- How to Avoid Depreciation Tax on Rental Property
It can pay to be a responsible rental property owner. For instance, if you’re always investing in your rental property and making improvements, not only will your tenants appreciate it and remain tenants longer, you can get a depreciation deduction… read more…
- What Are Long-Term Capital Losses?
A long-term capital loss refers to money that you lose on investments held for more than 12 months. The alternative is a short-term capital loss, money lost on investments that you held for less than a year. When you do… read more…
- Do I Have to Pay Tax on Inherited Savings Bonds?
Inheriting savings bonds can provide you with an unexpected windfall. However, there’s one important question to ask: Do I have to pay tax on inherited savings bonds? The short answer is yes, you generally will be responsible for taxes owed… read more…
- Is Long-Term Care Insurance Tax Deductible?
Long-term care insurance can be an important part of planning for the twilight of your life. Despite everyone hoping they’ll be healthy and active until the end of their days, most of us end up needing a bit of help… read more…
- How to Avoid Capital Gains Tax on Collectibles
Collecting is a pastime to which a great many people are drawn. The satisfaction of having a complete set of old stamps or unearthing a rare bottle of wine is quite easy to understand. However, a less easy-to-understand aspect of… read more…
- How to Avoid Capital Gains Tax on a Business Sale
There’s a lot to consider when selling a business and tax planning is at the top of the list. When you sell a business or business assets at a profit, the IRS expects to receive a cut in the form… read more…
- How to Avoid Paying Taxes on a Lawsuit Settlement
Winning or settling your lawsuit can be exhilarating. After you’ve received the settlement money and paid attorney fees, most people assume that the rest is theirs to keep. However, some settlements are subject to taxes. And, unfortunately, many people don’t… read more…
- How Savings Accounts Are Taxed
You are required to report and pay federal taxes on any interest income you receive from a savings account. The income is taxed as unearned, which means you’ll escape payroll taxes, but you will owe federal income tax on it… read more…
- Differences in Hiring a Tax Preparer vs. a CPA
If you’re like most taxpayers, you may not need either a tax preparer or a certified public accountant (CPA). There are exceptions, though. Maybe you’re self-employed, own a small business or have lived in several jurisdictions. In these cases you… read more…
- How Much Should You Save for 1099 Taxes
Working as an independent contractor or small business owner can bring tremendous freedom—but it can also bring headaches at tax time if you’re not careful. In addition to filing income taxes each April, you’re also required to set aside money… read more…
- What Is the ISO AMT?
If incentive stock options (ISOs) are part of your compensation package, knowing what they are, what they can do for you and how their tax treatment is going to affect you in the future is important. At the very least, you have to determine how they will affect your federal income taxes when you exercise… read more…
- What Is the Convenience of the Employer Rule?
Remote work has become more popular in recent years and is among the many trends that have accelerated due to the COVID-19 pandemic. While remote work is not new, the rise in the number of people working remotely has created tax challenges for some employees and states. As a result, some states have adopted the… read more…
- What Is a Tax Loss Carryforward?
A loss carryforward lets a taxpayer use a loss incurred in one year to reduce tax obligations in a future year. Businesses and business owners can carry forward net operating losses when expenses exceed income. Individual investors can carry forward capital losses after selling investments for less than they paid. For help with taxes and… read more…
- How to Avoid Capital Gains Tax on Foreign Property
Selling property abroad can create tax obligations both in the country where the property is located and in the United States. While U.S. taxpayers must generally report and pay capital gains tax on profits from selling foreign real estate, several strategies can reduce or eliminate this burden. These include using foreign tax credits, qualifying for… read more…
- How to Pay Taxes on Stocks
If you sell stocks at a profit, you will owe taxes on those gains. Depending on how long you’ve owned the stock, you may owe at your regular income tax rate or at the capital gains rate, which is usually… read more…
- Writing Off Losses on Sale of Investment Property
Selling an investment property at a loss may not be ideal but it may be necessary if you need cash or you simply no longer wish to own the property. Before selling rental properties or investment real estate at a loss, consider how it could affect your taxes. For instance, you might be wondering whether… read more…
- How Do I Avoid Capital Gains Tax on Gold?
If you invested in gold and sold it for a profit, you are probably looking for ways to minimize your taxes. Smart tax planning is crucial for the success of your investments. And there are definitely ways to minimize capital gains… read more…
- Guide to Capital Gains Exemptions for Seniors
Current tax law does not allow you to take a capital gains tax break based on age. In the past, the IRS allowed people over the age of 55 a tax exemption for home sales. However, this exclusion was closed… read more…
- How to Avoid Capital Gains Taxes on a Land Sale
Real estate continues to be an appealing asset class for investors as property values rise. While many investors choose to invest in homes or apartment buildings, others prefer to invest in raw land. There are fewer maintenance costs with no… read more…
- How to Avoid Capital Gains Tax on Real Estate
Home prices doubled over the past decade – and that could mean you owe some serious taxes if you are selling your home. After bottoming out at around $259,000 in 2011, the average sale price of a house has marched steadily upward to more than $500,000 in 2024, before dropping down to $357,275 in January… read more…
- How to Avoid Capital Gains Taxes
Capital gains taxes can take a major bite out of your investment earnings if you don’t manage your portfolio specifically for them. The strategies that allow you to minimize the capital gains tax include holding investments for the long term,… read more…
- 401(k) Inheritance Tax Rules for Estate Planning
Inheriting a 401(k) comes with some complex tax rules. When the estate plan includes workplace plans and individual retirement accounts (IRAs), they’re treated differently than real estate or other assets. If you anticipate inheriting a 401(k) from a parent, a spouse, or someone else, it’s important to understand the tax liability associated with making withdrawals… read more…
- Inside Biden’s Capital Gains Tax Plan
President Joe Biden proposed doubling capital gains taxes for investors making over $1 million to fund his $1.8 trillion American Families Plan. This could compel some high-income investors to sell off assets before the tax hike takes effect. Others will… read more…
- Estate Tax vs. Inheritance Tax: Key Differences
Losing a loved one is a tragedy that requires space to grieve, and the last thing a family needs at that time is to deal with unexpected costs. However, there are federal and state-level taxes that need to be handled… read more…
- IRS Form 5329: Reporting Taxes on Retirement Plans
When filing your taxes, it’s important to make sure you’re reporting all of your income correctly. That includes making note of early distributions from qualified retirement plans or other tax-favored accounts that may be subject to a 10% early withdrawal… read more…