If a child owes unpaid taxes to the IRS, can the parent file a lien against the child’s property to prevent the IRS from levying on the property? The court considered this in United States v. Allahyari, No. C17-668 TSZ (W.D. …
Tax Articles
Income Earned by Child Taxed to Parent
If a minor child earns income, is the income taxable to the parent or the child? There have been quite a few tax disputes involving this question. The Ray v. Commissioner, T.C. Memo. 2018-160 court case provides an opportunity to consider these rules…
Income Earned by Child Taxed to Parent
If a minor child earns income, is the income taxable to the parent or the child? There have been quite a few tax disputes involving this question. The Ray v. Commissioner, T.C. Memo. 2018-160 court case provides an opportunity to consider these rules. The Facts & Procedural History Mr. Ray the financial officer for a non-profit… Continue reading Income Earned by Child Taxed to Parent
Conservation Easement Denied for Private Golf Course
Tax benefits can cause investors to put money were they otherwise would not. The conservation easement is one example. Conservation easements reward investors with charitable deductions for putting money into projects that conserve real property. Th…
Conservation Easement Denied for Private Golf Course
Tax benefits can cause investors to put money were they otherwise would not. The conservation easement is one example. Conservation easements reward investors with charitable contribution tax deductions for putting money into projects that conserve real property. The charitable deductions can be very large in relation to the amount invested. The recent Champions Retreat Golf Founders,… Continue reading Conservation Easement Denied for Private Golf Course
Plan for Quarterly & Annual Bookkeeping Tasks
Reasonably up-to-date books can be used to make financial decisions. Business can make changes and to seize opportunities. They can also show lenders and investors that the business is serious about doing things right. But even with compute…
Line of Credit Standby Fees, to Deduct or to Capitalize?
Many businesses rely on a standby line of credit to cover their expenses, to weather downturns, and to grow. But this credit can be expensive in terms of interest and fees. The fees can be problematic as they may not be deductible for federal income t…
Line of Credit Standby Fees, to Deduct or to Capitalize?
Many businesses rely on a standby line of credit to cover their expenses, to weather downturns, and to grow. But this credit can be expensive in terms of interest and fees. The fees can be problematic as they may not be deductible for federal income tax purposes at the time they are paid. The IRS… Continue reading Line of Credit Standby Fees, to Deduct or to Capitalize?
Court Says Partnership is Worth Less, Not Entirely Worthless
The IRS often challenges tax loss deductions. In many cases, it does so by challenging the year in which the loss is allowable. It can be difficult to determine which year the loss should be taken. When an asset is losing value over time, there is a…
Court Says Partnership is Worth Less, Not Entirely Worthless
The IRS often challenges tax loss deductions. In many cases, it does so by challenging the year in which the loss is allowable. It can be difficult to determine which year the loss should be taken. When an asset is losing value over time, there is a time when the asset is worth less than… Continue reading Court Says Partnership is Worth Less, Not Entirely Worthless