The Tax Questions Blog

Archive for the ‘Is This Taxable’ Category

Question: My wealthy grandmother from Bolivia gifts me $10K cash during her visit. Taxable event?

Do I have to file some sort of form to claim this as a gift? She comes in about once a year and likes to spend on her grandchildren and give us money.

I understand if she were a US citizen she would be limited to 11k or so and I'd have to file a form. How about if she's from another country and just cuts me a check for said amount, is that taxable? No services were rendered on my part, thanks.

Answer: The U.S. does not require (or even allow) you to claim gifts from relatives on your taxes. However, if the gift was in actual cash (coins or green slips of paper), then you are required to complete some paperwork to document that it is legitimate and you are not laundering drug money, for example. If she wrote a check, that requirement does not apply. In either case, you are not required to pay any tax on the money to the U.S. government. However, she might be required to pay tax to the Bolivian government.

Estate Tax Lapse Helps Healthy Rich

No need to ''throw Grandma from a train.'' Just talk her into making a big gift now.

Can I Afford (The Best Cash Gifting Program)?

Your letters: January 6, 2010

Not the full storyRe: Thomas D. Elias’ Dec. 30 column, “Pension crisis about to hit cities and counties”:Elias does a great injustice to the rank-and-file civil service retiree. It makes them sound as though they are slurping at the public trough, which, except for a few, is simply not the case.The column is filled with coulds, mights, possibles and a lot of other conditional words, which ...

$15,000 Policy or Go to Jail

Cash-strapped cities, state cracking down with tax audits, some say

Cash-strapped municipalities and the state are getting more aggressive in their tax audits, according to tax accountants, lawyers and some businesses whose books are under review.

author Paul Roberts and the end of food

Question: How to report scholarships and grants on taxes.?

I'm a college student, and I'm filing taxes for the first time - and I have a question on how to file scholarships and such. I have a scholarship for full tuition and books, and then I have a Pell Grant and other need/merit-based grants which cover my room and board. So basically - I pay nothing for college, but am I supposed to report my grants as taxable income? I'm confused on how I should deal with this because including my grants as income would mean that I owe $500 in taxes - but I received that money from the government to begin with... so why should I give it back?

I didn't receive a W-2 or any forms for the grants, although I can view my 1098-T online. I know my scholarship for tuition and books is tax-free, but any insight on what I should do regarding the grants for room and board?

Answer: IRS Publication 970 deals with scholarships and grants. Basically, the scholarship or grant is treated in the same way. The qualified expenses; tuition, fees, etc. are not taxed as income. The monies spent on non-qualified expenses; room and board, personal expenses, etc. is taxable and if you didn't get a W-2 , you should enter that amount on line 7 of the 1040 Form and write SCH in the space next to the line.

I am sure that is not the answer you wanted to hear. I am also sure most scholarship recipients do not declare their scholarship. You are to be
commended for your honesty and integrity!

Mayflower comes down to make way for new housing

BEVERLY and mdash; The Mayflower Motel has been a fixture here since the early 1950s, but it took less than a week to demolish the eyesore to pave the way for a new, green building that will serve the same purpose and mdash; affordable housing.

Question: Is income from immovable property taxable in India? If yes than what are the investments available to avoid.?

Me and wife are NRI for the lat 20 yrs. We had 2 flats in Goa which we had purchased out of NR remitances. We earned 11.5 lacs on the sale of these 2 flats. We want to purchse a flat in Mumbai may be after a year. Till that time we want to put this amount in a FD in the bank. Is this amount taxable? What are the other IT risks.

Answer: its income is taxebel, please go to a layer of income tax, u can save by invetment tax in priminester relive fund,which is free 100 tax

Anderson Energy Announces 2009 Fourth Quarter and Year End Results

CALGARY, ALBERTA-- - Anderson Energy Ltd. is pleased to announce its operating and financial results for the fourth quarter and year ended December 31, 2009.