Join the 9 million people who found a smarter way to get Expert help

Recent Negative Income Tax questions

My husband and I would like to buy a little fixed wing

My husband and I would like to buy a little fixed wing airplane for our LLC. We develop apps and software specifically for pilots and aircraft operators.Our clients are spread all over the United States and most of them are located at an airport or small airfield and we could visit them much easier in a plane than with a car.We could also fly to airshows, aircraft exhibitions and trade shows since all these events offer fly-ins for aircraft owners. Owning and flying our own aircraft would also improve our image in the pilot community (“We use our own products and we know what we are talking about”). My husband holds a US private pilot license for fixed wing since 1999. He also has a private and commercial helicopter pilot license since 2010.My tax question: Would the purchase an aircraft bring us any tax benefits? Let's assume we buy the plane for $50,000. Would the plane become an asset which we can deduct for depreciation over several years? What about the running costs such as: maintenance, repairs, hangar rent, landing fees, aircraft fuel?What if we go on a promotion tour with this plane and document about this trip in a web blog to generate more traffic on our website? Would the costs for the tour be “Promotional Costs” similar as having a booth on a trade show?Thank you very much in advance!

Read more

Lane

JD, MBA, CFP, CRPS

Doctoral Degree

star-full
16,736 satisfied customers
can ownership on a variable annuity be changed from a revocable

can ownership on a variable annuity be changed from a revocable living trust to an individual? individual is grantor of the trust and the social security number will not change

Read more

Stephen G.

Sr Financial & Tax Consultant

Bachelor's Degree

star-full
8,926 satisfied customers
I have just set up an LLC in Virginia (April 2012) and need

I have just set up an LLC in Virginia (April 2012) and need to complete an election classification form. Are the benefits of selecting corporation enough to outweigh the disadvantages? I am concerned because apparently I may have some requirement to file something for the end of the quarter. I am just in the process of setting up the business and haven't generated any income, but want to make sure I don't get in trouble with the IRS.

Read more

Lev

Retired

Bachelor's Degree Equivalent

star-full
24,192 satisfied customers
If I am paying for my granddaughers school tuition but do

If I am paying for my granddaugher's school tuition but do not claim her as a dependent, can I claim the tuition as a deduction? She and her parents live with us and due to a her dad's kidney transplant and her mother's diabetes have hugh medical bills so they do not pay rent p does this affect our reporting status? Thanks for any help you can give.

Read more

TaxMomNJ

Tax Advisor

Associate Degree

star-full
158 satisfied customers
I have currency related losses in 2008 on a foreign fixed deferred

I have currency related losses in 2008 on a foreign fixed deferred annuity that are greater than the interest I earned in 2008 on the annuity. I understand that both interest and realized and unrealized currency gains from the annuity are taxable as ordinary income in the year incurred. If I have ordinary income losses from the annuity in 2008, am I allowed to offset those losses against other income in some way (e.g. against other 2008 interest income, other 2008 ordinary income, or carried forward to offset against possible future currency gains from the annuity?

Read more

Ed Johnson

Senior HR Consultant and Business Devlpm

Bachelor's Degree

star-full
6,994 satisfied customers
Wendy/Annie, any tax preparer, please help. Tax Credits. 1)

Wendy/Annie, any tax preparer, please help. Tax Credits. 1) How does the earned income credit produce a “negative” income tax? 2) Diane is a single taxpayer who qualifies for the earned income credit. Diane has two qualifying children who are 3 and 5 years old. During 2007, Diane's wages are $15,100 and she receives dividend income of #300. Calculate Diane's earned income credit using the EIC table in Appendix B. 3) Calculate the amount of the child and dependent care credit allowed for 2007 in each of the following cases, assuming the taxpayers had no income other than the stated amounts. a) William and Carla file a joint tax return. Carla earned $26,000 during the year, while William attended law school full-time for 9 months and earned no income. They paid $3,500 for the care of their 3-year-old child, Carl. $_____________________ b. Raymond and Michele file a joint tax return. Raymond earned $#2,500 during the year, while Michele earned $9,000 for the year from a part-time job. They paid $7,000 for the care of their two children under age 13. $___________________ c. Beth is a single taxpayer who has two dependent children under age 5. Beth earned $23,500 in wages during the year and paid $6,700 for the care of her children. 4) Martha has a 3-year-old child and pays $10,000 a year in day care costs. Her salary is $45,000. How much is her child and dependent care credit?

Read more

TaxMomNJ

Tax Advisor

Associate Degree

star-full
158 satisfied customers
How much federal and state tax should be due if I earn ...

How much federal and state tax should be due if I earn 20,000.00 per year, or 22,000.00 per year...and how much earned income credit will be allowed if I file single or head of household with my son as an exemption?

Read more

Lev

Retired

Bachelor's Degree Equivalent

star-full
24,192 satisfied customers
The DOW was 1000 points 45 yrs ago. Since the DOW is over

The DOW was 1000 points 45 yrs ago. Since the DOW is over 18,000 today does that mean that a $1,000 invested in the DOW 45 yrs ago would be worth $18,000 today throughout all the market crashes during the 45 years assuming I never sold.

Read more

Lane

JD, MBA, CFP, CRPS

Doctoral Degree

star-full
16,736 satisfied customers
IRS refund check was not cashed years and now I found it.

IRS refund check was not cashed for many years and now I found it. What form can I use to have the IRS reissue it?

Read more

Robin D.

Vocational, Technical or Trade School

star-full
20,588 satisfied customers
View more tax questions
In The News