I'm filing taxes for an S corporation and putting together documents from merchant accounts. One merchant account is registered with the business EIN but was verified with the last 4 digits of another member's (not the owner) social security number. Will that person have to file any separate documents on their tax return if they received no income from that merchant account?

October 14th, 2024

I am closing an S Corp with $2,000 in earnings for 2015, $12,000 in retained earnings from 2014, and $1,000 in capital stock from 2014. Should I report the $12,000 in retained earnings as compensation to the officer or as a capital gain on the individual tax return?

August 29th, 2023

When filling out forms 982 and 4797 for a rental property short sale, where should the reduction of the basis by the total amount of cancelled debt be reported on form 4797?

April 22nd, 2024

I am a permanent resident in PA, originally from Canada. My father passed away in 2015, and my sister and I received death benefits from his company's pension plan. The original amount was $45,383.45, with $11,345.86 withheld for non-resident tax, resulting in a net amount of $34,037.59. I received a Revenue Canada NR4 Statement for this income. My wife and I are filing jointly for 2015, with her grossing $19,500 and my business having a loss of $800. We currently expect a refund of $7,600 due to having two kids. However, applying the death benefits would result in owing over $1,000. Our tax preparer is unsure whether we need to claim these benefits. Do we need to claim this, and if so, what can we do about the amount of tax taken by the Canadian government? What forms or sections do we need to fill out?

September 9th, 2024

Your answer states I should file an 8582, then list a bunch of conditions for the Special exclusion. I meet all those. Then you write if I meet all those I should NOT file an 8582. So to be clear, I should NOT file an 8582?

November 13th, 2023