Recent IRS Developments: Keeping You Informed in these Uncertain Times I. Payment and Filing Deadline Postponed to July 15, 2020 II. IRS People First Initiative III. Stimulus Checks I. Don’t think the Corona Virus is serious? Think again, the IRS has moved the tax filing deadline and payment date to July 15th for the first time ever! A…

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It’s Election Time! No, I’m not talking about the presidential election; I’m not even talking about anything political. Did you know you must attach certain elections to your tax return to qualify for certain tax breaks? Even many tax preparers don’t understand these elections. I find them missing from most if not all the returns…

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Rental Real Estate Depreciation Section 179 The Tax Cuts and Jobs Act (TCJA) expanded the definition of section 179 property by adding roofs, HVACs, fire protection, alarm and security systems made to non-residential rental property. These items can not be attributable to the enlargement of the building, any elevator or escalator or the internal structural…

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Oops! Its 2020 and I didn’t do any tax planning! Silly you. But here are a few things you can still do to shrink your tax obligation. Stop procrastinating and take action! I will discuss a few of these in more detail in the following weeks. Organize your records – Good organization may help you or…

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All I Want for Christmas is Some Easy Tax Planning! Tax Planning can be made to be very complicated. Complex strategies to achieve dubious results are commonly seen on internet blogs and in tax planning newsletters. However, just for Christmas, I will give you some simple tax planning tips. Contribute as much as you can into…

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The Live-In Flip – Generating Tax Free Income Gain Exclusion Section 121 – Up to $250,000 in gain on the sale of your primary residence may be excluded from your taxable income. Double that exclusion amount to $500,000 for married couples filing jointly. First you must meet the ownership test. You will meet the ownership test if…

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Rental real estate is a very popular investment in most of our clients’ portfolios. I think people like the fact that it is so tangible…people can see and touch it. Compare that to stocks and bonds and you will understand my position. However, real estate is not simple. Its not simple to consistently make good…

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Preparing Your Business for Sale (Writing the Buyer’s Business Plan) A buyer may be asked to present a business plan when requesting financing on the purchase of your business.  At this stage of the process, you are far more capable of writing a good business plan for your buyer than the buyer would be able…

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Real (Estate) Short Stories Noble Mobility Jan and Jim loved to increase their net worth and move up in the world. They would buy a house (slightly run down) and fix it up, renovate it perhaps even add on to it. Then they would live in it for two years and sell it for a…

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Avoiding the Real Estate Dealer Status A real estate dealer is one who is in the business of owning property with the primary intent of resale. Think of a real estate flipper here. Landlords should strive to avoid qualifying as a real estate dealer as negative tax consequences, such as being subject to FICA taxes, can…

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