Archive for March, 2007
Question: Car donation: no deduction if sold “for parts” by the charity?
We recently donated a car with a private sale FMV of around $1700. The charity (Special Olympics) sent a 3rd-party shop to pick up the car; they gave us a ‘provisional’ receipt (Form1098) for $500, and told us that they would send us the adjusted one once the car sells. We just found out from them that they have decided to sell the car “for parts”, and they claim that this means we cannot deduct any more than the value of $500 already on the temporary 1098 which they gave us when they picked the car up.
Is this correct? I have looked at the IRS publication 526, and cannot find any special rules governing value in a “for parts” sale. We are feeling very screwed at this point — the shop has our car and title, and we’re only getting the deduction of $500 (which translates to probably $200 in our pockets). We feel like the car has essentially been stolen from us.
Is the only solution here to never donate a car? Anyone else have any similar experience? Advice? Thanks.
Answer: I suspect they only got $500 (or less) for the parts. Otherwise they would give you a 1098-C showing the amount they received.
They would be inclined to do so because a) they are required to and b) it is generally in their best interest to keep donors happy by providing them with the larger tax deduction.
Of course there is the possibility that they were too lazy to account for it.
Ask the Experts: Payment options are available if tax bill is large
Can a jobless worker get help paying big tax bills? Is a son’s sale of his county fair pig considered taxable income? Can a timeshare week donated to a fundraising auction be a tax deduction?
Mein schatz ich liebe dich
Question: My fiance’ refund was deposited to Jackson Hewitt on Feb 27, but still no refund?
The irs web info and the phone number is continuously saying that his refund was deposited on friday feb 27 but everytime he calls Jackson Hewitt, they say nothing is there? This is odd. He is getting a paper check so it is not a bank problem for him. I don’t know if this is an issue with the irs or if jackson hewitt is playing games. Can anyone help with this? Thanks.
Answer: I’ve seen this happen where the person is calling the WRONG JH office, believe it or not. Check to be sure it is the same office that he did his taxes at.
Otherwise, and especially this year, the “where’s my refund” sometimes gives wrong dates, check to see if this is the case.
The IRS may be holding the refund for further verification and/or a debt indicator, and still WMF will come up stating it is deposited. You may need to call the 800-829-1040 number; start in the morning and have patience; everyone in the country almost is calling during tax time.
Can-do former IRS agent from McKees Rocks wants to simplify taxes
Mark DeLouis, 91, of McKees Rocks spent two decades as an IRS agent and helped investigate fraud and organized crime on a task force that included FBI and Treasury Department agents. Now, he wants to reform and simplify the U.S. tax code.
Brad Sherman Highlights Undelivered Tax Refunds KNBC TV LA 41509
Choosing the correct filing status is vital
By Ed Loughrey Now that the month of February is here, we can begin to talk about filing this year’s taxes. After all, April 15 is just 70 days away. Employers were supposed to send out W-2s by Jan. 31 and other information statements such as Form 1099 for Interest and Dividend Income and Form 1098 for Mortgage Interest also are en route.
Answers with Ray the CPA Episode 7 How long do you have to file your 2009 tax return?
Gov Hopeful: Time To Shift Tax Burden
Democratic gubernatorial candidate Dan Hynes says if he’s elected governor in November, he will immediately begin to implement his plan to reduce state spending by $1.6 billion and restructure Illinois’ income tax to place more of the economic burden on wealthier individuals.
Tax Attorney Jobs
Question: How many would be unemployed if troops brought home and IRS phased out?
Ironical possibilities. A flat tax or “fair tax” would eliminate several million jobs, from lawyers to printing shops plus government workers, and troop withdrawal would include even more support civilian jobs and contractors. Good political goals or bad?
Answer: I keep picturing this dog chasing its tail.
02/04/10 : These are the true deficits: Bush $800B, Obama $1.4T 02/02/10 : Behind Obama’s Phony Deficit Numbers 01/29/10 : After Obama’s latest, public will no longer believe in speeches 01/27/10 : Obama and triangulation 01/26/10 : How Pelosi and Reid plot secret plan for ObamaCare 01/20/10 (b): The next battle: Stop socialism 01/20/10: Shot heard ’round the world 01/15/10: Hillary goes weak …
OPERATION NORTHWOODS FALSE FLAG TERRORISM 911 DECLASSIFIED INSIDE JOB HISTORY economic collapse state of emergency dictator assassinate cuba baby boom 60s martial law bailout NAU EU NAFTA CAFTA tax taxes inflation bust suspended campaign oil blood money