If I sell a current rental property, can I use the proceeds to pay off another rental that I own? Is that consistent with the spirit of the 1031 exchange? I also am the sole stockholder of a C corp that has accumulated about $600K in loan to shareholder over several years. Does it make sense to "sell" the rental property to the C corp or otherwise transfer the property to pay back some of the loan to shareholder? It would be about $500K. I know it's sort of a simple question without all corporate tax information, but if I do that, is capital gains avoided for me personally, and is that a sound way to reduce the loan amount? What taxes would the C corp pay at the point in time when the property is sold? And is there any holding time for a sale or can the C corp sell the property in a matter of months?

September 2nd, 2024

I filed my 2019 tax return correctly using TurboTax. However, a lump sum distribution pushed my MAGI over the limit for the healthcare marketplace subsidy, resulting in a $20K debt to the IRS with penalties and interest. My IRS Tax Advisor initially guided me on the correct forms for an Offer in Compromise (OIC), but I was later told I used the wrong form and received a letter stating I withdrew my OIC with no right to appeal. I'm seeking the best resolution to this situation.

October 26th, 2023

Our NY State-based LLC sold a rental property in 2021 after owning it for 2 years 9 months. The LLC has three members: two Americans living in CA each owning 40% share and a foreigner living abroad owning 20% share. The LLC has to pay long-term capital gain tax (both Federal and NC) and depreciation recapture tax, right? What tax rates are applied?

February 15th, 2023

My mom passed away on November 5, 2021. Do we need to file taxes for her? She was receiving a pension and Social Security benefits, and both agencies were notified at the time of her passing. She lived in California.

September 2nd, 2023

Where is my 2020 tax refund?

February 20th, 2024