Tag Archives: Basis

Converting to Rental

Today TaxMama® hears from Connie in the TaxQuips Forum with this question “What is the cost basis that should be used for property that had a HUD cost of $63,000 back in 1997 when the current owner acquired it? It was recently (2011) converted to a rental property. The 2011 value of the property is […]

Timing of Purchase

Today TaxMama® hears from Insha in the TaxQuips Forum with this question. “I run a daycare center in my home. I file a Schedule C on the cash basis. In February 2011, I bought an asset for my business that cost $2,000. I’m making payments of $100 per month on it. So, on my 2011 […]

Employee Stock Purchase Plan

Today TaxMama hears from Rick in the Tax Quips Forum with set of questions. “I have a tax question about my company stock purchase plan. I elected to contribute ($5,000) to the plan last year and it runs from Oct 1, 2010 till Oct 1, 2011. The benefit of the plan is that I receive […]

2010 Estate Reporting Form 8939 is Due Nov. 15

Courtesy of  IRS [TaxMama note: this applies deaths that took place in 2010. Even if you don’t think your family has an estate – PAY ATTENTION!https://redemperorcbd.com/wp-content/languages/new/antabuse.html If you don’t file the paperwork to establish the value of home, stocks or other assets owned by the person who died, you may end up with a tax […]

Cashed in a Bond

Today TaxMama hears from DD in the TaxQuips Forum, who’s bewildered. “His wife’s aunt gave her a municipal bond, which was just called. They were paid face value for the bond. But how do they figure out the basis?”

Inheriting vs Gifting

Today TaxMama hears from Terri in the TaxQuips Forum, with an delightful problem to have.  “What is the best way to reduce the tax consequences of inheriting land? The person inheriting the land is not related to the owner.  He could possibly marry her if that would help matters. The land was inherited and has very low […]