http://www.expertlaw.com/forums/ Federal, state and local tax issues. en Sat, 25 May 2013 03:53:02 GMT vBulletin 60 http://www.expertlaw.com/forums/images/misc/rss.png http://www.expertlaw.com/forums/ http://www.expertlaw.com/forums/showthread.php?t=158805&goto=newpost Wed, 22 May 2013 12:04:20 GMT my sister "inherrited" 2 lump sums from investments in 2011. An amount for $65,000 and an amount for $64,000. She asked both institutes if the money was taxable. One said yes, the other said maybe. This is the only income she's ever had, first time filing taxes. In January 2012 she received tax papers for the $64,000 (the institute that said 'yes'), but received nothing for the $65,000. She assumed there was no tax due on the $65,000 and paid the tax due on the $64,000.

She just received a tax bill from the irs (year later) for the sum of $18,000+ which includes about $5,000 in penalties and interest.

Do they really charge that much for an honest mistake? Should she call the irs and ask to come in and talk about it? need advice.... ]]> Tax Law wing8lc http://www.expertlaw.com/forums/showthread.php?t=158805 http://www.expertlaw.com/forums/showthread.php?t=158727&goto=newpost Tue, 21 May 2013 03:02:55 GMT Yes i was wondering how much you have to get a year to have to pay taxes whule on ssi Im thinlkng I Twenty five thousand Is What I read and what... Yes i was wondering how much you have to get a year to have to pay taxes whule on ssi Im thinlkng I
Twenty five thousand Is What I read and what about gamblinf wins ]]> Tax Law dancingwiththestarsfan http://www.expertlaw.com/forums/showthread.php?t=158727 http://www.expertlaw.com/forums/showthread.php?t=158679&goto=newpost Mon, 20 May 2013 15:54:28 GMT This questions seems to me like it belongs in the Real Estate forums, but I can't find an applicable sub-category over there, so I'm going to try it here first.

We are looking at buying a piece of property that has been "released" (for lack of a better term) from an adjoining neighborhood. Long story short, it was originally part of the development, but was then sold to a third party who had plans to sub-divide. Looks like 3rd party plans cratered and ownership reverted to bank (this is speculation on my part - the Realtor forwarded a court order that was the result of a suit by the bank ordering the adjacent community to release the property from all covenants, creeds, and restrictions etc. - basically removing it from the subdivision).

This area (and the adjacent community) are served by a Municipal Utility District (MUD) and the tax burden is not insignificant. My question is, since the land I am looking at is no longer a part of the adjacent community, if I install a water well and a septic system and am therefore not using any of the developer's utilities, would I then be exempt from the MUD tax?

Thanks in advance for any insight you can provide. ]]> Tax Law adt2 http://www.expertlaw.com/forums/showthread.php?t=158679 http://www.expertlaw.com/forums/showthread.php?t=158665&goto=newpost Mon, 20 May 2013 02:55:48 GMT My question involves child support in the State of: FL Like to know if the money I pay in child support is tax deductible if child resides... My question involves child support in the State of: FL

Like to know if the money I pay in child support is tax deductible if child resides primarily with other parent? ]]> Tax Law jhall http://www.expertlaw.com/forums/showthread.php?t=158665 http://www.expertlaw.com/forums/showthread.php?t=158589&goto=newpost Sat, 18 May 2013 09:29:22 GMT I've been amazed by great resources provided by this site and finally have a crazy difficult question of my own.

Scenario:

1. A "C" corporation ("XYZ") of many years has been profitable (say $1 million per year), but bonuses out (say $900k comp), so as to minimize reported and reduce double taxation. It does business nationally and pays state taxes in most (say 35) states.
2. XYZ wants to sell some stock to a group of investors who are presently formed as an LLC entity, but that group of investors will demand dividends on all $1 million.

What are potential Solutions?

If XYZ changed to an LLC electing "S" status, that might do the trick, but this potential solution is not embraced by XYZ because management believes each of XYZ's owners would need to file personal state tax returns in 35 states.

Could XYZ to change to an LLC and elect "S" status for federal but elect "C" status at the various states? In quick research, it looks like many states (for instance, Colorado) have rules that treat the LLC's tax status in their state automatically the same as the LLC is taxed federally.

I need a solution that avoids double taxation on the federal level, does not require each owner to file tax returns in all 35 states, and allows LLC's and corporations to own XYZ's stock.

HeLp!!!

Thank you all VERY MUCH! ]]> Tax Law defconthree http://www.expertlaw.com/forums/showthread.php?t=158589 http://www.expertlaw.com/forums/showthread.php?t=158526&goto=newpost Thu, 16 May 2013 22:13:01 GMT Hi, very long story short I received a social last year november, up until last year I have filed taxes with An Itin number, this year I filed with... Hi, very long story short I received a social last year november, up until last year I have filed taxes with An Itin number, this year I filed with my new number however CA declined my refund requesting more information because of mismatch number to W2 form. I never sent in any information, I just filed on there website calfile using my Itin number and sure enough I received my refund in March. Now may is here and I received a second check not the same one just same amount, I checked refund status on one with social security apparently CA processed the refund without the required information. What do I do now, am I in any trouble? ]]> Tax Law Anita20049 http://www.expertlaw.com/forums/showthread.php?t=158526 http://www.expertlaw.com/forums/showthread.php?t=158336&goto=newpost Sun, 12 May 2013 15:45:09 GMT While in college I sold my scooter over 4 years ago and mailed in the release of liability. I just got a letter from the Tax Board saying I owe... While in college I sold my scooter over 4 years ago and mailed in the release of liability. I just got a letter from the Tax Board saying I owe about $300. Last year while I was overseas, I found out the Tax Board levied my bank account and removed $150 for the scooter.

