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Section 121 lets an individual exclude from gross income up

Yeah, sorry, there was a lot to cover! 🙂 – MichaelDoes anyone know if either (or both) of the current proposals eliminates the foreign tax credit on dividend income for individuals?

A property settlement award or transfer of property between spouses incident to a divorce, however, is not subject to taxation under I.R.C section 1041. It may be beneficial for the parties to reach an agreement that does not divide all of the assets, but instead awards one of the parties a lump sum settlement for their equity interest in the marital property. For example, the parties may have a home worth $300,000.00 that is encumbered by a $100,000.00 mortgage. Instead of selling the home, incurring realt

If all gains from the sale of a principal residence are excluded under Section 121, then unless you have received Form 1099-S, no additional reporting is required. For gains exceeding $250,000 (or $500,000 in the case of a joint return), Form 1040 (Schedule D) and Form 8949 should be used. The IRS lays out some of the rules for reporting the sale of your home , and more detailed information can be found in . If you report the sale you should review the IRS . You can learn more about the Net Investment Incom

Note: Although repairs have an immediate tax repairs don’t necessarily improve the property value. Therefore a repair is still a net expense even after tax deduction. In contrast, capital improvements have two benefits: a.) an increase in property value, and b.) an increased cost basis for a reduced tax bill at time of sale.

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property sale settlement section form