I live in California and I was wondering about taxes on online gambling. My problem is that I lost more than I won. Since this is an offshore gambling site, my deposits are in the form of charges from an out-of-country online site, and when I get a check for my winnings, they also come from outside the country. I cannot really prove that this is gambling loss and winnings. What do I get taxed on if my net is 0, and how can I avoid getting audited for them to have to connect the dots?
June 15th, 2023
If a person has a bank account in a foreign country, the money came from the sale of a piece of property in that country, and a tax is paid on the interest earned on that account to the country where the account is held, does he also have to pay tax to the IRS (double taxation)?
September 22nd, 2024
I want to give my children some money. What is the maximum amount I can give and have it considered a gift that is not taxable? Will I have to pay taxes on that gift as the donor?
January 7th, 2024
In the U.S. Virgin Islands, the VIBIR is required by law to mirror the IRS's tax law system. However, during exams, the VIBIR often sends a 90-day letter just days within the 90-day assessment statute, denying taxpayers the opportunity for an informal appeal even if Form 12203 is filed before the deadline. This skips the internal appeals process, forcing taxpayers to either agree or go to tax court. Are taxpayers being denied due process rights in this audit procedure, and who should be made aware of this issue?
June 3rd, 2023
I have an LLC that had minimal income last year (less than 5K), and my tax preparer suggested phasing it out and filing a regular Schedule C for my business deductions. I didn't file taxes for the LLC for 2012. If I make income this year (<10K) from commission sales, should I use my personal tax ID (SSN) for the W9 or the LLC's? Should I leave the LLC alone and let it die out?
December 29th, 2023
I bought a home in 1996 for $130,000. I lived in the house as my primary residence until October 2012. For the past 4 years, I rented a room, but the home was still my primary residence during this time. Beginning December 2012, I moved out and rented the entire home. What is the latest date that I can sell the home and still claim the $250,000 exclusion?
May 6th, 2024