Adult daughter bought a used vehicle. We took it to get checked out by mechanic. Servicing will cost more than she paid for the car! How can we gift her the money to pay for the vehicle servicing and get a tax deduction?
If you can reasonably employ your daughter in your business, that is a way of getting an income tax deduction for making payments to her. Otherwise, as the other superb lawyer responded, you can only get a deduction for gift tax purposes.See question
It was my understanding that when I filed my 2014 tax return in April 2015 that the IRS was going to keep my refund; however, I just received my refund check from the IRS. What should I do?
You are entitled to keep the refund. However, you would be wise to use it to pay down your tax debt.See question
My company just received a letter from IRS including SS-8 form. The company is already out of business for a while. My former massage therapist was an independent contractor. I have been filed 1099 for him in last year. Do I need respond this form...
When you receive this form from the IRS you do not want to ignore it.See question
My ex-wife let her sister buy a new car and put it in my ex's name. She paid cash for the car, which was around $42,000. My ex owns a small business and she received a letter today from the franchise tax board wanting to audit her because of the p...
You should hire Mr. Halverson; he has given you excellent advice, as he always does.See question
My parents received their immigrant visa recently and will arrive in US in couple of months and start a new life as permanent residence. However they are not clear on the following questions: How much money can they bring with them or wire transf...
There is no limit on the amount of money they can bring into the U.S. There is no time limit on bring money and belonging to the U.S. There are no tax laws they need to follow if they bring their own assets to the U.S. However, once they become U.S. residents or citizens they must pay tax on their worldwide income and they must report (FinCen 114) their ownership of non-U.S. financial accounts and possibly other assets (FATCA - IRS Form 8938). They need a tax lawyer for this, not an immigration lawyer. However, a good CPA will do as well. In the valley you can contact Mary Akpovi in Encino. In mid-Wilshire you can contact Hamid Fani or his partner Bijan Ramineh, all fine CPAs.See question
It says on the check that it must be cashed within 6 months. Is the county still liable to me for the check amount? I checked on the Calif. State Controllers unclaimed property site but my name wasn't there.
I do not know if the county is still liable. My guess is that the answer is "no" because the statute of limitations on making the claim has run. However, it is worth making the phone call.See question
She is single and files without itemizing.
It is possible that the claim might be excluded from taxable income since it involves discrimination. However, that will require careful analysis and drafting.See question
I need your advice if the following is a sound idea, and if not, what do you suggest I do. I am not required to file income tax in the U.S. (no SSN or tax ID), though I have a MM (Money Market) account (near zero balance) in the U.S. I want to tra...
Donees do not pay gift tax. Only the donor pays gift tax. The donees however have to file an IRS Form 3520 depending upon the amount of the gift from a non-resident alien. For example, if your brother receives more than $100,000 he would have to file the form. Your argument (actually his argument) would be that the gift is not to him, that he is only your agent to make the gifts to others. But I think he should still file to be safe. The fact that you do not have a SSN or Tax ID number does not excuse you from filing a U.S. income tax return. You might meet the substantial presence test, for example. Your brother should probably consult with a competent CPA or tax attorney.See question
My (ex) girlfriend and I lived together... she was arrested in march and got out this july. I added in this time over $1000 so she could call me. She wrote to me often stating how she wanted to come home. I told her times were tough, I was clos...
It sounds like the answer is "no." You can read the rules at http://www.irs.gov/publications/p501/ar02.html.See question
If I gift the house to them, what are their tax obligations?
You are referring to the $1,000,000 exemption from property tax reassessment. That is if the property is not your principal residence. If it is your principal residence there is no dollar amount limit. If you are married you and your spouse both have $1,000,000 exclusions. Also, the federal gift tax lifetime exclusion is $5,430,000 per donor. The donees do not have obligations; for property tax purposes it is your obligation to file the deed, the preliminary change of ownership report and the Prop. 58 form.See question