I am a 1099 salesperson earning bonuses and monthly residual income from credit card processing accounts. The company has offered to buy $5,000 of my monthly residual income for $150,000, which they will deduct from my residual income for life. Can I treat this as capital gains since I am 'selling' my $5,000 monthly interest in my portfolio?

April 4th, 2023

We had a mortgage with a balance of approximately $150,000, abandoned the property, and it went to foreclosure with a sheriff's sale. We received $6000 from an independent foreclosure and filed bankruptcy including the full loan amount. The IRS now wants us to claim the $6000 as fully taxable income in 2013. Does that sound right?

July 9th, 2024

How do I report Australian wages on Form 1040, considering I have already converted the currency on the PAYG summary? I was present in Australia from July 15, 2012, to January 2015, and made $2,800 with $300 withheld tax paid to Australia in 2013, and $27,000 with $3,000 withheld tax paid to Australia in 2014. Should I use Line 7, Form 2555, and Form 1116? My parents gave me more than 1/2 support in 2013 but did not claim me, and I had no home in the US except my parents' house. In 2013, I had no other substantial income other than a $10 dividend from Merrill Lynch, but 2014 requires filing.

January 24th, 2023

Can we include the equivalent cost of airplane tickets purchased with credit card points as part of our unreimbursed moving expenses when filing our tax return?

November 22nd, 2023

Will New York accept a W-2 or Form 1040 with an ITIN (Individual Taxpayer Identification Number) instead of an SSN (Social Security Number)?

March 22nd, 2024