Selling your rental property? If the answer is “yes,” I’ve good news for you. The IRS will now allow you to deduct all those losses you couldn’t deduct in past years. Uncle Sam calls those past, denied losses, “suspended losses.” And to make sure that you can now claim all your formerly suspended tax deductions, you need to avoid the hidden traps the IRS has set for … [Read more...]
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How to beat the unfair “hobby loss” rule
A hobby can be a lot of fun. But not when the IRS gets involved. You see, when you’re engaged in what the IRS defines as a hobby, Uncle Sam can tax all your hobby income and at the same time disallow every penny in hobby deductions! But there’s hope! Thomas A. Gullion won more than $17,000 in tax benefits when the court ruled that his music-business tax-losses were fully … [Read more...]
How to turn a loss into a big tax benefit
So you’ve decided to get rid of your old business vehicle and buy or lease a new one. What’s the first thing you need to do before you ditch the old car? Do a calculation and see if you’ve realized a gain or a loss. If it turns out you’re going to have a loss, don’t lose heart. You see, if you know how to play your cards right, you can still be a winner thanks to Uncle … [Read more...]
How to escape the corporate-tax “lobster trap”
They say that corporate taxation is a lot like a lobster trap… “Easy to get in. Hard to get out.” If you are snared in a C corporation lobster trap and want out so you can switch to a sole-proprietorship, my new article is for you. You see, the conversion process to a proprietorship can be expensive and may or may not make sense for you. But don’t worry. I’ll give you all … [Read more...]
How to get a tax benefit if you total your car (Ouch!)
The IRS has a nice euphemism for a car wreck… They call it an “involuntary conversion.” Of course, no one wants to lose their business vehicle in any kind of crash, wreck, or conversion. But if you ever do (and we hope you don’t!), you should at least get all the tax benefits coming to you. You’ll find out how to get them when you read my new article titled Tax Tips: Ouch! … [Read more...]