If a taxpayer is starting with a zero M-2 balance because prior year distributions exceeded AAA balance by $5k, in the current year, do you need to make a reduction (other reduction) on Schedule M-2 to reflect this, making the ending M-2 balance tie to the retained earnings account?

September 19th, 2024

My wife's doctor suggested a gluten-free diet, even though she tested negative for celiac disease. She feels better on this diet. Can the additional cost of gluten-free food be deducted as a medical expense on our taxes, and are there any differences in tax rules in New Jersey regarding this?

September 18th, 2023

What can I do to clear up a misunderstanding with the state of North Carolina regarding my residency status for tax purposes? I moved out of North Carolina in 2008 and received a license in Tennessee. I have been overseas since 2005 working in SWA, and prior to moving from NC, I always filed for tax exemptions for Federal and State Tax each year I was still living in NC (2005, 2006, 2007).

April 22nd, 2023

We have an LLC in California that has elected to be taxed as a C Corp. We declared our annual bonus for 2011 on Jan 26th 2012, which resulted in late payment of bonus-related taxes to EDD and IRS. We paid the additional taxes promptly but received penalty and interest charges. Is there a way to appeal these charges, and if so, what should we write to EDD and IRS? Or, were we wrong in making the bonus payments for 2011 after the tax payment due date for the period ending Dec 31, 2011?

February 22nd, 2024

I sold an easement on my property to a pipeline company in 2011. I was paid by check and did not receive a 1099. How and when do I report this income to the IRS, including the specific form number?

March 14th, 2024