Questions tagged [taxes]

For any question related to taxes and not otherwise covered by a more specific tag such as income-tax, sales-tax, etc. Whenever asking about taxes, please also specify a country tag such as united-states, canada, united-kingdom, etc.

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3
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2answers
4k views

Can capital gains be used to fund an IRA with tax advantages?

This may be a naive question, but to me this seems like it should work. Say I earn $1,000 this year in capital gains from selling some stock that appreciated. I think this is taxed at the capital ...
2
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1answer
1k views

Can a loss on the sale of my house offset capital gains tax from stock options?

I've lost a bunch of value on my primary residence. I've got a bunch of vested stock options that, when exercised/sold, will be a substantial capital gains. If I sold my house the same year I ...
6
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4answers
543 views

Best way to repay parents for college

I am at a point where I can start repaying my parents for college. Is there any financially beneficial/smart way I can/should go about doing this? Or is using taxed income and mailing a check to them ...
4
votes
1answer
910 views

How to deduct operational loss from my personal income tax?

This questions starts with "How to" but I will accept any answer as "if I should or not". My question is related to a business that I have been running this year. I have not been very successful at ...
10
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3answers
7k views

How do day-traders or frequent traders handle their taxes?

I have been making significantly more frequent trades from my brokerage account, and it just occurred to me that this would create a lot of work during tax time. Usually, one has to enter each stock ...
2
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1answer
75 views

splitting up contract money and tax - weird tax situation

There are 4-5 people living together. Two of them are married to each other. Their incomes fluctuate meaning there are times when only 1-2 people are able to earn for a year. Most of them seem to be ...
6
votes
1answer
300 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 ...
2
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2answers
125 views

What are the benefits and costs to reducing your AGI?

I was investigating Income Based Repayment the other day, and eligibility depends on AGI. I've been making Roth contributions in the past, but hadn't considered that AGI might gatekeep government and ...
9
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3answers
295 views

Is there any advantage to using a FSA instead of claiming medical expense on tax returns?

Using my FSA is pretty annoying. I have to submit claims and scramble to use it or lose it. Is there any advantage (aside from perhaps cash flow) of using an FSA over just claiming my medical/...
4
votes
2answers
929 views

I am moving to a new city. How do I plan and prepare - financially - for the move?

I am planning to move to either Maryland, near D.C., or Boston at the end of the school year for work. I have salary quotes for both jobs already, so I can plan around a specific income number and how ...
6
votes
1answer
540 views

Wash sale rule + Mutual Funds/ETFs?

According to IRS rules, you can't sell a security, take a capital loss on your taxes, and then buy back the same or a "substantially identical" security within 30 days. However, "substantially ...
5
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2answers
110 views

What are the tax implications of improvements to a home that's not primary residence?

How are expenses related to fixing up an investment property treated? Are they deductible? What is a qualified expense? Are they deductible from income, or only used to offset capital gains? USA rules,...
3
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1answer
185 views

Tax implications on profit/loss from selling a home that's not your primary residence?

What is the tax treatment for profit/loss on the sale of a home that is not your primary residence? Does length of ownership matter? USA rules, please.
6
votes
3answers
394 views

Do company-provided meals need to be claimed on my taxes?

Some companies provide their employees with free meals (e.g. Google). Would these meals need to be claimed on my taxes? If not, what if a company provided all meals, laundry, car, house, ...
5
votes
1answer
2k views

How do I track 'bartered' rent?

My brother and his wife are renting part of my house from me (in Kansas). Due to financial hardship on their part, I've agreed to let him do some house repairs in lieu of paying rent for a few months....
3
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1answer
443 views

If I pay taxes on my earnings, would someone also pay taxes on the same earnings if I subcontract them and pay a share?

Forgive the confusing title, but it was the best way that I could explain the following situation briefly. I currently have some contracts for doing IT works with various companies. They pay me as ...
2
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2answers
829 views

Do I have to repay the First-Time Homebuyers tax credit if I refinance?

