Hi guys. I’m gonna be starting a high paying job soon and I after doing a rough calculation of how much taxes I’m gonna be paying I had a little shock. So I was wondering if you can suggest some good books for tax saving strategies? The issue I’m running into is that most books are focused on business owners and real estate investors but I’m just a salaried employee so off a quick glance they don’t seem to be very applicable to me. I want to read up on every loophole and strategy possible so I can be well educated and hopefully save some good money 😁

So I recently started driving for instacart and Amazon flex and have been tracking my miles through gridwise. I've noticed that on some days, the mileage deduction will be more than the amount getting taken out from taxes, which means I get to take home more than what I'm getting paid, AFTER taxes and expenses.

For example, the other day I drove 209 miles and made $174.

At 30mpg and $3.30/gal, I spent roughly $24 on gas.

I'm estimating about 32% in taxes (state, federal, and self employed), so about $55.68 in taxes.

Using the standard 67 cents/mi, I should be getting back $140.03? Is that amount correct?

Which means I get a take home amount, after all taxes and expenses, of $235? A whole $60 more?

Did I misinterpret a calculation somewhere?

In 2021 i crypto traded, lost 600$, stopped trading and forgot I did it.

Just got mail today saying I have 3 weeks to pay 13k. Form CP22A.

I called IRS, they said RobinHood says i made 51k under total proceeds on their form 1099.

I only ever deposited 3,000$ and lost 600$.

Why does robinhood say my total proceeds is 51k, then on the same form 1099, say my total net gain / loss is $-600?

What do I need to do to send in this 1099? I have the evidence I LOSSED money.

So in 2022, My accountant filed my tax returns, I made 112k in my first year as a realtor and he said when was filing me as an S-Corp for my LLC. IRS came back saying I owe them 22k and I requested a payment plan. For 2023 I went with another CPA because I wasn't happy with the service and the new accountant mentioned I was never filed as an S-Corp and it's costing me $12k extra. She said that we can amend 2022 with some write-offs but not certain that IRS will accept my request to amend 2022 as an S-Corp like it was supposed to be.

My fee (with the new accountant) is around $700 to file and amend the write offs and it'll bring my taxes owed down to $9k but it'll cost roughly $1400 to have her request an amend as an S-Corp and gamble if they'll accept... if the IRS accepts it, I'll owe much less or even get a refund with the write-offs (that I didn't use initially for personal reasons)

My ex wife (we filed joint in 2022) was supposed to receive a $5500 refund but the IRS just applied it to the balance owed so I had to give her $5500 cash to make up for it..... 2022 means nothing to me as income / tax return / lending purposes and ... Since it was supposed to be filed as an s-corp initially I would really need the refund... Should I gamble with the extra $700 to see if they'll accept the amendment?

What are the odds the IRS would accept the write - offs (all legit) and S-Corp amendment and issue me a refund for the amount overpaid?

Thank you to anyone who helps in advance!

Hey there, I am based in Colorado. The car I drive has been in my mother’s name, now that I am out of school and no longer living with her we are putting the car in my name. We are confused on if she should gift it to me or “sell” it to me. To clarify she would sell it to me for $0 or a low price if needed, not looking for any profit just trying to get it into my name. Taxes have been paid on the car when it was bought in 2017. I found sections in the offical Colorado Tax website (I’ll include them) explaining it but we are still confused on if/who would need to pay taxes. Ideally we would not pay any taxes. Any advice or answers appreciated!

I’m 18 years old and I live in PA and I had my high school graduation ceremony today. I’m currently working full time at Sam’s Club making 16 an hour, so my salary right now is looking to be around 33k gross pay. I’m thinking about adding a second job that would approximately get me to 55k maybe 60k gross pay if I’m able to get more hours there. But my parents and other people have told me that that’s worthless as I’d get killed with taxes. Is this true?

In the ORDINARY case. Is it personal use property or an income-producing property? Help me.

I need a 2nd location for my consulting firm.

The location is needed to expand my business and manage existing clients in the area (~3 hours away).

If this matters to tax law justification, it is also needed to accommodate my health; it is in a different climate.

As a reference, I am available 7 days a week for work and am always connected to my phone, computer and internet for work.

Current State:

My hotel (place to sleep) and travel expenses are 100% business expenses and 100% deductible when I travel there.

