Tax / Estate & Wealth Planning
Showing 1681–1696 of 2177 results
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Home sale gain exclusion restrictions for second homes
December 2012
Newsletter: Tax & Business Alert
Price: $225.00, Subscriber Price: $157.50
Word count: 558
Abstract: Many taxpayers bought a second home, such as a vacation home, with the intention of later converting the second home into their principal residence. Under pre-2008 Housing Act law, those taxpayers could have excluded up to $250,000 ($500,000 for certain joint filers) upon a later sale of that former vacation home as long as the ownership and use tests for the exclusion were satisfied. However, the Housing Act changed the method for recognizing post-2008 gain on the sale of a principal residence formerly used as a vacation or second home. This article offers a couple of examples of how it works.
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Maximizing the deduction for start-up expenses
December 2012
Newsletter: Tax & Business Alert
Price: $225.00, Subscriber Price: $157.50
Word count: 245
Abstract: Individuals starting a new business or acquiring the assets of an existing business often incur start-up expenses, which can be considerable, in the investigation and acquisition phase before actual business operations begin. This article explains the circumstances in which those expenses can be deducted.
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Estate Planning Pitfall — You’re unsure whether you need to file a 2012 gift tax return
Year End 2012
Newsletter: Insight on Estate Planning
Price: $225.00, Subscriber Price: $157.50
Word count: 337
Abstract: Anyone transferring anything of value to another person during 2012 needs to consider whether it’s necessary to file a gift tax return. Some transfers require a return even if no tax is owed. And, in some cases, it’s desirable to file a return even if it’s not required. This article lists criteria that should be a part of the decision.
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Be prepared for a “triggering” event — If you own interests in a closely held business, consider a buy-sell agreement
Year End 2012
Newsletter: Insight on Estate Planning
Price: $225.00, Subscriber Price: $157.50
Word count: 815
Abstract: A buy-sell agreement provides for the disposition of each owner’s business interest after a “triggering event,” such as death, disability, divorce, termination of employment or withdrawal from the business. However, to be effective, the agreement must include the appropriate provisions. This article discusses the benefits of buy-sell agreements and the three types available. It also examines some of the tax and valuation issues involved.
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Is your IRA safe from creditors?
Year End 2012
Newsletter: Insight on Estate Planning
Price: $225.00, Subscriber Price: $157.50
Word count: 628
Abstract: If a substantial portion of a person’s wealth is in one or more IRAs, protecting the assets in those accounts is critical to his or her estate plan. IRAs provide significant benefits, including tax-deferred wealth accumulation during life and, with proper planning, during the lives of the IRA’s beneficiaries. This article examines the extent to which IRAs are protected from creditors, depending on such factors as whether the claims are brought in a bankruptcy context, the IRA owner’s state and whether the IRA is an “inherited IRA.”
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The spousal lifetime access trust: A safety net in uncertain times
Year End 2012
Newsletter: Insight on Estate Planning
Price: $225.00, Subscriber Price: $157.50
Word count: 1100
Abstract: There’s a lot of uncertainty about the future of the federal estate tax regime — in particular the $5.12 million federal gift and estate tax exemption set to expire. A spousal lifetime access trust (SLAT) can provide a last-minute strategy to take advantage of the high exemption before it potentially is reduced. Regardless of the exemption’s fate, a SLAT can continue to be a valuable tool to help a spouse remove significant wealth from his or her estate while providing a safety net in the event financial circumstances change. This article explains how a SLAT works and points out important planning considerations. A sidebar warns not to run afoul of the reciprocal trust doctrine when a couple considers set up two SLATs.
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Substantiating charitable contributions
November 2012
Newsletter: Tax & Business Alert
Price: $225.00, Subscriber Price: $157.50
Word count: 420
Abstract: One of the most popular tax deductions for individuals is the one allowed for donations to charitable organizations. Unfortunately, this deduction has also been among the most abused. Thus, perhaps it is not surprising that Congress has responded to the problem by regularly enacting more rules around documenting donations. This article discusses the substantiation requirements for charitable donations.
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Recent graduates’ job search and moving expenses
November 2012
Newsletter: Tax & Business Alert
Price: $225.00, Subscriber Price: $157.50
Word count: 461
Abstract: This article offers a refresher on which expenses are and are not deductible in connection with landing that first postgraduation job. It discusses job search expenses such as employment agency fees, resumé preparation expenses, and travel and transportation expenses, along with the time and distance expenses that must be met to qualify for a moving deduction.