My wife and I bought our first home in April 2010 and received the full $8000 First-Time Homebuyers tax credit. We now want to refinance, given that the current mortgage rates are significantly lower ...
4
votes
1answer
383 views

Taxation difference between income from credit union (CU) shares versus bank deposits (e.g. CDs)?

This question is a follow-up to Difference between a (credit union) "share certificate" and a (bank) CD? What is the difference in taxation on "interest" payments versus "dividend" ...
8
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2answers
390 views

moving family deposits away from Greece (possibly in UK)

Me and my family are worried about the current financial situation in Greece and want to move our deposits away to an another more stable country. Is this too much? We've seen other people doing it. ...
7
votes
2answers
505 views

Stocks vs. High-yield Bonds: Risk-Reward, Taxes?

Assuming one is looking for a fairly high-risk, high-reward investment, what are the advantages and disadvantages of a diversified stock portfolio (e.g. an S&P 500 index fund) vs. a diversifed ...
6
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2answers
1k 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 ...
2
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1answer
1k views

How to account for money earned and spent prior to establishing business bank accounts?

In terms of QuickBooks... How does a newly started business, an LLC in my case, account for payments received and money spent PRIOR to having organized business bank accounts in place? Is there a ...
4
votes
1answer
193 views

Should I put things like Family Payments, Interest on savings .. everything .. under my wife's name for Australian taxation reasons?

so it's tax time again. My wife and I aren't sure who's name/names we should be putting any of our incomes into for Australian Taxation reasons. To keep this simple, I'll use some fake numbers to ...
3
votes
2answers
298 views

IRA withdrawal tax and penalties: Any additional fees or taxes for not paying up front?

I just withdraw everything from my IRA: about $68K, and I'm willing to pay taxes and penalties on that, because I'm unable to invest capital effectively (I don't wish to invest in US stocks or dollar ...
11
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2answers
3k views

Setting up general ledger/tax reporting for a Real Estate Rental LLC in GnuCash

I have downloaded the GnuCash accounting software for use with our real-estate rental LLC, in hopes of following more universal accounting practices and determining our individual cash basis, but my ...
5
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1answer
1k views

When is it necessary to apply taxes for web freelancing services in Quebec, Canada?

When is it necessary to apply taxes for web freelancing services in Quebec, Canada?
4
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1answer
467 views

Foreign company incorporated in US and W9

I own a translation company and my clients are reluctant to contract a provider based abroad, although I have a US Bank account, US tel, US PO Box (I lived in US for a while). I need to be able to ...
6
votes
3answers
14k views

Taxes on selling stock

If I want to sell some stocks to buy other stock do I have to pay taxes on the profits from the sale of the first stock? How long can I keep the cash in my brokerage without having to pay taxes on ...
4
votes
3answers
102 views

Investing in stocks with gross income (not yet taxed) cash from contract work?

I do side work, every year I usually have somewhere between $10,000 and $25,000 in cash. Every year I do my taxes I mark this as additional income and pay taxes on it. This year I'm going to have an ...
4
votes
2answers
1k views

Can I roll my non-qualified variable annuity into a tradional IRA?

I have a variable annuity that I invested $80,000 into 10 years ago. Performance has been horrible and I'm down to $72,000. I am 38 and want to put into a traditional IRA. Are there tax consequences ...
3
votes
2answers
325 views

ESPP taxes after relocating from Europe to the United States?

I was working for company X(Europe) where I was enrolled in ESPP (Employee Stock Purchase Program). After a few months when I sold the stock I received an offer from the X(US) "the mother company" to ...
1
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2answers
262 views

Is an offshore investment corporation a better tax deferral arrangement than a 401k?

I would like to consider the tax deferral provisions afforded to US Citizens. If my corporation formed in a jurisdiction outside of the United States and held US Treasury Bonds (for example) gaining 5%...
4
votes
2answers
1k views

Does a European country take out tax from paycheck for a contract employee who is a US citizen?

If a US citizen works in a European country whose currency is Euro for a European company on a contract job (which pays by the hour), does the company take out tax deductions in advance from the ...
3
votes
2answers
2k views

What can a CPA do that an EA cannot, and vice versa?

