The Federal Tax Credits Blog

Posts Tagged ‘tax’

Question: Help with Filing Rental Income Tax From Renting Part of my Home?

I just bought a house in 2009 and took the 8k credit by amending my 08 taxes. I had a buddy move in with me and he takes up about 60% of the house (it asks that on turbo tax). Its an older house so I made use of that 8k ( New Appliances,New Tile Flooring, Gutters, Repaired Hot Water Tank, Repaired Trash Disposal had overgrown foliage removed) I’m pretty sure all these expenses are tax deductable beyond the rent I recieved from my tenant. I have all of the receipts as well. I started doing turbo tax, would it be better to go to a professional? Will I be able to deduct all the improvments and repairs I made?

Answer: I have a similar situation and my “roommate” uses 30% of the space. I would follow the idea that only EXCLUSIVE USE space belongs to the roommate and share used or common area space is split 50-50. So your roommate’s bedroom is exclusive use and shared kitchen, bath, and living room facilities would be 50% yours and 50% roommate’s. Take the sum of square footage assigned to your roommate and divide by the total livable square footage of your home to arrive at the rental percentage. In general, just be prepared to justify the reasonable method you chose for calculating the percentage assigned to the roommate.

All improvements, appliances, etc., have to be depreciated. You will need TurboTax Premier to track depreciation. If you have no trouble following instructions and don’t hate doing taxes, you should have no trouble doing this on your own. You should also read IRS Publication 527 [http://www.irs.gov/pub/irs-pdf/p527.pdf] for more info.

Energy Star Credits – TaxMama.com

Question: Will the tax judgement show as PAID on credit report if the IRS took the money out of my refund?

Will it make a difference in credit score if the money owed was paid by the individual or was removed from a refund.

Since being removed from the refund it is not showing as paid on my credit report. Whom should I contact?

Thanks everyone!

Answer: Makes no difference where the money comes from as long as he amount was enough to pay off the tax judgment it should show as paid with a $0 balance.

Contact the credit bureaus and dispute it should be corrected in about 30-days.

Tax Tips: All About IRS.gov

Question: How do I say in Spanish the following stuff?

* that’s the reason I’m calling…
* may I speak to the person that handles the phone account?
* because you’re signing up with me today, I’ll go ahead and credit your bill for 1 month…
* my name is…..calling on behalf of…..
* I believe you’re being overcharged…
* this is what we’re doing today…
* how many phone lines do you have in your business?…
* lower
* reduce
* if this is a corporation I need your Federal Tax ID number, if
this is a sole proprietorship I need your drivers license
number or social security number, which is it?…
* I verify your address as…..
** The reason for the call is……has changed the way we’re billing, you ‘re currently on a measured rate, and we’re eliminating that service and setting you up on a flat rate plan which reduces your bill up to 40percent.

THIS STUFF SURE COULD HELP ME EARN A LIVING…THANKS

Answer: *Esa es la razón de mi llamada.

*¿Puedo hablar con el titular de la línea (telefónica)?

*Porque si firma el contrato hoy, le daré crédito por un mes.

*Mi nombre es… Llamo a nombre de…

*Creo que le están cobrando de más.

*Lo que vamos a hacer hoy es…

*¿Cuántas líneas telefónicas tiene en su empresa?

*Rebajar

*Reducir ***NOTE In Spanish, lower (rebajar) and reduce (reducir) are synonyms.

*Si es una corporación, necesitaré su número de inscripción al IRS (in Mexico we call it Hacienda), si es un solo propietario, necesito el número de su licencia para conducir o su número de seguro social. ¿Cuál es?

*Verifico su dirección como…

*La razón de mi llamada es…. Hemos cambiado la tarifa, actualmente usted cuenta con una tarifa medida que hemos eliminado y le ofrecemos un plan que reducirá su cuenta en un 40 por ciento.

Good luck!

Call to Council Tax Lady regarding Bill as Defined by Bill of exchange act

Question: Can I deduct Cafeteria Plan Medical Expenses on my 2008 Tax Return?

To be clear, I am not talking about the portion that my company covers rather i am talking about the amount that i pay. As an example, i get a Flex Credit from my company on my pay stub and it is added to by income total. Then my Medical total, Dental and life totals are deducted (Pre Tax) then all other tax and deduction are made.

Am I allowed to count the difference in my allowance and actual (about $100 a month) toward out of pocket medical expenses, in efforts to get to the 7.5% required to deduct?

Answer: If it’s not taken out pre-tax, yes you could include it as part of your unreimbursed medical expenses. You would, obviously, have to itemize, and can only deduct the amount that’s over 7.5% of your AGI.

Mortgage Insurance Deduction – Daily TaxQuips – TaxMama.com

Heating & Air Conditioning Tax Credit