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Estate Planning Red Flag — You haven’t prepared a health care directive
November / December 2012
Newsletter: Estate Planner
Price: $225.00, Subscriber Price: $157.50
Word count: 292
Abstract: A health care directive allows one to communicate their preferences, in advance, for medical care in the event they’re incapacitated. Directives go by different names, including living wills, advance medical directives and directives to physicians. This article shows what such directives can accomplish and why generic forms may not accommodate one’s preferences and values.
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Get ready for the new 3.8% tax on investment income
November / December 2012
Newsletter: Estate Planner
Price: $225.00, Subscriber Price: $157.50
Word count: 641
Abstract: The Patient Protection and Affordable Care Act of 2010 established a new 3.8% Medicare tax on investment income for high-income taxpayers, which is scheduled to take effect in 2013. The tax will also apply to trusts and estates, and the income threshold that triggers the tax for them is low. This article offers details of the tax and shows how to minimize or eliminate it.
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Determining when to begin receiving Social Security
November / December 2012
Newsletter: Estate Planner
Price: $225.00, Subscriber Price: $157.50
Word count: 776
Abstract: When to begin receiving Social Security benefits depends on each person’s individual circumstances. Estate planning also factors into the equation. For example, the amount of funds that a couple needs to continue their desired lifestyle during retirement will affect the amount of wealth they ultimately are able to pass on to their heirs. This article shows how to determine a break-even point — the age at which the dollar value of more (but smaller) payments roughly equals the value of fewer (but larger) payments. It also notes the consequences of drawing early Social Security benefits while still working.
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Can’t afford estate taxes? Get an intrafamily loan
November / December 2012
Newsletter: Estate Planner
Price: $225.00, Subscriber Price: $157.50
Word count: 918
Abstract: If an estate consists primarily of closely held business interests, real estate or other illiquid assets, it may not have the liquidity it needs to pay estate taxes and other expenses. Life insurance is one option, but another is to borrow the necessary funds. This article shows how borrowing can reduce estate taxes, and notes the requirements for an estate to be able to deduct interest. It also shows how to ensure that an intrafamily loan is a bona fide loan in the view of the IRS. A sidebar offers a real-life example of a loan that did not pass muster.
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Tax Tips
November / December 2012
Newsletter: Tax Impact
Price: $225.00, Subscriber Price: $157.50
Word count: 485
Abstract: This issue’s “Tax Tips” discusses defined-value gifts, which can be used to gift illiquid assets to take advantage of this year’s expiring $5.12 million gift tax exemption, even though it may be too late to obtain an appraisal. Other items show how to make the most of S corporation losses; note a Tax Court clarification of the age-55 exception to the early withdrawal penalty; and warn against overlooking the potential tax implications of company wellness programs.
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Keep on the good side of the IRS — Make sure you classify workers properly
November / December 2012
Newsletter: Tax Impact
Price: $225.00, Subscriber Price: $157.50
Word count: 755
Abstract: There are tax and other advantages for a business that retains independent contractors (ICs). If, however, the IRS determines that an employee has been misclassified as an IC, the employer could be subject to back taxes and penalties not only for the taxes it should have paid but didn’t, but also for the taxes it should have withheld. That’s why knowing the difference between an employee and an IC is critical to a business’s bottom line. This article discusses the factors that determine this difference and how to establish procedures for determining worker classification.
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Donating property? — Don’t skimp on the appraisal
November / December 2012
Newsletter: Tax Impact
Price: $225.00, Subscriber Price: $157.50
Word count: 624
Abstract: When donating property to charity, it’s critical to comply with tax rules for substantiating the value of the gift. Otherwise, the IRS may deny the entire charitable deduction, even if the valuation is spot-on. This article shows that, with most large donations of property, the property must be appraised by a qualified appraiser. It explains what constitutes a “qualified appraiser” and what must be involved in the appraisal itself. Citation: T.C. Memo. 2012-152, 5/29/12
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Investors: Before you sell, know the basics of basis
November / December 2012
Newsletter: Tax Impact
Price: $225.00, Subscriber Price: $157.50
Word count: 1067
Abstract: Investors who are selling shares of stock, mutual funds or other investments need to familiarize themselves with the cost basis rules before they call their broker. They also need to understand the different accounting methods available for determining which shares to sell; the method they choose can have a big impact on their tax bill. This article discusses basis and the wash sale rule and examines the tax implications of three specific accounting methods. It also discusses new reporting rules; a sidebar chart shows which securities are subject to these rules.