Is there a tax advantage to taking a guaranteed payment to reduce tax to 7% as a salary?

October 10th, 2023

I live with my parents and have earned income (21,000 a year) and a child living with me. Do I qualify for the Earned Income Credit (EIC)? I thought I read that if you do not provide the home for your child, you cannot qualify for EIC. My child and I live with my parents. I earn 21,000 a year. I claim my child as my dependent on my tax return. Am I also entitled to EIC? My thought was that since I am not providing a home for my child, I would not be eligible for it. I do spend my money for clothes, food, etc., for me and my child. Basically, all my parents provide is shelter.

April 19th, 2023

I live in Ohio and need advice on reporting offshore gambling winnings. The site does not report to the IRS, so I will be reporting myself. I am not a professional gambler and need to know how to report my winnings and losses. Total Losses = $-12,224.92, Total Winnings = $61,687.36, Net Win/Loss = $49,462.44. I also need to know if I need to report to Ohio State tax and an estimated amount of what I will owe when I file in the spring (both federal and state).

April 25th, 2023

We purchased a house for $125,000 and have put $50,000 into it in improvements. We have owned this house for less than a year. If we sell this house right now for $225,000, do we pay capital gains taxes on $50,000 or $100,000? We live in Wisconsin.

November 16th, 2024

I worked as a seasonal hire in 2010/2011 and at other retail stores for less than a month each in 2012 and 2016. I never filed taxes for these periods because I was told my tax return wasn't worth the amount I'd end up paying. What's the right thing to do in this type of situation?

October 28th, 2024