A lot of the responsibilities of CPAs and Enrolled Agents appear to overlap, but could someone outline the key differences? When would I choose to hire one versus the other?
1
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2answers
189 views

How to account for foreign taxes paid on dividends?

For purposes of filing Form 1116 (Foreign Tax Credit), I have to correlate foreign taxes paid to the amount of dividends paid by foreign stocks. Is this something I can request from my brokerage, or ...
4
votes
1answer
297 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 ...
3
votes
2answers
217 views

Is a pre-tax 401K, containing only treasury bonds, tax free on release?

In time-deferred pre-tax funds, such as 401K and IRAs, I understand that the contributions and capital gains tax is not paid until after they are released. In this case upon retirement/a certain age ...
4
votes
3answers
2k views

Are dividends paid by REIT ETFs considered “qualified” dividends?

Are dividends paid by an ETF that invests in REITs taxed at the "qualified" dividend rate (typically, 15% vs. the ordinary income tax rate)? (If I recall correctly, REITs are not subject to double ...
2
votes
1answer
216 views

Why is the GI Bill benefit non-taxable, but SLR is not?

My wife is in the Army. She had student loans from before entering the service and enrolled in the Student Loan Repayment (SLR) plan. The military made payments each year, but it counted as income ...
3
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2answers
2k views

How classify businesses website and domain names on Schedule C

Where on the Schedule C should the following deductions go: 1) business website and 2) domain name purchases for the business (domain names all map to that same business website).
8
votes
2answers
6k views

If a US citizen works in Europe as a consultant, what are the tax consequences?

I am US citizen and professional software consultant. If I get a contract position, lets say in the UK or Switzerland for a European company, do I pay taxes to that country, or to IRS? Does it matter ...
9
votes
4answers
464 views

If I'm going to start doing my own taxes soon, do I need to start keeping receipts for everything?

I'm a college student, and in the past my parents have generally handled my finances for me so I haven't had to think about them. But I'll likely have to start doing my own taxes soon. Does that mean ...
3
votes
3answers
208 views

Taxable money market fund vs. tax-free money market fund for emergency money?

I am trying to choose between a taxable or tax-free money market fund for my emergency money. What are the high level guidelines to choose one over the other? I know that the tax-free typically has ...
6
votes
2answers
10k views

What Canadian tax is payable on money received (gifted) from a relative in another country?

I have a Canadian and German passport, but I have lived in Canada for 15 years. My grandpa, in Germany, had opened a certain savings account for me from which I will recieve a lot of money from in ...
6
votes
1answer
146 views

what is the best way to do a freelancing job over the summer for a student

I am a full time student, studying in the UK with UK address. I would like to do a one time job for a company based in the USA. It will last about one month, and is mostly about creating a video ...
7
votes
2answers
184 views

Taxation from variations in currency

Assuming: I am a UK tax payer I live in the UK Assume I sell a good online, for $100. One payment method I accept is Bitcoins. Bitcoins at the moment are extremely volatile, it wouldn't surprise ...
5
votes
1answer
186 views

What is the most effective tax coat for a yearly pre-tax income of £50K?

Having closed a couple of good deals in the past month, I project my pre-tax income for this tax year to be around £50K, which is significantly higher than my last year's one – and also above ...
3
votes
1answer
484 views

Loss Carryover Impact to Adjusted Gross Income

Suppose I have $5k of loss carryover from investment losses in 2010 and I realize $15k in investment gains in 2011 (assume that they're both short-term losses and gains), in calculating my Adjusted ...
6
votes
1answer
412 views

Roth IRA Contributions and MAGI Limits

Want to contribute to my Roth IRA for 2011. I know my salary won't exceed the Modified Adjusted Gross Income limit, but I'm worried that future investment gains might make my MAGI go past the 107K-...
17
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1answer
2k views

Should I set up a family trust?

I'm setting up a will in the near future and trying to decide if a trust is the right way to go. I'm in my thirties, married, and have two small children. Our assets consist of our home (mortgaged), ...