asked
Good Evening, I am preparing a tax return where the taxpayer received a living stipend of $17,000 with no tax form given, just a deposit into their checking account. How do I report it? I have researched Publ 970 and it doesn't specify, only that it is taxable. I have read different approaches: either entering it on Line 21 Other Income, Schedule C as an independent contractor, or Line 7 under wages and salaries. Line 7 does not fit since there are no taxes withheld against it. If it is Schedule C, what expenses can I deduct from it—rent, utilities, cell phone? And do I have to calculate SE taxes as well? Line 21 seems like the obvious choice but I'm not sure. Peter, Brooklyn NY
August 11th, 2024
My parents want to add me as JTWROS to a brokerage account with stocks, bonds, and funds, that will currently pass to me in their will. We all live in PA. Assuming I don't access any of the assets, does/could this cause a loss of step-up basis for some portion of the assets?
February 25th, 2024
Can an individual who is using the filing status of Head of Household (HOH) claiming two children as dependents also claim a lifelong girlfriend as a dependent on his taxes if he completely supports her, she does not earn any income, and she is a stay-at-home mom to these two children?
September 20th, 2024
If a final legal judgement has not yet been made and I am paying my spouse a monthly amount so that the final judgement amount is not such a burden, who is liable for taxes on this amount? It is coming out of my personal account.
February 20th, 2024
What causes the 0.01 error that cannot exceed the total net taxable amount when filing a tax return?
February 2nd, 2023
I'm purchasing 20 acres of AVA designated land to plant grapes immediately. I will pay $150,000 in taxes this year and $200,000 next year. What are my tax deductions on the new farm, and how should I structure my business to maximize deductions and protect my assets?
November 8th, 2023