship in New York but I live in California. I am also an international student (F1). Our country has tax exempt agreement, so I am eligible for federal tax refunds. During the ...
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2answers
235 views

How much of my $5K/yr tuition tax credit ought I transfer to my mom who earned $40K/yr?

From 2009-2015, I was studying in universities, and earned no income. My parents paid all my tuition. We all live in ON. I filed my taxes, but didn't know about claiming tuition tax credits. I would'...
2
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1answer
97 views

Expenses prior to selling a rental property

I have a rental property that needs a new HVAC system. If I have this done just prior to selling, my understanding is I would add the cost of that improvement to the basis. But what about ongoing ...
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1answer
104 views

Placing Tax withholding into a savings account instead of haivng it deducted from my paycheck [duplicate]

Typically one has a percentage (based on a W-4) of their pay withheld to cover one's taxes at the end of the year, it occurs to me that this is effectively like storing that money in an account with ...
1
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2answers
63 views

NRI, German tax resident having foreign income

I am working in Germany in an it company last 3 years and paying tax as normal. Now I am getting some earnings as website advertisement and it is coming from US/UK through paypal account and credited ...
0
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0answers
13 views

How does NPS Tier - 1 80CCD work?

Conditions: NPS Tier-1 contribution from salary per year > 60000 NPS Tier-1 contribution from company per year > 60000 Question 1: How much amount is counted for 80CCD? Is it just salary or also the ...
4
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1answer
85 views

Does Internal Revenue Code section 1031 enable perpetual depreciation to offset income?

I've recently come across Internal Revenue Code section 1031, which as I understand it allows me to postpone paying taxes on income from the sale of an investment property, so long as I purchase a ...
3
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1answer
91 views

Does IRS require 30% tax from foreigners with w8-ben?

A company I collaborate with as an independent contractor, asks me to fill w8-Ben and they do not want to withhold taxes, they say what I do with the taxes is my problem. I am not US Citizen and my ...
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1answer
75 views

Can I transfer, in 2019, my tuition tax credits from 2009-2015 to my parents who paid all tuition?

From 2009-2015, I was studying in Ontario universities, and made no income. My parents paid all my tuition. I filed my taxes, but didn't know that I could claim tuition tax credits. u/pfc-toss ...
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0answers
13 views

Can the repayment of the Advance Premium Tax Credit be deducted in the year paid?

IRA withdrawals kicked me out out of ACA. I had to repay over $14,000 Advance Premium Tax Credits with my 2018 tax return. The answers I am seeing seem to say I can take it as a 2018 medical expense ...
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1answer
159 views

How to get money back from tax filing in US?

I'm on a student visa in the MA, US. This year(2019) it was my first time filing for tax as I got the part-time job on-campus in my university. I submitted the tax form to a person who came to my ...
4
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1answer
96 views

Do I have to pay my tax balance while my amended return is being processed?

I forgot to included a sizable deduction when I filed my original return, but I discovered it and filed an amended return before April 15. The original return showed me owing tax but with the amended ...
2
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1answer
147 views

How does Massachusetts tax selling US Treasury Bills before maturity?

If I buy a 4-week US Treasury Bill at auction and hold it to maturity, the interest I earn is state-tax-free. Just to put a number on it (even though I know rates aren't actually that high right now), ...
46
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9answers
9k views

What do I need to do, tax-wise, for a sudden windfall?

I had stock options in a company which was recently sold to a private investment firm. As a result, my options were converted into a single large sum ( > $100,000) and delivered via wire transfer into ...
1
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1answer
68 views

Declaring income when self-employed

As described here, I earn extra money (around $7000 per year) from a second job, in which I am running a business as a sole trader. Due to the nature of the work, I am mostly paid in cash, and deposit ...
3
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1answer
74 views

Student loan tax deductions when married filing jointly in United States

My spouse and I received a chunk of cash that we would like to use to pay off student loan debt. The cash is not enough to pay off both of our loans. If we simply put the cash towards the highest ...
4
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2answers
114 views

What, specifically, causes the necessity to revise a brokerage 1099, and why are revisions so common?

We've had two questions about revised 1099s causing the OPs' tax liabilities to change after they had filed. One of them is here; the other was a duplicate. We've had this happen to us regularly. We ...
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2answers
136 views

Is this a way around the Wash Sale Rule?

This question is prompted by my answer to the question about wash sales. I'm not going to repeat everything in the question or my answer. The question had a simple answer: technically Maybe but as a ...
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0answers
8 views

Calculating nonresident credit for 2016 Ohio Schedule of Credits

I wanted to double check I'm doing this correctly on the 2016 Ohio Schedule of Credits form. I didn't do 2016 state taxes for Ohio, yet, which is why I ask. On line 26 I entered some number. On line ...
10
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1answer
830 views

Are UK pensions taxed twice?

I, like many, have a workplace pension. I pay taxes through PAYE and file a self assessment covering all other income. My understanding is that your personal pension pot is 25% tax free then you pay ...
4
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2answers
543 views

Why doesn't the UK allow paying income tax as a couple, like the USA?

This is possibly an unanswerable question, but I'm curious as to why the UK doesn't have the concept of paying income tax as a couple, the way the USA does? It occurred to me a few days ago that, ...
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1answer
64 views

What is Tax Return document and where to search for it ONLINE? [closed]

I am wondering whether so called "Tax Return" document for X time period has any alternative definition or form code (form id number)? If yes, what is it? I am trying to find it online for wanted Inc ...
5
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0answers
120 views

Donating winning lottery ticket to 501(c)3 Private Foundation: cost-basis deduction + full tax free redemption for foundation?

US 501(c)3 Private Foundations are typically controlled by the primary donator, so that is a nice perk, but in exchange for that perk I realize the tax deductions for donating are significantly ...
2
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1answer
326 views

What is the need for progressive tax rates? [closed]

I learnt that progressive tax rates are used in order to be fair (i.e. collect more from people earning more and lesser from people earning less) but, even if the same percentage of income is ...
1
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3answers
156 views

Do employers withhold the correct amount for higher tax brackets?

I'm for the first time making a pretty large sum of money that puts some of my income in the 24% federal tax bracket (though my effective tax rate- fica/fed/state is around 30%) I just got my first ...
4
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1answer
315 views

How to rent a home that I own outright for maximum benefits?

Suppose, I have a home that I want to rent, and it is paid off and valued at about $350K. I am currently living in this home. Should I sell this home to a LLC ( This LLC to be formed and owned by me),...
3
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1answer
72 views

401k / Foreign Tax Credit

I am resident in the UK. My Wife is also resident in the UK, but is a US citizen. I'm 40 years old. We file a joint US tax return each year, and we file 1116 against all of my UK earnings. I have ...