When a partner earns partnership interest via personal service, how is the partnership basis typically valued?

June 8th, 2024

I filed my family taxes before the deadline, including a Form 982 for insolvency due to a property in foreclosure. I received a letter from the IRS asking for taxes on additional 1099-C forms totaling $10,000 that I never received. Can I file a new 982 form to include this $10,000 in my insolvency, and how should I respond to the IRS letter? Will this trigger a full audit?

July 1st, 2024

What are the short-term and long-term capital gains tax rates in Hawaii, and how do they compare to the federal rates?

June 17th, 2023

I have a Form 1116 question regarding US taxes for a family living in Australia with a family income of $90k, $25k in income taxes, and $10k in passive income from bank interest. The 1040 line 44 tax is $15k, limiting the claim to $13.5k (9/10ths) and leaving excess foreign general category taxes of $11.5k. The passive category income is $10k with no direct foreign taxes on the interest until the end of year tax return. This results in having to pay the US $1.5k even though more was paid to the foreign country. Doesn't this mean some of the 'income tax' levied during the year on wages was in fact passive tax on the interest, and where is the credit for that?

November 10th, 2024

My Mom is 89 years old and receives Social Security with no other income. She just sold part of her original homestead property for $100,000. What tax implications will she have?

October 26th, 2024