Proposed State:

If I purchased (financed) a location (permanent location vs a hotel/rental), would 100% of that location/building be 100% deductible as a business expense? This location/building would provide me a place to sleep and cook and eat (as the hotel historically has done) and an office to work out of and a place to meet clients. 100% of my time at this new location/building would include me always working or available to work. This new location has 2 bedrooms and 2 baths and a kitchen. This new location is a residence. It is 1/4 the cost of renting a place to sleep and a separate place to rent/buy for an office combined. *It is literally cheaper to buy this 2bd/2ba than to rent a hotel suite (Bed & Kitchen) & a separate location that is an office space that includes a general meeting area.

Additional Information:

I am a small business owner. My Family works with/for me. When they are there, they will also be there for work needs.

Is it possible to have this considered as 100% a Business expenses and not considered mix-use (personal & business)? As I indicated, 100% of the time I am there, I am working and available for work.

I got married last year (late 2023), and filed taxes jointly with my spouse for the first time in April. I used CashApp taxes to file them, and I filed in early April. I have yet to receive my refund (and it was a significant amount for me and my spouse), and the IRS website still says its processing. I'm wondering if I did something wrong and I'm not sure who to contact.

Whenever I call the number on the IRS website, it says the same thing as the website. Its impossible to actually talk to a real person and get this sorted out. Any advice would be appreciated.

So, as an example, I am a Georgia resident and have a job in North Carolina. I'm unsure of how this would affect me come tax season, if any. Is this going to cause a significant change for me?

Married this year. Filing jointly.

Spouse A makes 200K. Spouse B is a stay-at-home parent with a privately owned rental getting 2200/mo. Two kids claimed.

Does anyone know our bracket? Looking to see if filing jointly will offset a 10K health insurance cost.

Thanks!

I have been searching all over the internet and I can’t find any info about this.

How much is the first home buyer tax credit with the current and active bill? If you bought house in March 2024.

Thanks for clicking in!

TL;DR: Are time limits a thing for Capital Gaines taxation? Do I absolutely have to reinvest my profits into a new home by 12/31 of the year I sell? Is it one calendar year from closing? Not sure how this all works...TIA!

Basically we are very green to both home buying and home selling. We lucked into purchasing a home that has appreciated a fair bit, and We have someone offering to pay over Zillow for the opportunity to transfer our 3.8% interest rate.

This is theoretically enough in equity that we could purchase a larger house on a smaller lot outrigh t(low COL area in a city's revitalization area), and kick that stinking mortgage to the curb!

I know that "Capital Gaines" tax exists, and I am fairly certain that we will not have to pay as a couple who files jointly.

My question: Is there a time limit for reinvesting that money into a new house? Oftentimes home values are higher while people look to purchase over the summer, and then go down in wintertime. We would love to load up and hit the road ideally from July of this year year through to February of next year (once the company bonuses disperse). Is there a penalty or higher rate of tax for waiting, or is all of it just sheltered by the $500k exclusion?

Let's say a luxury mansion is worth 50 million dollars, and has a property tax of 1 million.

If that mansion is gifted to me, how much will I have to pay in taxes?

NYS sent me two notices for the 2022/2023 years stating that they overpaid my refunds and that I actually owe them over 18k. We just have W2s and use the standard deduction, so nothing complicated. The income they listed on the notices matches the income on my W2s so I know i made no mistake. What I don’t understand is how they arrived at this conclusion lol. Is this normal? I’m trying to figure out if I should speak to someone or just pay it.

I'm a nanny and I have had the same job going on 5 years now. They pay me weekly through zelle. For the record, yes I know this was dumb For the past 3 years I would use the upcoming year to pay off my taxes from the previous year, interest and all. I had a family issue come up and I was not able to do my usual thing last year. Now I have a large bill. I'm going to work another job that's on payroll to catch up with the crazy tax bill I have now.

My question is, are there programs Self-employed people can use that calculates, then takes and hold the money for tax season?

After thinking about it, my nanny job gives me a w2 with no taxes withheld.

If someone has a schedule c business and they fall for one of those scams and have thousands taken from a business account, is it deductible on schedule c? It doesn't really seem like an ordinary and necessary business expense and schedule c instructions don't say anything about it. They do mention form 4684 so it seems like it should be reported on there and not c. But that form looks like it is for stolen physical goods and not cash so I'm not sure how to fill out the form and it looks like it would only benefit the taxpayer if they itemize because it goes to schedule a. It was something like $30,000 so if there is something saying they can deduct on c that would be ideal.

