any accountants out there that i can ask a question?

[Help]

Any accountants with sales tax experience?

I bought a car (In NJ) and I'm flipping it. Is there any way for me to get a refund for the sales tax?

[av83]

When having a portion of a primary residence used as investment (basement rental etc) What method would allocate the highest % to the investment portion but would also stand up in an IRS audit? Appraisal?

[nescafe]

When having a portion of a primary residence used as investment (basement rental etc) What method would allocate the highest % to the investment portion but would also stand up in an IRS audit? Appraisal?

I believe it'll go based on the percentage you used as investment all these years

[av83]

I believe it'll go based on the percentage you used as investment all these years

Ty- Its a new purchase.

[yelped]

I did it based on space. Primary is 2 floors and basement is one, so 1/3 as investment. Seems logical and the simplest method. Let me know if you have other ideas. Be aware that there is depreciation recapture tax upon sale of such a home, even on a primary home. 1031 should help to escape that tax, too.

[av83]

I did it based on space. Primary is 2 floors and basement is one, so 1/3 as investment. Seems logical and the simplest method. Let me know if you have other ideas. Be aware that there is depreciation recapture tax upon sale of such a home, even on a primary home. 1031 should help to escape that tax, too.

Yes- That would be the simplest method, I am looking for a way to get more than a 1/3 for the basement. The justification for that would be that the basement is 1/3 in space but has its own kitchen, laundry, bathrooms etc. so its technically more than 1/3 in value. Was wondering if an appraiser would be able to give an allocation to the value and if yes, would that hold up to the IRS.

[yelped]

Yes- That would be the simplest method, I am looking for a way to get more than a 1/3 for the basement. The justification for that would be that the basement is 1/3 in space but has its own kitchen, laundry, bathrooms etc. so its technically more than 1/3 in value. Was wondering if an appraiser would be able to give an allocation to the value and if yes, would that hold up to the IRS.

Could be. Keep us posted (although not really relevant to me now).

ETA: a method of justifying the percentages may be comparing the rents the two apartments can fetch in the marketplace and ranking them.

[nucheiner]

I did it based on space. Primary is 2 floors and basement is one, so 1/3 as investment. Seems logical and the simplest method. Let me know if you have other ideas. Be aware that there is depreciation recapture tax upon sale of such a home, even on a primary home. 1031 should help to escape that tax, too.

Regarding depreciation recapture. If depreciation was claimed on a property for just one years tax return, can the return be amended to remove the depreciation (and pay the higher taxes)? The point would be to avoid taxation of a property that was a primary residence (within 3 years)?

[davidd75]

If i need 7k for a certain purchase in 2023 is it a good idea to w/d from my chase mutual fund account in 2022 since most of the stocks went down this year?  anything else I should know?

[whacked1]

If i need 7k for a certain purchase in 2023 is it a good idea to w/d from my chase mutual fund account in 2022 since most of the stocks went down this year?  anything else I should know?

Do you have other gains that you're trying to offset? Otherwise, why take the loss? (Disclosure, not an accountant)

[davidd75]

Do you have other gains that you're trying to offset? Otherwise, why take the loss? (Disclosure, not an accountant)

not sure about other gains i dont monitor all of them so closely?

what is the tax effect of taking a loss?

[Shaya E]

what is the tax effect of taking a loss?

The loss can be used to offset other (realized) capital gains

[davidd75]

The loss can be used to offset other (realized) capital gains

yes I understand but what if someone does not have any gains? any tax consequence?

[nescafe]

Up to 3k/year can offset regular income. Whatever is left rolls over to future years

[davidd75]

Up to 3k/year can offset regular income. Whatever is left rolls over to future years

so sounds to me like its a good way to w/d 7K as its actually tax advantageous( No taxes paid) and actually even better since most mutual funds went down and I can offset my salary income etc...?

[davidd75]

So identifying the funds that lost the most would be my best bet for tax purposes?

[sruly101]

Hi,

S-Corp with no payroll, only self employed, can life insurance be considered as a deduction/expense.

[Ankster]

If I am signed up for the AMEX business checking account, I imagine that I will be sent a 1099 for the 60k MR bonus. When it comes to filing taxes, can I simply file the 1099 and report the ~$600 as income or do I need to file a Schedule C as well? I only signed up for this account to get the bonus but don't have a business that will generate any income.

[dealmaster]

Up to 3k/year can offset regular income. Whatever is left rolls over to future years

is this automatic or do I have to keep track and let my accountant know, year by year, until the loss runs out? Thanks

[Dawie]

is this automatic or do I have to keep track and let my accountant know, year by year, until the loss runs out? Thanks

automatic