asked
I am a U.S. citizen married to a foreigner in a foreign country. How should I file taxes, specifically married filing separately? My wife does not live in the U.S., and I live in Arizona. Are you familiar with community property laws, and does it apply in this situation?
May 9th, 2024
I have a question about under withholding penalty. If I have at least 90% of last year's liability withheld, will I avoid a penalty for this year's withholding regardless of how much I owe? Additionally, I plan to take a large IRA distribution that will significantly increase my taxable income this year. Is there a minimum required withholding for an IRA distribution, and if I withdraw funds and later decide to put them back, is there a time limit for doing so without tax implications?
December 25th, 2023
I am filling out Form 4797 for the sale of a rental property. I have been taking depreciation for the last 4.5 years on Schedule E, totaling $25,450, including $4,550 for 2017. What amount should I put on line 2(e) for depreciation? Additionally, where should I report the original cost of the property, sale expenses, and passive losses from previous years?
July 11th, 2023
In 2017, I rolled over an employee-based 401K and Savings account to an IRA and a Roth IRA. The 401K was all pre-tax investments, while the Savings account included post-tax employee contributions and pre-tax company matching and earnings. During the rollover, all pre-tax funds were directed to the IRA and all post-tax funds to the Roth IRA. However, the Roth IRA transfer included pre-tax company matching and earnings, resulting in a 1099R statement showing 45% of the Roth IRA transfer as taxable. My tax advisor says I won't have to pay 2017 taxes due to Box 7 showing a 'G' entry, indicating a direct rollover. Why would Company A and Company B think only post-tax funds should go to the Roth IRA, and should I be concerned about paying taxes on the 45% of the funds?
November 18th, 2023
Can I claim my son as a dependent if he was unemployed during 2017, lived in a house I owned, and I provided utilities, maintenance, a vehicle, insurance, and maintenance, even though we only lived under the same roof for 10 months and his gross earnings were under $1,000?
May 29th, 2024
I have a grandson who has lived with me since February 2017. His mother has insurance on him through the state, and I have been providing for his needs such as clothes, diapers, and formula. His mother and father do not work. Could I still claim him as a dependent?
September 19th, 2024