Questions tagged [united-states]
For questions that relate to the laws, practices, and products of the United States.
902
questions with no upvoted or accepted answers
13
votes
0answers
611 views
What are the appropriate forms to file when using a mega-backdoor?
For the backdoor (IRA -> Roth IRA, generally up to $5500 per year) conversion, we need to file Form 8606.
Are there any equivalent forms that must be filed for mega-backdoor (After-tax 401k -> Roth ...
8
votes
0answers
192 views
Can I legally file zero tax return as non-resident to get ITIN?
I want to obtain an ITIN number to get a credit card / open bank account in the US. I know, IRS does not issue this number unless for tax reporting purposes. I visit the US from time to time on a ...
8
votes
3answers
1k views
Mega Backdoor Roth: Withdrawal consequences for in-plan vs out-of-plan conversion
My employer allows after-tax 401k contributions, and has an option for automatic quarterly after-tax 401k -> Roth 401k in-plan conversions. The other option for executing the mega backdoor Roth is to ...
7
votes
1answer
161 views
Can I defer starting Medicare if 65 and on COBRA after a lay-off? (HSA, COBRA, and Medicare)
I turned 65 in February, am still working full-time, and have medical insurance through my company that qualifies me to defer signing up for Medicare. I've been contributing the maximum to my HSA ...
6
votes
1answer
154 views
In which country do I pay capital gain taxes, as a German with a US Internship?
This year, I did an internship in the US, and during that time I bought some stocks. Now I am back in Germany, and got dividend payments on these stocks, and also want to sell some of them soon. ...
6
votes
0answers
84 views
Tax deduction for legal fee in defending my current job related to a threatening letter?
I paid around 750 dollars last year to consult lawyers regarding a threatening letter from a former employer related to company confidential information where they asked me to sign additional ...
6
votes
0answers
88 views
State Income tax when splitting a day between states (in the USA)
First of all, I realize that when traveling to another state for employment it is commonplace to owe taxes in that state for the work performed+sourced in that state.
Example: you work/live in ...
6
votes
1answer
521 views
Tax question - Inheritance from UK living in USA
I am a Green Card resident in Nebraska USA, and I am a UK citizen. Is it correct that I need to report to the USA Government if I inherit more than $10,000 from my father’s Will (he too was a UK ...
6
votes
1answer
1k views
If PF is withdrawn by an NRI staying in USA does it become taxable as per US laws?
I have been service in an Indian company for 10 years and now getting transferred to US. I want to keep the PF and not withdraw as I don't need money and it will earn good 8.5% interest for next 3 ...
5
votes
0answers
176 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 ...
5
votes
1answer
379 views
Do I need to pay taxes on my mother in law giving us “rent” money?
This is for California, USA
My MIL is living with us these days and we do not actually charge her for any rent. She has a small business that has sporadically yields some income. She insists on ...
5
votes
0answers
70 views
County tax credits for living and working in different states
I moved mid-year to Indiana, from Illinois. My employer remains in IL. For the entire year, my employer withheld IL state taxes. For the second half of the year, my employer also withheld local (...
5
votes
0answers
120 views
Is there any reason I'd prefer having my school not report a 1098-T?
I didn't get a 1098-T from my school this year. I contacted them about it, and they said it wasn't required in my case, but they went ahead and issued it anyway since I asked. They also told me they ...
5
votes
0answers
3k views
NY State Sales Tax on Lease Transfer
I am hopeful that someone can help me understand New York State (NYS) Sales Tax with regards to a lease take over, in what seems to be paying tax twice.
So here is the scenario:
Person A leases a ...
5
votes
2answers
332 views
Dual Citizen (US / CDN) wants to buy US equities in Canadian brokerage
I'm dual citizen (US & Canada) residing in Canada. I returned to Canada two years ago. I just started thinking about investing again in Canadian equities (either stocks, ETF's or mutual funds). ...
5
votes
1answer
3k views
US resident with Canadian income via T4A-NR
I am a single person LLC in the US and I do a lot of contract work for a US company. In 2016 I was asked by them to do some work in Canada and spent about 30 days working in Vancouver. My LLC issued ...
5
votes
0answers
154 views
Should rideshare drivers log mileage of individual trips, or is a daily entry acceptable?
A rideshare driver (Uber, Lyft) can deduct vehicle expenses for business use of the vehicle. Should the driver log each trip individually, or is a daily entry of beginning odometer, ending odometer, ...