I don't remember who I sold my scooter to because it was some guy on Craigslist 4 years ago.

Some guy at the Tax Board says I have to provide that guys info in order for anything to be removed.

How do I go about stopping this whole thing. I haven't owned a scooter in 4 years.

How do I fight this? ]]> Tax Law spacefrogg5 http://www.expertlaw.com/forums/showthread.php?t=158336 http://www.expertlaw.com/forums/showthread.php?t=158149&goto=newpost Tue, 07 May 2013 20:39:50 GMT Hello, I have a few questions about some forms I may be filing, I'll start with my SS-8 questions, I work for a company that treats us as subcontractors, the labor cabinet has already confirmed we are employee's and should be treated as such, they are actually in the middle of a huge investigation/lawsuit right now as previously posted, my questions are -

can I file an SS-8 and get half of my taxes back that I paid on my employer's behalf for the past 3 years?

Will I also get state and local taxes back or just federal?

If my employer can't pay my taxes ( which he won't be able to, I'm sure ) will I still get the refund that is owed to me from the government?

As far as the Whistleblower form 211, I already filled it out and everything and am ready to send it in, but I have gotten different answers from the IRS directly, two people said I could not remain anonymous, while one said I could. I know some information that would get a lot of people in trouble and possibly penalties and interest above $2 million, if they could get the money ( which I doubt they could get it all ) I would receive 30% for turning them in, but my main thing is, I really would need to remain anonymous, because two of the people that would be in trouble are into drug dealing and aren't the kind of people you want to really mess with, I have a family to think about.

So my question is, is there anyway that I can remain anonymous and still file form 211? what if I filed it under an attorney? I know there is a form I can file that is anonymous but there is no reward in that, and I'd rather not risk myself even if I remain anonymous for no reward.

My last two questions are, if the sum is below 2 million, I read somewhere that instead of 30% you only qualify for 15% and last question is,

what if I was to give a false name and Social security number, I was told that as long as I could prove at a later date that I was the one to give the information, that I would still be responsible to get my reward, is this true?

Thanks. ]]> Tax Law AJJ http://www.expertlaw.com/forums/showthread.php?t=158149 http://www.expertlaw.com/forums/showthread.php?t=158054&goto=newpost Sun, 05 May 2013 04:08:43 GMT My in-laws want to gift some money to my wife, daughter and me. They don't live in the US and are not US citizens. We are thinking about bringing the money in cash ourselves. Total is about $42,000. I understand that if we bring the money into the US ourselves, we will have to fill our form FinCEN 105 at Customs. What happens then? Do we have to pay taxes on it? Does it count as income for income tax purposes or is it simply a gift and no tax needs to be paid? Does the $14,000 gift tax exclusion factor in at all since they are not US citizens and not subject to tax in the US? ]]> Tax Law sandego1900 http://www.expertlaw.com/forums/showthread.php?t=158054 http://www.expertlaw.com/forums/showthread.php?t=157904&goto=newpost Tue, 30 Apr 2013 15:21:15 GMT I am looking to find the penalty for not filing state taxes. (in 2008) I have been battling with the state for some time. I just got a break... I am looking to find the penalty for not filing state taxes. (in 2008)

I have been battling with the state for some time.

I just got a break down of what i owe and why. they are charging me a 510 penalty. I can't find anything that says they can asses this much. Everything i find says "charge up to $50 or 10 percent of the tax required to be paid" They owed me. I have the w2 to prove i paid my taxes owed. Thus far they have just given me numbers i owe but nothing on their end adds up.

This is all i have found as far as laws

What are the penalties for not filing tax returns on time and/or not paying collected taxes? this is from http://www.tax.ohio.gov/faq/tabid/63...68&AFMID=11354

An additional charge up to $50 or 10 percent of the tax required to be paid, whichever is greater, may be levied on every tax return not filed on time and/or when the tax liability is not paid in full.
For not paying collected taxes, or not filing a tax return, a penalty up to 50 percent of the tax due may be assessed.
A $50 fee is charged for every returned check. Interest may be due on any taxes found due and not paid in a timely manner.

5751.06 Penalty for late filing or delinquent payment. this is from this website http://codes.ohio.gov/orc/5751.06

(A) Any taxpayer that fails to file a return or pay the full amount of the tax due within the period prescribed therefor under this chapter shall pay a penalty in an amount not exceeding the greater of fifty dollars or ten per cent of the tax required to be paid for the tax period.
(1) If any additional tax is found to be due, the tax commissioner may impose an additional penalty of up to fifteen per cent on the additional tax found to be due.

Can someone please help me with this. I can't see where they get their number and they are rude every time i call.
Every letter i get says you owe us x amount I ask for a break down i get this

Reason for Assmt. DELINQUENT
Tax Period MMDDYY 002008
Original Tax 82.00 ------ they owed me 154. I proved this by paper work but they say i owe them 82
Original Penalty 510.40 ------- then they say i owe a 510 penalty????
Original Asgn Int 3.96 ]]> Tax Law codeyell0 http://www.expertlaw.com/forums/showthread.php?t=157904