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Yes.

@@TheTaxGeek thank you for responding!

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Then, unfortunately, you don't get the Credit. The Credit is non-refundable.

You could make two arguments in this case. You can say that each trip is considered to be a "commute" and the mileage is not deductible, or you can consider your home as your primary place of business, and in that case all the trips (including the first and last ones) involve deductible business mileage. The strictest interpretation of IRS regulations points to the former, but I believe a case can be made for the latter, because it would be unreasonable for anyone to stay at the location for, say, the four hours between each visit. But even with that argument, I cannot (and will not) advise you one way or the other.

Thanks as always!

@@TheTaxGeek Will be coming up with new ideas for you!

You're very welcome. I'm glad you found it useful.

You might have meant to ask this question facetiously (given the "Smileys"), but I believe the question deserves a more or less serious answer. Truth be told, we truly don't know how much or how little income tax the two gentlemen you mentioned pay. That's because their tax returns, just like yours and mine and all American taxpayers, are a private matter between the taxpayer and the government. On the other hand, we DO know how much the corporations they own pay, because they are publicly held corporations, and, as such, must make all their financial statements, including how much tax they pay, a matter of public record. Many high-earning individuals and large corporations employ legions of experts who carefully structure their incomes, investments, and assets in a move to pay the least amount of tax as allowed by law. And that's the key phrase "allowed by law." However, many American taxpayers don't consider the tax implications of anything they do, and as a result pay more than they should. You don't necessarily need experts, you just need to take the time to make yourself more informed. That's one of the primary purposes of this channel. Whether such high-earning individuals and corporations pay their "fair share" of taxes, is a matter of debate that is beyond the scope of this channel.

Per IRS, the top 1 percent of income earners earned 26 percent of all income and paid 46 percent of all federal income taxes - more than the bottom 95 percent combined (33 percent).

As I say to a lot of people, our tax system is a "debit and credit" system. For just about every tax deduction or credit involving money spent, someone, somewhere, must report a corresponding amount of income. I would dare to say many people have casual arrangements with child care providers where cash is given in exchange for services, just as in many other professions, but if the government is going to grant you a credit for spending money on child care, it wants to see the person or organization that received the money report it as income.

I've made several videos on capital gains and how they are reported and taxed, which you're welcome to check out, if you haven't already. Your investment income, be it interest, dividends, or capital gains all adds together to comprise, with your other income, your gross and, adjusted gross incomes regardless of what rate they're taxed at. It's quite possible, for example for capital gains, even if taxed at 0% still impute into your Adjusted Gross income and can affect other tax benefits that are based on it. That's the difference between tax-free income (like V.A. benefits), and income taxed at 0%, such as the potential for capital gains.

Yes, you would receive a nonrefundable tax credit of 30 percent of the cost of the door (but on the installation), up to $250.

You are correct, heating and cooling equipment (including heat pumps) can be installed in any home you resided in during the year. It does not have to be your principal residence.

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Glad to have brightened your day!

You would fill out the form as "S-Corporation name D/B/A trade name."

It seems like A is the correct calculations. Also Investopedia got an example: "Realized Losses and Recognized Gains Another category is recognized gains. Although all capital gains realized in a given year must be reported for that year, there are some limits on the amount of capital losses that may be declared in a given year in some cases. Again, while any loss can ultimately be netted against any capital gain realized in the same tax year, only $3,000 of capital loss can be deducted against earned or other types of income in a given year. 1 For example, say that Frank realized a capital gain of $10,000. He also realized a capital loss of $30,000. He will be apply $10,000 of his loss against his gain, but can only deduct an additional $3,000 of his loss against his other income for that year. Then, he can deduct the remaining $17,000 ($20,000 - $3,000) of his capital loss in $3,000 increments from income every year from then on until the entire amount has been deducted. However, if he realizes another capital gain in a future year before he has exhausted this amount, then he can deduct the total remaining loss against that gain. So, say he deducts $3,000 of that $17,000 loss in each of the next two years and then realizes a $20,000 capital gain. Frank can then deduct the remaining $11,000 of loss ($17,000 - $6,000) from that capital gain, leaving a taxable gain of only $9,000."

"b." is correct. I wouldn't count on chat CPT for tax guidance.

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I'm glad you found it helpful! Goof luck with your studies.

As long as you have a tax liability (which is the number on line 16 of your form 1040, you can take advantage of the credit to lower that figure and increase your refund.

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When you receive your confirmation from the state, that is considered your date of formation. You will have 90 days from that date to comply with BOIR.

@@TheTaxGeek sub :)

The loss on the first lot of shares you purchased would be a "wash sale." For tax purposes, the $500 loss on the sale of the first lot of securities would be disregarded and you would have a $500 recognized short-term gain.

Technically, any expenses you incur before you place the property into service are added to the basis of the property. That said, you probably wouldn’t get into trouble if you deducted the cost in the current year if you place the property into service soon after you purchased it. As for depreciating the furniture itself, the depreciable basis of the furniture is its fair market value as of the date you converted it, and depreciated under 5 year MACRS.

@@TheTaxGeekthanks so much!

@@TheTaxGeek just a follow up if you don’t mind ….when you say add the cost to the basis of the property in one of your options, I assume you mean to the home basis(to be depreciated over 27.5 years) as opposed to the basis of the furniture, with the shorter depreciation schedule? Or maybe either one is acceptable?

No, you can only take the Credit in the year the improvements are installed.

The biggest problem with the "Saver's Credit" is that it's limited to tax liability. Many taxpayers have income low enough to claim the credit, but their low taxable income doesn't generate enough tax to be able to take the full Credit. I believe that the "Saver's Match" removes that limitation, giving most taxpayers more, but, by depositing the match into a retirement account (a) helps lower income people save for retirement and (b) cuts down on potential fraudulent Savers Match claims.

@@TheTaxGeek That is a good rational, especially when you mentioned about the potential to reduce fraudulent claims. That makes way more sense now, thanks!

Just about every topic I cover lists resources and information in the description. Most of my information comes directly from the IRS, but I do back it up from outside sources, mainly investopedia.com and nerdwallet.com. Both sites are regularly updated with language that's simpler to follow than the IRS. You'll often see headlines in the mainstream media, but these stories often lack context and don't give the entire story. Major tax preparation sites such as hrblock.com and turbotax.com also provide useful and up-to-date information. Just remember that all commercial websites are trying to sell you something, which is why I double check with the IRS. Thanks for watching!

Yes, you should check box 3b.

@@TheTaxGeek Thank you!!

You're welcome! I'm glad you found it helpful!

You're welcome! I'm glad you found it helpful.

If you are paid as a regular employee (i.e. receive a W2) your commuting mileage is not deductible.

Yes, you can, but they cannot be the qualifying child of another taxpayer. My video on claiming dependents th-cam.com/video/kXdSK0LHhq8/w-d-xo.html helps to clarify this.

@@TheTaxGeek thank you, I have one more question, if a TP has taken loan for qualifying children or relative for a student education in a bank can he able to claim deduction for the loan (1098-E) or taxpayer only can able to claim for his own children,spouse and him/herself alone?

Thanks for pointing it out. It will be noted in the description and a pinned comment.

No, the vast majority of taxpayers have no idea why and how their Social Security benefits are taxed. In fact, a lot of Tax Professionals don't know a sufficient amount about it to properly explain it to their clients. It's really not the job of the SSA to explain this; only note that some benefits may be subject to taxation. It's actually up to the IRS and Tax Professionals to provide this education, BUT, because the computation is complex and involved, such education is hard to do.