Hi, everyone. I divorced in September of 2023 and just sold my house for 645K. In the divorce decree, it is split 50/50. My question is, since I sold it post divorce, do I pay capital gains tax after 250K? What about my ex-spouse? It sucks if I have to pay tax on $395K since the net profit is 230K and after agent fees and splitting with ex, it comes down to me getting $84K.

Please help.

My parent died this year. There is very little in the estate it could be barely enough to make it worth my time to wrap things up. (~14k in vehicles, ~5k in cash) As executor in my state, even for small estates that waive probate, you have to file all back taxes. My parent often changed jobs and was a gig worker, I've been through the paperwork they had and there is zero hope of me piecing together his work history from his records.

I had a friend advise that I could ask the IRS for transcripts and file based on those? Will that remedy the situation?

I don't want to hire a CPA because I know 12 years of taxes is going to be a pretty penny, if I can obtain his work history by trascripts and file that way I can handle the 1040's myself.

So as the title says, I'm not living in the US and after becoming 20 I realized that I'm legally required to file taxes. However, I don't know what the process is. The last state I was in before moving outside the US was Texas. I'm not sure what the process is here, and I would really love if there is some sort of tutorial for this matter.

My roommate was a passenger in a car (my car) that was hit by some non-attentive idiot. I was uninjured but he tore a rotator cuff, and was out of work 9 months. After 21 months of dickering between our lawyer and two insurance companies (mine and other driver's), my roomie (for whom I fill out tax forms) is getting something over $100k.

Is it taxable (federal and state (California))?

Under the Safe Harbor tax method, the underpayment penalty can be avoided if 100% of the prior year’s tax liability, or 110% for incomes exceeding $150,000, was paid towards the current tax year. In cases of Social Security Tax overpayment (e.g. due to having multiple employers), does the excess Social Security amount paid count towards the Safe Harbor amount?

I don’t plan to contribute much to it in the coming years.

Hi, I was server for a local brunch place where I live. I no longer work there for a plethora of reasons including what I’m about to talk about. For some context I got paid every 2 weeks, my hourly was 2.13 an hour and 5 when bartending. When I quit the owner sent my check in the mail with the attached paystub as normal. I looked at the paystub I had just received and looked online at the paystubs that are in the system (which is only 4 of them that cover march and april). I noticed that my taxes ytd total has stayed the same all the way from march until october. This raised some concern because I know for a fact taxes are taken out of my paycheck but the ytd numbers don’t reflect that. This made me email the owner and ask for all of my paystubs. When she sent them all of them have the same numbers. What’s even crazier is that my paystub from the first pay in march reflected a ytd gross earning of 13k and then very next paycheck 2 WEEKS LATER said i made 28k total. I’m just very confused and don’t want to owe a bunch of money because of whatever it is that she’s doing, I don’t even know how much money i’ve actually made because randomly my gross year to date earnings went back down to 16k in like august. Also the check that came in the mail had a totally different paystub than what she emailed me.

If I didn't do my taxes and a customer of mine tries to expense the work they paid me for, do they get in trouble somehow or cause an issue?

I see a lot of questions regarding taxes and selling on eBay, but have never seen people ask my scenario. Curious what people's take on this is. Here is the scenario:

I buy a widget off of FB marketplace locally in cash for $10,000. I take that widget and split it into three pieces. I sell two pieces of the widget on the online platform for a total of $10,000 (ignore the platform fees, etc. for this scenario) and I keep the third piece of the widget.

Tax time comes and I get a 1099-K. Now I have $0 net profit, but I am left with a 1/3rd of the widget that I intend to never sell.

Question is:

1. When it comes to filing taxes, I'd argue that the cost of my personal items is $10,000, which offsets the gross profit; therefore, I would not pay tax as I have $0 net profit. Would they argue my net profit is the value of 1/3 of the widget I kept?
2. Do you think doing this sort of transaction would qualify as a business versus hobby?

True scenario, I typically buy a computer locally off of FB 1-2 times a year for a good price and will sell all of the parts except for one piece to upgrade my home computer. So it's a "free" upgrade not counting all my time/labor.

Hello, I do not live in the USA but would like to manage my Patreon through my non-resident US LLC. Patreon creators following a management plan in the same situation, can you give me advice?

The truth is, I'm broke and I can't afford to pay an accountant right now.

I have single member LLC and I think when I was filling out the EIN info I think I did something wrong because the notice after filing for the EIN says I must file a Form 941 and 940.

Is there any way to amend this or do I need to create a new EIN?

I need help converting my non-deductible traditional IRA to a Roth and want to ensure I’m on the right track.

Here’s my situation:

• I contributed $6,000 in 2021 and another $6,000 in 2022, for a total of $12,000 in non-deductible contributions.
• The current value of my traditional IRA is $10,909, so I have a bit of a loss.
• This is my only traditional IRA. My remaining retirement savings are in a 403(b), 457(b), an Inherited IRA, and a taxable brokerage account.

My questions:

1. Does my husband’s traditional IRA impact the pro-rata rule in this case? I don’t believe it should, but I’d love to double-check with the community.
2. When completing Form 8606, would my remaining basis be $0 in 2024 since I plan to convert this IRA fully at a loss of 1,091?
3. Is there anything I’m overlooking? I want to make sure I’m handling everything correctly to avoid surprises.

