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Tax time: ‘Knowledge is your best weapon’

Tips to remember when filing your Oregon and federal income tax returns.

Kent Anderson Law Office

Question: What’s the best way to transfer money from overseas from proceeds of property owned by US citizen to avoid tax

I’m trying to figure out the best legal way to minimize taxes in transferring funds from overseas. These funds are close to $250K and are proceeds from the sale of property located outside the US, but owned by a US citizen, in this case my father. I am not sure if the gift law would apply here since he’s a citizen. Also, what documentation is required by the IRS?

Answer: 1. If you transfer money, there is no tax implication.

2. You father must report the sale of the property on his U.S. tax return. He must file the tax return if the income is more than the filing limit.
If he paid taxes on the profit in a foreign country, he will get foreign tax credit by filing form 1116.
Read: http://taxipay.blogspot.com/2008/03/us-citizen-or-resident-with-foreign.html

3. If he owned the house for more than two years and lived in the home, then he may exclude profit from the sale up to $250,000
Read: http://taxipay.blogspot.com/2008/03/profit-from-sale-of-your-home.html

4. If your father gifts you property or money, there is no gift tax on the receiver of the gift. But person giving the gift must file gift tax return, even he may not owe any taxes as there is a life time exemption of 1 million.
Read http://taxipay.blogspot.com/2008/03/us-gift-tax.html

IRS Awards $4.5M to Whistleblower

PHILADELPHIA— An accountant who tipped off the IRS that his employer was skimping on taxes has received $4.5 million in the first IRS whistleblower award. The accountant’s tip netted the IRS $20 million in taxes and interest from the errant financial-services firm. The award represents a 22 percent cut of the taxes recovered. The program, designed to encourage tips in large-scale cases, mandates …

Owning An IRS Lawyer: Marc Stevens – Part 1

AZ planning crackdown on tax fraud; new scrutiny may affect migrants most

PHOENIX – Armed with a new computer program, the Arizona Department of Revenue is cracking down on tax fraud this year.

Democrats Continue Attack on Small Businesses

Question: How about the IRS handling your healthcare?

WOW as if we don’t hate the IRS enough!

http://www.washingtonexaminer.com/politics/Health-care-reform-means-more-power-for-the-IRS-56781377.html

Answer: I wouldn’t expect anything less from this Administration. If you think you have a hard time filing complaints against your current insurance.
Wait until the decision comes from the IRS!
This would be funny if it wasn’t such a hideous thought!

The Note, Special Edition: Welcome To The ‘New Normal’ Of Bipartisanship, Even Bigger Fights Coming Soon

The government is up and running as usual this morning thanks to an 11th hour deal struck last night by negotiators on Capitol Hill, but here’s a word to the wise: the intensity of the past week will be nothing compared to the coming battle over even larger spending issues.

IRS Reform Advocate – Michael Minns – Steal this Video – PART3

Question: Where can I find a current (2/2008) IRS tax “booklet”?

I’m filing my taxes online through the IRS website and need to find a “booklet” that is referenced in my 1040EZ form. References to this “booklet” refer to it only as “the booklet”, not something with a title that’d be easy to find. I was wondering if anybody else had a similar problem while they were filing, and might know the name of it, or where to find one (online, if possible).

Thanks.

Answer: Look for “1040EZ instructions” on the IRS website.

1040EZ Form.

http://www.irs.gov/pub/irs-pdf/f1040ez.pdf

1040EZ Instruction Booklet.

http://www.irs.gov/pub/irs-pdf/i1040ez.pdf

IRS forms show last of EDC bonuses

JOHNSTOWN – Federal tax forms filed by the Fulton County Economic Development Corp. and its subsidiary, the Crossroads Incubator Corp., detail the last of about $1.

How to Complete a 1040A Tax Form : 1040A Label Section Overview