Sperm v. Egg Donor Medical Expense Deduction

The First Circuit Court has summarily affirmed the decision of the Tax Court (Magdalin v. Commissioner, T.C. Memo. 2008-293 (Dec. 23, 2008)) denying a sperm donor's claimed medical expense deduction, even though the Internal Revenue Service allows the expenses of

Tagged with: ,
Posted in Medical Expenses, Tax Court

Employee is alien with no green card or valid SS#

My client's employee is an alien who does not have a green card or valid social security number. As instructed the employer has requested the employee provide a social security number to use on the employee's W-2, but the employee

Tagged with:
Posted in ITIN

Colorado Sales/Use tax exemptions eliminated/suspended

Recent legislative changes have eliminated the state sales and use tax exemption for certain items. These changes were developed by state lawmakers to help balance Colorado’s budget. The legislation has no effect on items that are either currently taxable or

Tagged with: , ,
Posted in Colorado Department of Revenue, Sales Tax, Use Tax

Your Child’s Investment Income – tax implications

The following facts will help parents determine whether their child’s investment income will be taxed at the parents’ rate or the child’s rate. Investment Income Children with investment income may have part or all of this income taxed at their

Tagged with: , ,
Posted in Child Tax, Children, Dependent, Investment Income

First-Time Homebuyer Credit Documentation Requirements

The IRS recognizes that the settlement documents can vary from location to location, so here are five tips to clarify the documentation requirements. Settlement Statement: Purchasers of conventional homes must attach a copy of Form HUD-1 or other properly executed

Tagged with: ,
Posted in Tax Credit

Are you moving? What to do about taxes …

You can change your address on file with the IRS in several ways: Correct the address legibly on the mailing label that comes with your tax package; Write the new address in the appropriate boxes on your tax return; Use

Tagged with: , ,
Posted in Moving Expenses

Retirement Savings Contribution Credit

If you make eligible contributions to an employer-sponsored retirement plan or to an individual retirement arrangement, you may be eligible for the Retirement Savings Contributions Credit: Income Limits The Savers Credit, formally known as the Retirement Savings Contributions Credit, applies

Tagged with: ,
Posted in Retirement, Tax Credit

Filing for Net Operating Loss Carrybacks

Relief provided under the Worker, Homeownership, and Business Assistance Act of 2009 (WHBAA) allows taxpayers to elect to carry back a net operating loss (NOL) for a period of three, four or five years, or a loss from operations for

Tagged with: , ,
Posted in Net Operating Loss, NOL

Business Start-Up and Organizational Costs

Business start-up and organizational costs are generally capital expenditures. However, you can elect to deduct up to $5,000 of business start-up and $5,000 of organizational costs paid or incurred after October 22, 2004. The $5,000 deduction is reduced by the

Tagged with: ,
Posted in Organizational Costs, Self Employ, Small Business, Sole Proprietor, Start up costs

Gambling Winnings Are Taxable Income

Gambling winnings are fully taxable and must be reported on your tax return. Gambling income includes – but is not limited to – winnings from lotteries, raffles, horse and dog races and casinos, as well as the fair market value

Tagged with: , , ,
Posted in Gamble
Subscribe via Email

Follow me on Twitter
QuickBooks Advanced Certified ProAdvisors Online

QuickBooks Certified ProAdvisor - QuickBooks Online Advanced Certification