The Tax Questions Blog

Posts Tagged ‘nonprofit’

Question: Tax on leasing income?

Hello, I really hope someone can give me some advice here.

I'm in full employment, and Ive recently moved from my flat into a house. I am preparing to lease the flat but i'm confused about the tax implications. Obviously I will have to pay tax but of course I want to minimise this.

Are there any methods of minimising the tax liability? I understand that expenditure to maintain the flat is not taxable and other expenses such as lawyers fees etc are not taxable.

The property is in Scotland.

The other thing I thought is i'm using the income from leasing the flat to fund my university fees. Would there be some tax relief on this?

Answer: Just to add a couple of things to what Cala B said. No, there is no provision for any tax relief on funding for Uni. Also, you cannot claim tax relief on any expenses incurred in preparing your flat for letting, only for after it is let. So for example, if you decorate prior to first letting, you can't claim for that, but would be able to for subsequent decoratings once flat had been rented. You don't say if flat would be let furnished or unfurnished, that will affect expenses you can claim. Look at http://www.hmrc.gov.uk , then in search-box, put in SA105, and read the notes section.

5th District runoff: Hamburg and Roberts state their views

The June 8 primary election for Fifth District Supervisor David Colfax's successor started with four candidates: Dan Hamburg (1,838 votes) Wendy Roberts (1,495), Jim Mastin (1,090) and Norman deVall (805).

Christopher Hitchens vs. Pat Buchanan Part 5: Spin Doctors, IRS and Taxes (1993)

Question: receiving tax refund of decedent parent.?

Someone asked me this question because I have some tax preparation experience. I don't have any other information.
I was wondering if it would go to the estate or be considered Income with Respect to the Decedent.
I assume if a person receives his parent's refund it is not taxable income.
But what if the itemizes in the year of death and deducts state taxes. Then would a state tax refund have to be added to income of the decedent.

Are there tax implications for the person receiving the parents' refund?

Answer: On the date of death, the decedent ceases to be a taxable entity and their personal tax returns are calculated as if the date of death were the last day of the tax year. Any income or taxable transactions after the date of death are taxable to the decedents' estate. In some circumstances the tax burden is passed to the beneficiaries by virtue of a distribution. Without knowing the total circumstance one would be ill-advised to attempt to make a determination on one specific item such as a state tax refund. If the income to the estate is greater than $600 a form1041 for most small estates. It is not at all uncommon for all of the money to disappear leaving the "estate" penniless and therefore unable to deal with the taxes that may have been due. In that case the executor is responsible if it can be established who that is. In the real world, if these were small estates I don't think the IRS knows or cares regardless of what should have been done.

Tax Wars

Washington is bracing for a historic battle over U.S. tax law. Here's what you should do now.

Federal Inheritance Tax Laws 2010, 2011

Question: How do I calculate my post tax income?

My taxable income is $40,000, residence is in MD and I'm single. Not accounting for Health/dental insurance contribution. I work for a non-profit organization if that makes any difference.
By post tax income I mean after paying federal and state taxes, how much disposable income will I have in my pocket.

Answer: I would calculate it as follows:

Take the selling price of the posts and subtract the purchase price
of the posts. This is your profit and is fully taxable.
Add this to your taxable income. You can also deduct part of
your home as an office if you spend enough time there with post
purchasing and selling matters. Be careful! The IRS is very strict
regarding the home/office deduction.
Just out of curiosity what kind of posts are you selling?

TD Bank Financial Group Reports Third Quarter 2010 Results

This quarterly earnings release should be read in conjunction with our

Getting Help - Ch. 3 - Basic Sales and Use Tax

Strongco Announces Fourth Quarter and Year End 2009 Results

Summary Of 2009 12-Month Results (i) - Revenues totalled $291.8 million, a decrease of 27% in a market that was down greater than 50% - Gross margin improved to 20.5% from 16.5%, as a percent of revenue - Expenses decreased 9% to $55.8 million - Earnings from continuing operations rose to $0.7 million from $0.4 million loss - EBITDA from continuing operations was $18.0 million, down 12 ...

Question: 179 deduction and rental loss?

I have rental property (Houses) and I purchased a truck to use 100% in the business this year.
I wanted to take the 179 deduction for part of the truck but I have a loss on my rentals
because of alot of improvements I made to them.
I also work as a nurse which generates additional income.
When I subtract the rental losses from my wages as a nurse I have taxable income.
Can I take the 179 deduction based on that or because my rental property has a loss
Im not allowed to claim a 179 decuction.
Im a little confused about this and I would appreciate any help on this matter.
Thanks

Answer: Im not sure anyone has answered your question yet. But the answer is no. You cannot deduct Sec 179 expense if you already have a loss generating from your Schedule E. Sec 179 expense is only allowed if you have net income.

Also, the "improvements" you made to the rental properties should be amortized over 27.5 years. If youre referring more to repairs, then they can be expensed.

County assessor: Property values ‘held their own’

ELKO — Elko County property values “held their own” this year, said Assessor Katrinka Russell.