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

Recent Tax Payment questions

Roth IRA conversion, recharacterization and tax payment

Roth IRA conversion, recharacterization and tax payment question - I am retired and don't have tax withholding anymore, so if I do a RothIRA conversion, my understanding is that I need to pay quarterly estimated tax payment. Is this correct? If so, what happens if I later want to recharacterize the conversion?Some people advocate doing multiple IRA conversions throughout the year with the intention only keeping one conversion in the end maximize tax-free growth. In this scenario, how does one handle estimated tax payments issue? Simply get the refund at the tax file time?

Read more

emc011075

Tax advisor and Enrolled Agent

Bachelor's Degree

4,934 satisfied customers
I am self-employed and my income went up substantially this

I am self-employed and my income went up substantially this year. I have 10,000 withheld from an early 401K withdrawal (which counts toward my income) but no quarterly payments. My total federal tax bill for 2015 was 13,800. My question is, should I make a payment on January 15 that will allow me to avoid a penalty. If I have withheld or paid 100%+ of last year's tax then I am OK, correct?JA: The Accountant will know how to help. Is there anything else important you think the Accountant should know?Customer: not right now

Read more

emc011075

Tax advisor and Enrolled Agent

Bachelor's Degree

4,934 satisfied customers
I have a few more questions. 1) When do I need to file to

Mark, I have a few more questions.1) When do I need to file to account for the capital gains tax on the sale of a home that occurred yesterday (per our previous thread)? It will be about 10K tax if I can pay 21%, and 48K if not. Can I wait until next year when I file income tax?2) For improvements, can anything be claimed for "sweat equity". We did major work ourselves, so the improvement costs are only material costs.3) What kind of receipts are required for improvements? Are credit card statements to Home Depot or Lowes good enough?4) I have a bunch of questions about how to file both my return and my sons if I use the Ndile George Njenge and Ekinde Sone Nzelle Rachel v. Commissioner precedence that you suggested. What needs to go into the returns explaining what I am doing? Or do I just do it and save the explanations for the audit, if I get audited?

Read more

Mark D

Master's Degree

982 satisfied customers
I own an S-Corp. I paid myself about $70K and my dividends

Hello, I own an S-Corp. I paid myself about $70K and my dividends after expenses is about $102K. I'm doing this in Turbo Tax and it says I owe over $20K in taxes. I formed my S Corp so that I wouldn't have to pay these kinds of taxes. Am I doing something wrong?

Read more

Mark D

Master's Degree

982 satisfied customers
Are smallclaims reembursements taxable with elder 90 yrs old

Are smallclaims reembursements taxable with elder 90 yrs old taxpayer?JA: The Accountant will know how to help. Please tell me more, so we can help you best.Customer: I rec'd a small claims amount of $6700.00 in a recent judgement. last year IRS refunded my est tax payments of about $2100.00 for2015.JA: Is there anything else the Accountant should be aware of?Customer: No I make about $39K including a reverse mtge.

Read more

emc011075

Tax advisor and Enrolled Agent

Bachelor's Degree

4,934 satisfied customers
I have been retired over ayear, do I need to pay incometax

I have been retired over ayear, do I need to pay incometax on my social security?JA: The Accountant will know how to help. Please tell me more, so we can help you best.Customer: My husband is 79 and I am 69, I retired in August of 2015, he retired in December 30, 2016. Do we need to pay incometax on our social security, We live in Las Vegas, NVJA: Is there anything else important you think the Accountant should know?Customer: My husband also received disability from the vetrans aqnd we aren't sure if it is taxable either.

Read more

Mark Taylor

Certified Public Accountant

Masters

2,634 satisfied customers
My husband I do joint taxes. I started a LLC this year but

My husband I do joint taxes. I started a LLC this year but have only put money into. I have yet to sell anything let alone make a profit. Can my business cost make his overall tax payment less?JA: Excellent. The Accountant can walk you through setting up an LLC or see if that's the best choice for what you want. Is there anything else the Accountant should be aware of?Customer: I have already set up the LLC. I'm interested Lin getting a tax break because it has run at a loss for the year.

Read more

Mark Taylor

Certified Public Accountant

Masters

2,634 satisfied customers
If a Hongkong Incorporated limited liability company buys

If a Hongkong Incorporated limited liability company buys property in USA for investment and then lets it out for rent ,then would it be allowed 1) depreciation ( if yes at what rate per annum) 2)will it be allowed interest paid on mortgage as expense. thanksregdsAshok Puri

Read more

Robin D.

Vocational, Technical or Trade School

22,366 satisfied customers
I set up a General Partnership (registered with the IRS and

I set up a General Partnership (registered with the IRS and have a Partnership Agreement) when I signed on with a direct sales company as one of their consultants. Now the company is saying that they no longer accept Partnerships and would like us to form an LLC, for tax purposes. I am wondering if there are other options besides forming an LLC. As the consultant I get the 1099 at the end of the year, but my Partner and I split profits, expense costs, etc. We would still like to maintain that relationship as seamlessly as possible.

Read more

Mark Taylor

Certified Public Accountant

Masters

2,634 satisfied customers
View more tax questions
In The News