4
votes
0answers
96 views
If my job is exactly the same across three employers, is it considered one job or three for tax credit purposes?
The state of Oklahoma has a tax credit for engineers working in aerospace, described in form 564. The definitions on page 2 specifically state under "Qualified Employee":
[the employee] was not ...
4
votes
0answers
68 views
Who reports the dividend for ACTS transfer, Outgoing or Incoming brokerage?
When a taxable brokerage account is transferred from one broker to another and as the old broker receives( and in turn forward to new broker) the dividend after the transfer as Dividend pay date is ...
4
votes
0answers
84 views
Is Fidelity an IRS approved custodian?
My employer offers a Simple IRA match. The plan they've set up allows me to select the financial institution that will serve as trustee or custodian1.
I see many references to Fidelity in my ...
4
votes
0answers
174 views
Foreign Earned Income Exclusion when working for a US company remotely
I'm a US citizen who lives and works in California. I've been looking at a possibility of working remotely and living abroad.
My understanding is that when it comes to state taxes, you pay income tax ...
4
votes
1answer
1k views
How does a publicly traded company decide when it closes and opens its trading window to its employees in the United States?
How does a publicly traded company decide when it closes and opens its trading window to its employees in the United States?
I understand that the earnings result announcement must fall sometime ...
4
votes
0answers
38 views
Can I list multiple wage income abbreviations on Free File Fillable Form 1040?
Background
Wage income abbreviations are for taxable income not listed on a W-2. Two examples of these abbreviations are "HSH" and "SCH". Those two abbreviations are mentioned on pages 26 & 27 of ...
4
votes
0answers
72 views
Does a French citizen living in the US owning stocks in a brokerage account in France have to pay taxes on dividends to the French tax authorities?
Does a French citizen living in the United States and owning stocks in a brokerage account located in France have to pay taxes on dividends to the French tax authorities (fisc)?
Additional ...
4
votes
0answers
140 views
IRA rolled over mistakenly to 401k
In a previous tax year I rolled over some money from a former employer's traditional IRA (TD Ameritrade) to a non-Roth 401k plan (Milliman). I didn't report this on my federal tax return at all ...
4
votes
0answers
80 views
Does basis remain in Traditional IRA after a complete conversion?
If you convert your entire Traditional IRA to Roth IRA, but the amount you convert (the value of the Traditional IRA at the time you convert) is less than the basis (after-tax amount) in the ...
4
votes
0answers
353 views
How does one calculate their AMT MAGI to determine their passive activity loss limitation?
The instructions for line 19 (passive activities) of Form 6251 (Alternative Minimum Tax) mention that you may need to do an AMT version of Form 8582 (Passive Activity Loss Limitations):
Refigure ...
4
votes
0answers
84 views
Understanding Nexus as a small business owner
I'm interested in becoming a 3rd party Amazon FBA (fulfilled by Amazon) seller. I recently learned about a rule called "nexus". Basically, I understand I have nexus (tax liability) in the state ...
4
votes
1answer
434 views
How to file 1040NR form as a non-resident alien owner of a U.S. LLC in Wyoming?
I'm an Egyptian citizen, living in Egypt and I own a LLC in Wyoming. I am the only owner of this LLC (single member managed LLC). I use this company to accept international payments through stripe.com ...
4
votes
0answers
77 views
Should I create a simultaneous Part-time Sole Proprietorship and Part-time single-member S-Corporation?
I am self-employed and my business has two distinct parts:
Engineering and Design - which makes $50k income / year
Manufacturing and Sales - which makes $150k income / year
I am currently running ...
4
votes
0answers
39 views
Single Member CA LLC moving to WA keeping CA client - residency and work outside of CA
I have a CA Single Member LLC and do work for a California client. Contract work is between client and LLC.
I move from CA to WA and establish residency there. I perform ALL work outside of CA.
...
4
votes
0answers
125 views
US Taxes: Missing the deadline for IRA contribution
Is there a way to make an IRA contribution of say $x for 2016 (Deadline was April 15 2017)?
Background Info: The $x has already been claimed in taxes. But because of a technical error from the ...
4
votes
1answer
233 views
Regarding W-8-BEN for annuity inheritance
My father worked in USA for 11 months in 1985. He made contribution to an individual retirement plan (tiaa-cref) only during that period. The money since then has grown. He expired in 2016 aged 68 ...
