DUE DATES EXTENDED For all of the State of Florida, the extended due date for 2023 is May 1 2025 AND the filing due date for 2024 is May 1 2025 IRS announces tax relief for victims of Milton; various deadlines postponed to May 1, 2025 in all of Florida | Internal Revenue Service Regarding […]
2025 & 2024 MILEAGE RATES
2025 & 2024 MILEAGE RATES Standard mileage rates are used to calculate deductible vehicle operating costs for various purposes, including: Medical, moving, and charitable are unchanged from 2024. […]
QUALIFIED CHARITABLE DISTRIBUTION (QCD)
If at least 70 ½ and want to donate from your traditional IRA, DON’T take a distribution to yourself (that is taxable). Instead use the QCD rules…. Transfer up to $105k DIRECTLY from the IRA to charity. It is not taxable to you, does not affect your Adjusted Gross Income and can use it to comply with […]
WHAT IS THE LONG TERM CAPITAL GAIN TAX RATE?
That’s an excellent question. Answer is it depends! Profits from the sale or exchange of capital assets held for over a year generally taxed at 0%, 15% or 20%. The rate depends on income limits that move (adjust for inflation).. In 2024, the 0% rate applies to taxable income up to $47,025 for singles, $63,000 […]
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Gifted versus Inherited Property
If property is GIFTED, the receiver of the gift never pays a tax. The giver of the gift has to deal with gift taxes. If property with a basis (original cost plus improvements) is $200k and the property sells for $500k, there is a $300k profit and is taxable. If instead the property is INHERITED, […]
IS LIFE INSURANCE TAXABLE?
SOMETIMES the life insurance company is required to pay interest from date of death to the date they issue the check. i.e. You receive $100,010. The life insurance $100k is not taxable. The extra $10 is interest and is taxable. […]
A word of caution on property transfers…..
Let’s say you gave someone $600k of property at today’s market value. It has been owned along time and only $30k is the original purchase price. We can add improvements to the original $30k say a pool, additional room,…. Add those improvements of $40k to the $30k and we have what we call BASIS of $70k. That […]
2024 GIFT TAXES – THE BASICS
In 2024 any individual can give any other individual up to $18,000 of stuff in the calendar year 2024 without any tax implications (no money to pay, no reporting on any tax form). Then the next year could do the same thing. I’d suggest if a check is written that in the memo section the giver […]
MEDICARE WENT UP …. OUCH!
There are reasons for Medicare to Increase…. Your income is higher. That’s good and we hope your income stays higher. But what if it increase because of an unusual event… can we explain that and get it lowered? Well, yes, kind of and maybe. Check this list. Even if your reason is not on this […]
Wash-Sale Rule and Crypto
Selling securities at a loss, then purchasing substantially identical securities within 30 days prohibits the capital loss write-off. This includes transactions between spouses and closely held corp. Crypto losses are CURRENTLY not considered securities. Therefor the wash-sale rule does not apply. […]