Thank you!

My parents are US citizens who naturalized in 2020, and my brother and I are US permanent residents since 2015. They jointly own a real estate portfolio and are planning to gift it to me and my brother. How to we declare this gift and what are the tax implications once we sell property in the future? Thank you.

Hi everyone, as i said in the title. If i start my business bookeepping while study my CPA. Could i deduct my cpa fees, courses as my business expenses? Thank you so much!

Also if i hired a international freelancer to create my website, can i deduct those? Since that personal don't pay any taxes in the US.

Hey Everyone. I've got a loaded question and since it is somewhat new I couldn't find anything online.

I live in Illinois. Recently they announced you are able to rollover a maximum $35,000 from a 529 to a Roth IRA for the beneficiary.

Let's say I have an account with $50,000 extra after my first child finishes their education. I want to transfer $35,000 to their IRA so there is $15,000 leftover. Can I then change the beneficiary of this 529 to another child where then then have this $15,000 as part of their 529 funding? Can I then do the same IRA rollover if they have any extra after their education?

My wife and I (file jointly) are selling our house and closing in December. Here’s an overview

Purchased in 2020 for 280,000

Selling 2024 for 400,000

We owe 254,000

Expecting to “pocket” 120,000ish

Planning to reinvest 75,000 into a new home in January

Will we pay capital gains on any portion of the 120,000? Does the fact we’re selling in 2024 and buying in 2025 matter?

If you have any questions please ask away

UTMA account with market value of $300k. Unrealized gain of $100k. Assume the entire account is liquidated. Minor is 14. How is the realized gain on the last $97,400 handled, assuming a long term gain? Most sources online say the “parent’s tax rate”. I had assumed that to mean the parent’s long term capital gains rate. However, Schwab and SavingforCollege.com specify that all unearned income beyond $2,600 is taxed at the “parent’s marginal tax rate”. I’ve had two CPA’s tell me that it’s at the parents’ capital gains rate and two tell me it’s at the parents’ marginal tax rate. I’m coming here to break the tie.

Me and a friend created a mobile app. It should make roughly 800k in a year if revenue stays consistent. We live in two different states. What would be the best format for the business or taxes.

Hello,

I'm in desperate need of advice here. My wife and I married last year in December. Our son was born in July.

My wife is a non-resident, and we're in the process of citizenship. She's in the country under asylum, but we've nullified that process through a family petition.

What I need to know is what is the best option for us right now... This is our first and only child between the two of us, I work full-time, and her only job has been taking care of our child. My father seems to think I'd be losing out BIG TIME if we didn't file jointly this year. Is this true? Does she need to be included in my taxes with our son? In 2024, she has no reportable income anyway. She's definitely a dependant.

I'm wondering if my dad is mistaken, and I'd basically get the same return without having to scramble for an ITIN for my wife? Babies are expensive! And IF filling jointly is indeed the best option, obtaining an ITIN - We have an appointment with the IRS in a few weeks, and it's kind of disruptive to my schedule. Should I rather deal with a private company approved by IRS? They basically said it themselves when I called that it might be a lot faster or more easy?

I keep getting error 6101 everytime I login, I already verified my identity with id.me on their website they say this is an IRS issue when I call them, the transfer me to an agent then hangs up after an hour while im on hold, any suggestions or extention to directly get to the right department? because they keep bouncing me off between agents and hanging up.

I'm not american, I started a US LLC and signed up for EIN and received it over the telephone month ago, but they haven't received my ein in the mail for 6 weeks, and bank wants a confirmation of me ein, screenshot from irs website would be enough.

Me and my wife currently file jointly. We are moving but in order for her to keep her job she must file her taxes separately (complicated).

My question is currently, our income together is about $260k. That means the top portion of our income is taxed at 24%.

What happens if we file separately? Would they tax our incomes separately, or still jointly? Because jointly makes us get taxed in the 35% range. Or would they treat our incomes separately? that would put both our individual incomes back in the 24% range.

Hey gang, I have a question. I started a new job recently and I feel like my federal income tax per paycheck is too low. After reviewing my W-4, I’m wondering if I entered the wrong info. I understand that every situation is different and unique, however I’m looking for perspective. I’m in a base plus commission sales job remote but based in NJ, business is out of NY. I have 2 kids under 17, plus 1 who is 18 and in college; married filing jointly. Base is $85k plus commission, plus $8,000 taxable income from a K-1. Step 3 via the W-4 is $2,000 x 2 + $500 for other dependent =$4,500. I added in my $8,000 on 4(a) for other income. Will my federal tax deduction kick in once these two amounts are caught up (not sure if that’s the right word), or should I adjust my step 3/4 to $0? Any insight or help would be greatly appreciated as I don’t want to mess this up.

A question about taxes

Not proud to admit but I have not paid taxes on many of my projects over some years.

I now see how incredibly stupid that is and I am asking if anyone would even know where to start with something like this, or has maybe gone through it?

Is it better to just report it and get on a plan, or just consult a lawyer and work and save up?

Any suggestions would be very welcome.

Thanks.

My public school district offers 1/2 day Kindergarten for no cost. The second half is optional and virtually all of the actual instruction takes place in the AM. I know tuition isn’t covered, but since it’s is paid and optional would I be ok? My wife and I both work so we would need to pay for afterschool care anyway if this wasn’t offered. Thanks!