4
votes
1answer
260 views
US taxation of stock purchase plan for non-resident alien
An individual in USA is a non-resident alien for tax purposes for the whole year. He works for a US corporation in US. He buys stocks under the stock purchase plan of the company and sells it in the ...
4
votes
0answers
749 views
Capital gains while living abroad?
Let's say I'm a U.S citizen and have money in a brokerage account at a U.S institution, but I have moved to Germany. Let's imagine that this money generates capital gains. Assuming that I have to pay ...
4
votes
0answers
162 views
Questions on retirement saving plans for non-resident aliens
I am a German citizen that started working as a postdoctoral researcher at a University in the U.S., being on a J1 visa.
Part of my benefits package includes an employer match that I can make use of ...
4
votes
0answers
93 views
State tax withholding election
I live in Connecticut but work in New York. My employer wants to know what state I wish to be "taxed in". I understand that CT gives a credit for taxes paid in NY. Which state should I elect to have ...
4
votes
0answers
281 views
Inheriting funds from a U.S. trust where you are not the trustee
I am a U.S. citizen trustee and executor of my mom's trust. My brother is a Canadian citizen and lives in Canada and not a trustee. I will be dividing the trust funds or investments between the two ...
4
votes
0answers
416 views
Donating to US versus Canadian charities to maximizing tax benefits
I am a US citizen and I have the option to make my charitable donations in either the US or Canada for the next few years. How do I maximize my tax benefit for a fixed donation size?
My ...
4
votes
1answer
230 views
Is there evidence that in the long-term, leveraged ETFs perform poorly?
I came across an interesting question: "Why are daily rebalanced inverse/leveraged ETFs bad for long term investing?"
Despite the topic, the answers there actually illustrated the hypothetical risk ...
4
votes
1answer
226 views
State income tax : full resident, spouse part-year resident: joint return possible?
In 2018 I was a resident of New Jersey the whole year, but my spouse was a part-year resident: he permanently moved to Germany on August 1st and established his domicile there. After that date, he ...
4
votes
1answer
206 views
CP542 backup withholding notice from IRS
I've just received an utterly bizarre letter from the IRS, excerpted below:
Notice: CP542
Form: 1040 Tax Period Ending: 12-31-1985
Our records show you have reported and paid all tax ...
3
votes
0answers
40 views
Vailidity of Digital signatures on self-prepared 1040 tax form
Me and my wife are stuck in INDIA due to lock-down, courier services, flights etc are suspended till 4/14. I want to file my past due return (2016), IRS accepts it only by mail.
I'm considering ...
3
votes
0answers
73 views
In general, does “the market” prefer or dislike bottom-floor apartments/flats?
I can see both many pros and many cons of living in a bottom-floor apartment, as opposed to one on any other level/floor. I'm undecided myself, actually. However, I'm asking about what the general ...
3
votes
0answers
27 views
H1B Temporary Worker/ 1099 MISC Income
I am a H1B temporary worker in the united states at the moment. Last year, there was a pilot TV series filming in our apartment of residence which resulted in some inconvenience for me as a resident. ...
3
votes
0answers
62 views
Can I claim homeowner tax benefits if the title isn't in my name yet?
My mom died at the end of 2018. Her living trust named me as trustee and indicated her house was to go to me. I failed to transfer the title to my name last year, but I paid the mortgage all year. Can ...
3
votes
0answers
52 views
What is the process for filing individual income tax for income obtained without a W-2 or 1099?
Scenario
We have a legal adult called Brittany who has obtained income of $4096.00 from a babysitting job last year.
The mother of the children she has been watching has not withheld income taxes, ...
3
votes
0answers
32 views
Dependent Care FSA Reimbrusement
I had FSA with past employer from Jan to Sept 2019 and then switched Job with new employer and started FSA amount with the rest of the limit. All my dependent care expenses were till Sept 2019 but ...
3
votes
0answers
208 views
What does the IRS do about trivial tax discrepancies?
I submitted my taxes (e-file) about a week ago via Turbotax - expecting a large refund. I then unexpectedly received a 1099-INT from my bank for $15 of interest received during the year. I did not ...
3
votes
0answers
67 views
Return of excess employer contribution after transfer to IRA
A few years ago, I had an internship, and had to set up an account with the employer's retirement fund company.
A couple of years after leaving the company, I was closing out old accounts, and ...
