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Recent Business Deductions questions

My siblings and I are preparing a form 1041 for the first

My siblings and I are preparing a form 1041 for the first year. The only income and expenses are from a Schedule F. It shows a loss but the software we are using does not carry it to the 3 K1's. I tried to read all I could about this (IRS and others). From what I could determine, that is correct and the NOL is just carried forward by the estate until the final return is filed or until there is net income to distribute. Is this correct? If not, what do we do with the net loss?

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Lane

JD, MBA, CFP, CRPS

Doctoral Degree

17,706 satisfied customers
If I do some work for a foreign country (Sweden) and get an

Hi thereJA: Hello. What seems to be the problem?Customer: If I do some work for a foreign country (Sweden) and get an income from them, how do I declare it to the IRS?JA: The Accountant will know how to help. Please tell me more, so we can help you best.Customer: I do not have my own business, or anything like that.JA: Is there anything else important you think the Accountant should know?Customer: not that i can think of

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Dr. Fiona Chen

President

Ph.D.

550 satisfied customers
We started an animal sanctuary in 2015 that is under the

we started an animal sanctuary in 2015 that is under the umbrella of a fiscal sponsor as a non profit. the fiscal sponsor rep says we will benefit more from counting our fiscal contributions as business expenses instead of charitable contributions. is this true?Also, we file separately and use different accounts to pay for these ongoing services and supplies. if we count as business expenses, can we both use deductions, or just one of us...not for the same expenses. though we use different accounts, both our names are ***** ***** as personal acts. they are not setup as business acts; The fiscal sponsor says it is not allowed to have separate bank act for the sanctuary.I know we will need a schedule c...i have a private counseling practice, so only 1099s and private pay. husband works for the state as employee, and would need to file schedule c, also, if allowed to yake some deductions, correct?

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Lane

JD, MBA, CFP, CRPS

Doctoral Degree

17,706 satisfied customers
If I rent out my home via airbnb for $8,000 a month months,

If I rent out my home via airbnb for $8,000 a month for three months, and I acquire a temporary residence for those three months and pay $2,000 per month for that temporary residence, is this $2,000 per month expense deductible as it relates to this $8,000 per month in income?

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Robin D.

Vocational, Technical or Trade School

21,198 satisfied customers
I am going through a short sale in az. It has been approved

Hi i am going through a short sale in az. It has been approved and the remaining debt was forgiven. At the title company I signed a its form 1099-s when I was reading it over at home. I notice I checked the section that say the house has never been used for business or rental. I do sell items on eBay and claim it on my taxes. I have in the past claimed my house as storage for my business deductions. Does this count as my home being used for business on the 1099-s?

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emc011075

Tax advisor and Enrolled Agent

Bachelor's Degree

4,196 satisfied customers
In Canada, as an only owner of a corporation that does about

In Canada, as an only owner of a corporation that does about 600k in revenue, and paying myself 80k per year, what is the most tax effective way for me to withdraw 25k from the business for my own purposes?

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Lane

JD, MBA, CFP, CRPS

Doctoral Degree

17,706 satisfied customers
Would it be worth itemizing and increasing deductions on my

Would it be worth itemizing and increasing deductions on my paycheck for this year?I have been filing standard.This year...I bought a car 3 months ago... $14,800.. 2.4% loanClosing on a house before Aug. 1... sometime in July... $141,300... 3% loan....Should I just wait till next year to adjust my deductions on my paycheck?I made $39,800 last year

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Lev

Retired

Bachelor's Degree Equivalent

24,192 satisfied customers
I have a CA LLC, single member. There has been no activity

Hello, I have a CA LLC, single member. There has been no activity in the business other than costs associated with start-up, and product development. I am considering shutting the venture down in August 2016. I have about $17000 of raw materials in inventory. My question is, if I simply dispose of the inventory (throw it away) what if any percentage of the "loss" will I be able to deduct. My personal income outside of the zero revenue LLC is $80000. thank you. Daniel

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Barbara

Enrolled Agent, Paralegal

5,132 satisfied customers
I am the sole owner of an LLC that is taxed as an S Corp. I

I am the sole owner of an LLC that is taxed as an S Corp. I also have a solo 401K and I want to make sure that I understand the process for contributing to my 401K while maximizing the contribution.I am over 55 so catchup contribution applies.My understanding is that getting $140K in W-2 wages from the LLC is the magic number so that that the maximum 401K contribution can be achieved. This breaks down as follows. I can have the 1st $24K deducted from my wages as a deferred elective 401K contribution in pretax dollars. This shrinks my taxable wages to $116K.I can have $35K = $140K X 25% contributed as a non-elective contribution.Assuming the above is correct, what I do not understand is where does the $35K come from. Does it come from me as an individual in after tax dollars from the $116 that I am getting in wages or does it come from the profits of the LLC?If from the LLC that I guess the LLC would need to have at least $175K cash = $140K + $35K in order for this scenario to work. Is this correct?Lastly, how is all of this reflected on my W-2 and K-1 of the LLC? Assume for the moment that the LLC has income of $250K for the calendar year.

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Lane

JD, MBA, CFP, CRPS

Doctoral Degree

17,706 satisfied customers
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