If you’re thinking about selling stocks, mutual funds or other investments, you need to first familiarize yourself with the cost basis rules and their implications for your tax bill. Learning the rules may help you significantly reduce the amount of capital gains that will be subject to taxation as a result of the sale. Why Cost …
In the recent case of Adams v. Commissioner, the U.S. Tax Court held that it lacks jurisdiction to review the constitutionality of passport-related actions taken by the U.S. Secretary of State in response to the taxpayer’s seriously delinquent tax debt. In 2023, a seriously delinquent tax debt is an unpaid federal tax assessment exceeding $59,000, where …
By Jim Rice, CPA As a CPA for more than four decades, I’ve heard from doctors more than a few times after they were hit with a surprise tax bill. In most cases, the underlying problems were that their accountants didn’t communicate with them much and didn’t advise them throughout the year on what steps …
Real estate investors often unload one property and replace it with another. But making an outright sale of an appreciated property results in a current tax hit. That’s unfortunate if you intend to use the sales proceeds to buy replacement property. The good news: Section 1031 of the Internal Revenue Code allows you to postpone your …
Latest tax updates for individuals Three recent and important developments have occurred in the cryptocurrency arena: Loss tax deductions for FTX investors. Investors with inaccessible assets tied up in cryptocurrency exchange FTX Trading Ltd. will need to wait until court proceedings conclude before learning if loss tax deductions will be available. FTX filed for bankruptcy …
Inflation has been surging this year. The July 2022 consumer price index (CPI) was up 8.5% year over year, according to the latest data from the U.S. Bureau of Labor Statistics. The rate of inflation is expected to stay high for at least the rest of the year. Many taxpayers are understandably concerned about how elevated …
The tax rules for short-term rentals are complex and this article only serves to skim the top of a few major considerations. Make sure to keep your tax advisor up to date on your investments to make sure you’re doing everything you can to maximize this investment.
When you retire,you may consider moving to another state — say, for the weather or to be closer to loved ones. State taxes also may factor into the equation. Here’s what you need to know about establishing residency for state tax purposes — and why the process may be more complicated than it initially appears …
Are you a charitably minded individual who is also taking distributions from a traditional IRA? You may want to consider the tax advantages of making a cash donation to an IRS-approved charity out of your IRA. When distributions are taken directly out of traditional IRAs, federal income tax of up to 37 percent in 2022 …
According to blockchain data company Chainalysis, cryptocurrency transactions associated with illegal activity topped $14 billion in 2021. That’s almost double 2020 numbers – and the momentum shows no signs of slowing. In addition to outright cryptocurrency theft, these crimes include investment fraud and ransomware scams that affect businesses. Yet cryptocurrency offers several advantages to entrepreneurs and …
