gifted funds

When $2500 is gifted from parents - does this need to be claimed or is it tax exempt?

Tax on Sale of Home

When you sell your house, how long do you have before you need to reinvest the profits into a new home before you must pay taxes on that sale? I am 56, but my next home will not be my last one.

Thank you.

Inheritance tax and trusts

My grandmother passed away, leaving the contents of her trust to be divided among her children and grandchildren. The trust executer advised each of us to talk to a lawyer about our inheritance and setting up our own individual trusts. Why do I need a trust?

Using a second LLC for tax advantages and to shield assets

Let's say I have a home-based business where I will need a vehicle to visit clients. Would it make sense to create a second LLC for the purpose of procuring capital and equipment, use that LLC to purchase a vehicle that I then lease to my home-based business for ''business use and reasonable personal use.'' My thought is that doing so will (1) allow the entire vehicle purchase to be written off for tax purposes, (2) shield the vehicle from being an asset on the home-based business's books in the event of a lawsuit, and (3) allow the vehicle to be used for reasonable personal use and still write off the entire cost of leasing it from the 2nd LLC. Is this correct? Am I making this too complicated? Thanks for any input.

Notice of Intervention

I have to file a notice of intervention, within the next 55 days. I have an EX that is filing for Relief from joint and several liability for the Tax years of 2002 and 2003. How do I file a notice,what needs to be in it and can I find out more info about this somewhere on-line

settlement on wrongful death

Do I pay taxes or declare income on settlement on wrongful death lawsuit on my mother who sustained fatal injuries leading to her death? There were no punitive damages.

Inheretance tax

My father is both the Executor and primary beneficiary of his deceased fathers estate, in the amount of $167,000.00. We- my Father and I- are planning to put a down payment on home with the proceeds. What, if any, are his tax liabilities in terms of the Estate/ Inheretance Tax, or anything of that nature?

taxes

i am starting a new business in 2008. i will be selling on the internet items that i purchase from garage sales, stores, wholesale, etc.... i have my ein number that i received last week and I will be getting my business license tomorrow. I am ready to go but have a question about how to keep my recorsds straight. I have a page of merchandise purchased. It includes date, item price, number of items and a receipt if possible will be added. on a seperate sheet is my items sold list. it says date, item, price and qty. Does this info need to be on the same sheet? Will I be paying taxes on the price i sold at or the profit? I will be selling on ebay primarily but will also set up a website this year. On ebay there are fees associated with the transactions so how do i do that also? I also have seperate sheets for business expenses, mileage, etc.

thanks!

Transportation write off?

I am a self employed nurse massage therapist. I maintain an in-home office and an office outside my home; driving daily as needed to the outside office to provide the therapy on clients.

Two years ago I had developed vision difficulties resulting in having to take the driving test every 2 years to renew my driver�s license. If I am denied a renewal of my license this February because I don�t meet the DMV�s Visual Acuity Screening Standard, of course I will not be able to drive to work. Driving to work includes bringing back and forth linens and supplies for up to 10 people each day, this fills the back seat of my car. Taking a bus would not be an option. Since I would be forced to be driven by someone else to maintain my business would the money spent to pay a taxi service or a private driver be a write off in any way on my Federal and/or State taxes?

divorce/IRS tax question

I am going through divorce and my husband is threatening to make me pay for his error of claiming 7 dependents for years on his taxes - we file married but separate - have been living separately for 11 years, have 2 children who live with me full time (joint custody) and he was caught cheating IRS when we were not living together. I hope I am not responsible for his gross mistake. Can I be considered an innocent spouse or something like that?

Per Diem Law

I have seen the contracts my company writes up and they bill our clients for double the per diem that they pay us. Given that this is tax free money, is this legal? Are we entitled to the full amount? Is our company scamming us?

insolvency

Can you tell me if a 401k should be calculated as an asset in insolvency? If so, how does the IRS calculate a FMV for this because I cannot take the money out.

Estate Tax Responsibility

Executor of grandmother's estate has now died (grandmother died in 1999). Large estate tax on grandmother's estate because of farm. Installment agreement with IRS, waiting on sale of farm. Farm still has not sold, but second installment due. Would grandson's estate be responsible for estate tax?

taxes

my son owes $60,000 in past IRS taxes. He needs to pay it by oct 29,2007. What can he do to stay out of jail?? no way he can come up with that much money.

Tax question

Hello.I host a radio show on blogtalkradio & I do it from my apartment.

I have not registered it as a business,because I do not own blogtalkradio,but I do host a show on it.

If people pay me to advertise on my show,should I get that taxed when I receive those payments or wait until the end of the tax year?

Also,is it considered a business if I am running it out of my apartment,but do not have documents saying it's a business?

Am I allowed to write off certain business expenses?

Bonds' Homerun Ball - Gift Tax?

I've searched, but can't find an answer with cites or references.

MLB owned the baseball when it was in play. But, did they retain ownership and give it to the fan (and thus, subject to gift tax)? Or, was it abandoned? Any other theory/reasoning?

Business loss

We currently closed our restaurant business. We were operating under an LLC however I have some debt to my business partners via promissary notes that I have to repay totalling about $100,000. I have agreed to repay these notes at a payment of $864 per month for the next ten years. Can you tell me if these payments can be claimed on my yearly tax returns?

Tax Lein

My son-in-law is an actor and is incorported. The IRS says that one claim was not filed and the other one was 16 mon. late. My daughter and her acct. can prove that the IRS is in error. In the meantime, the IRS has put a lein on the building where Joe's manager has office space. Joe has nothing to do with this property. Joe doesn't own any property. Can the IRS do this legally? The IRS agent said a lein could be put on anything Joe is associated with. This doesn't sound legal.

Divorce/children't trust taxes

All three of my children have a trust provided for by the maternal grandfather. After our divorce my wife claims 2 of the children on her income tax and I claim 1 daughter who lives with me. This past year my wife or her father sold 48,000 worth of stock in my daughter's fund. We have no control over this trust fund and recieve no benefit from the sale of this stock. We have claimed Alayna on our taxes back in February. (as per our agreement ). Today July 1, she sent me over a return made out for my daughter in which she said that we are responsible to pay for the tax on that sale of $48,000 worth of tax which amounted to $1700! We have no means to pay for this and had nothing to do with the sale of that stock, nor did we receive any money for that. We protested to her. She said because we claim the daughter, we are responsible. ( In the past, the kids returns have been separate.) I spoke to my ex-wife and said how unfair I thought it was that she or her father (who is now deceased) can sell any amount of stock they want and we receive no benefit (nor does my daughter) but still are required to pay the tax! What if they decide to sell it all while I am still responsible to pay for it....Help!

Non Profit Case Law

Does anyone know of case law supporting a non-profit's right to operate a retail business? We want to open a non profit educational bookstore, and the IRS is asking us for case law to support that. WHAT'S THE DIFFERENCE between a non profit running a bookstore to help pay operating/run the org. vs. any of the thrift shops, etc. run by plenty of other charities? They all operate retail businesses, but we need case law cites to support our IRS app. Thanks for pointers to info