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Eric P Rothenberg
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Eric Rothenberg’s Answers

359 total


  • My wife's inherited everything without going through probate. Does she need a letter of appointment to get Tax Refund?

    CPA doing the 2014 Tax return for an Uncle that passed says he needs the appointment letter to send with the return in order to get a refund.

    Eric’s Answer

    If there are no private assets and there's an IRS refund you either have a joint account with the decedent or not. If she had a joint account with his name she can sign his name to the return & deposit the check into the joint account. If there is no joint account then she should be appointed Personal Representative.

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  • I am 19 year old college student not working live with my grandparents when not in school can they claim me on taxes for FAFSA

    I am 19 years old lived with my grandparents during senior year of high school but my dad claimed me on taxes he doesnt support me nor give any child support can I be claimed on my grandparents taxes and use that for my FASFA. My dad didnt want to...

    Eric’s Answer

    The dependency exemption is not necessarily tied to occupancy or monetary support. Sometimes it's based upon a court order and sometimes by agreement of the parents (See IRS Form 8332). However, if your grandparents provide more than half your support and you live their more than half the time, then neither of your parents can claim you as a dependent. Please seek help on this.

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  • What happens in Massachusetts if the executor does not file estate tax form o time because not all funds are retrieved within 9

    Months and more proceeds could be coming making over 1 million but not sure how much insurance maybe double indemnity is executor in trouble lawyer handle case did not tell executor to file estimate or extention since not aware of polic...

    Eric’s Answer

    First, interest & penalties are based upon the balance due so if there is no tax due there are none. Second, not all insurance is included in the taxable estate so make sure the attorney knows what he's doing. Third, you might want to consider getting a review or second opinion.

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  • Can my child's father claim her as a dependent in his taxes?

    My daughter lives with me but her father pays child support but only has visitation. We di share legal custody, he is asking to claim her in his taxes but am not even sure he can do that since our daughter lives with me

    Eric’s Answer

    You can release an exemption for a dependent to the non-custodial parent either for 1 year or more if you fill out and Saigon Form 8832. This allows him the dependent exemption but not the right to use that child for Head of Household filing status.

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  • PROPERTY TAX DISPUTE: town is claiming $90K owed in back taxes on land that has been unbuildable for decades due to swampland.

    A lot of land was bought in the 70's by my dad (who has been incapacitated for many years). He never got around to building on the land as planned, & over the years (by the 1980's) the land had become wet & unbuildable. In fact, my dad was turned ...

    Eric’s Answer

    While you are in MA, this is a FL state law question. But here in MA, real estate property taxes are not personal against the owner. They attach solely to the land and buildings. So if the taxes exceeding the FMV of the property, then you simply walk away and let the city of town take the title back and re-sell it. Also, here in MA, you cannot complain about over-valuation unless you file for an abatement within the same year of the bill. It must be paid in full to challenge it. Also here in MA, if your property is assessed high based upon the belief it's buildable, you cannot use that at the building department to show it was either a 2-family when it's not, or a buildable lot when it's not.

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  • I have a FATCA question. Does anyone know what constitutes Indian Reportable Account under FATCA India US Treaty?

    The link to the document is here: http://www.treasury.gov/resource-center/tax-policy/treaties/Documents/FATCA-Agreement-India-7-9-2015.pdf

    Eric’s Answer

    This type of question is far too complex to be answered in this forum and without a lot more information. Generally these types of treaties between countries relates to which income is subject to one or both countries. I highly recommend you seek a preparer who is familiar with international income taxes and not undertake this yourself.

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  • What paperwork needs to be filed when closing an LLC from a state and federal standpoint?

    I recently closed an LLC in Massachusetts. I filed the certificate of dissolution and confirmed that it has been certified. I was told that I also need to file IRS form 966? Is this required when an LLC is closed? When I read the instructions...

    Eric’s Answer

    If the LLC was taxed as a corporation, then Form 966 may be appropriate (but no always). If the LLC was a 1 member LLC and it was reported on Schedule C, then no, Form 966 is not needed. You simply report to the IRS (and the state) that the Schedule C business ended.

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  • Tax filing requirements for an LLC

    I have an LLC registered in the state of Massachusetts. For the past year (2014), there was no income nor any expenses. The tax preparer told me that nothing needs to be indicated on the schedule "C" since there was no income or any expenses. Mor...

    Eric’s Answer

    If this is a 1 member LLC to be reported on your Schedule C, then it should be reported in full. And at first you say there was no income but then you ask about earning less than $400. Earnings are gross receipts less all expenses and is not a test for anything. Please seek a tax return preparer for these answers

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  • Gift tax return

    A Gift was made to a trust where there are 2 beneficiaries that are children of the donor and 3 beneficiaries that are grandchildren. One child has a 50% share of the trust, the other child a 40% share. The grandchildren have a total of 10% share....

    Eric’s Answer

    First you need to remember to deduct the annual exclusion for all five beneficiaries if the trust has the so-called Crummey provisions. Second, if the gift was other than cash (meaning a check, money) then there may be discounts on the value of the gifts. Third, the generation skip gifts are complex and there are allocation rules, so I would NOT prepare this yourself but seek a qualified tax return preparer who is familiar with all these concepts. At a minimum a CPA or a lawyer.

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  • Taxes. How to declare Student Grant Received from abroad?

    I have been doing my undergraduate studies here in the US and I received about $27k from the Turkish government in 2014. How do I declare this income to the IRS since this was my only source of income?

    Eric’s Answer

    You need to get a good tax return preparer. I would not try this yourself as I can be quite complicated.

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