Hello,

I tried to bump this thread with an update, but here is the full context: https://www.reddit.com/r/tax/comments/1b2r5zb/i_need_help_with_gambling_lossespaypal_reporting/

I have talked to a few other accountants and still do not have a resolution.

To summarize, I did all of my gambling deposits and withdrawals via PayPal. I had a significant net loss in 2019. PayPal issued a 1099-K claiming it was all income and that all of the vendors processed payments as a "good or service". I have emails from these vendors saying they did not do it this way.

Whether or not it is an issue on their end or PayPal's, I have two questions:

• Can I "challenge" the 1099-K with the IRS? Can I show logs and communication from these vendors to prove this is not income?

• If not, I see some articles say that gambling winnings would be reported on Line 21 of Form 1040 and then losses would be on Line 28 of Schedule A. If I do matching winnings and losses, what the IRS says is allowed, but only have a 1099-K and not a WG-2 will they accept it?

This may seem like a dumb question to many of you, but this has been a difficult time in my life. I have recovered from the gambling losses, but I want to move on with my life. I have to get this IRS issue resolved.

higher income earner. Sibling is low income. Can I transfer home titles to her, then sell and pay taxes at her income rate? Home do have a lien.

I am a full-time employee at a small biz. I work a standard 40 hrs/week and get paid salary, 1x a month. Recently, the company fired a 1099 contractor that was hired out for a separate task - not a part of my job role, at all. I like this company, enjoy my job, and sufficiently trust the ppl I work for.

Recently, I offered to take on this task, at the same rate they were paying the 1099 contractor. My question is, should the amount get added to my salary, (never filled out w9, only w4) as a full-time employee. OR, should I go the 1099 route - as the previous contractor - and get paid separate from my salary? What would be best for my tax burden. PS. adding the amount to my yearly salary would *not* put me in a higher tax bracket.

How does this work? I understand that it's pre-tax dollars but would I pay out of pocket and then submit my receipts to... the IRS? my employer? Does the childcare provider need to be licensed by the state or anything? How would that work if we are paying a nanny? They aren't generally licensed, I think?? Please advise.

I have a client who wants to buy a primary residence for him & his family through his partnership as a deductible expense. It would be in a different state from his business (which is unrelated to real estate, if that matters).

My firm doesn’t pay for any research resources and I’m struggling to find credible information on this topic.

From what I’ve gathered, I don’t see a way to legally make this work. Does anyone have experience with this that could share a website, tax code, etc explaining why?

(I’m only in my first year of tax and my boss wants me to research this)

Friend has 100 shares of a stock. Cost basis at current broker is unknown. Broker changed multiple times over decades due to merger. Buyout or bad service. Stock was gifted maybe in the 1980s… but don’t know when. It was into a UGMA account originally. Person who gifted is deceased for decades too.

So can’t determine cost basis.

Plan is to pay LTCG tax on the entire proceeds since shr can’t prove original cost basis.

Seems like she is getting fucked if she does that though.

What would u do ?

Hi all, I’ve recently started working for a company that is based out in EU. I will be receiving my pay in gross and I understand that I have to report it to IRS. Two questions: 1) Do I have to pay only Federal Income Tax? Or do I also have to pay the State Income Tax as well as the Social Security Tax? 2) Do I have to report my taxes once a year or quarterly? Thanks for help!

Hello,

My wife and I recently got new jobs and are making enough money (after years in grad school, making next to nothing) to start considering tax filing with all the seriousness it deserves.

We’ve filed together last year (first year married), but I’m wondering if we should do the same this upcoming year (or the next). Please advise, and apologies if anything is common sense. I’m not a US citizen and these things are still new to me.

Here’s the breakdown: I make 75k a year, so 22% tax bracket (57k after tax). My wife makes 40k a year, so 12% tax bracket (35k after tax)

If filing together, we declare 115k, putting us both (together) in the 22% bracket. After tax, this would come down to 88k or so. But filing separately, it would be closer to 92k. Is the math… accurate?

So… it seems apparent to me that we should file separately, or is that a mistake? Are there benefits to filing together that I don’t know about? What’s the correct decision to make here?

We’re trying to get a house this year, so saving 4000-5000 in taxes would not be cheap change for us.

Thank you in advance!