Yet another taxpayer-friendly provision in the tax code that will be expiring at the end of 2010 is the increase in standard deduction for real estate taxes paid. (If you’ve been following these posts, you’ll realize that this is another “stealth increase” in taxes, beginning in 2011.)
In today’s tax law and until you’ve paid your [...]
Posts from ‘November, 2009’
Real Estate Tax Standard Deduction Increase to Expire After 2010
Open a Roth IRA for Your Child
Here’s a very good idea to consider – if you have a teenager who has a part-time job, rather than putting those earnings solely into a savings account (or worse, a car), open a Roth IRA. The money contributed to this account will mostly be tax free, since the first $5,700 (2009 figures) of earned [...]
IRS Updates Info on First-Time Homebuyer Credit Expansion
The following information was released by the IRS on 11/25/2009 as Tax Tip 2009-13:
If you are in the market for a new home, you may still be able to claim the First-Time Homebuyer Credit. Congress recently passed The Worker, Homeownership and Business Assistance Act Of 2009, extending the First-Time Homebuyer Credit and expanding who qualifies.
Here [...]
Student Loan Interest Deduction Changes in 2011
In this continuing series I’ve been writing about all the changes you can anticipate to the tax laws beginning in 2010 and 2011. You can go to this page to see the index of all the changes that are coming as a result of expiring provisions from previous years.
The ability to deduct interest on student [...]
Last Chance for Charitable Contributions from Your IRA
There is a provision expiring at the end of 2009 for folks over age 70½ who wish to make contributions to their favorite charities from their IRAs. This provision allows you to make the contribution directly from your IRA, so that the income never shows up on your tax return at all.
Why does this matter? [...]
Deducting IRA Losses
Did you know that you could deduct losses in your IRA accounts? It’s not as simple as it sounds… but it is available and can be a sort of consolation prize for the poor individual that fits the circumstances.
Deducting Losses on a Traditional IRA
Of course, in order to deduct a loss, you have to have [...]
Adoption Tax Credit to Expire at the End of 2010
Yet another of the coming tax increases you’ve got to be aware of is the elimination of the Adoption Tax credit. This credit came about originally as a part of the Economic Growth and Tax Relief Reconciliation Act of 2001 (EGTRRA 2001) and was expanded with the Jobs and Growth Tax Relief Reconciliation Act of [...]
What Can a Broker Do For You?
You have choices when it comes to investing. You can go directly to a mutual fund company (such as Vanguard or T. Rowe Price) and choose investments yourself, or you can use a fee-only financial advisor to assist you in choosing investments. But by far the most common method is to work with a broker. [...]
Structuring the Roth Conversion (a CYA* activity)
In a recent article, I briefly covered the topic of Recharacterization. The example that I gave was pretty simplistic – you converted an amount, and decided later to recharacterize that amount back to an IRA. What if it gets complicateder?
There are some steps you can take in your conversion that will help you to recharacterize [...]
Flash again! Homebuyer’s Credit Expanded to Non-first timers…
In an update to the update, I wanted to pass this along: part of the bill passed last week which extended the first-time homebuyer’s credit through June of 2010, ALSO expanded the types of homebuyers to include “long-term residents of the same principal residence”.
This “long-term resident” is defined as a homeowner who has owned and [...]
