The IRS Deductions Blog

Archive for June, 2010

Question: NC Taxes: We got married, bought house/car in 2009. File separately or together? Itemized or standard ded?

Our house payments started in June so we don’t have a full years worth of mortgage interest, but we did pay points and property taxes. Using the standard joint deduction, we wouldn’t meet it if we itemized. However, I feel like we could max out our deductions if we were to file separately and I itemized and she took the standard deduction. Is that possible?

Answer: First of all if you file separately you must both use the same type of deductions. You are able to add the property tax to your standard deduction (with some limitations) so you may well find it hard to exceed your standard deduction.

Items on Amazon Right Now for Standard Deduction And Mortgage Interest:

CBJ: Dorothy in Taxland: Overview (-Opinion)

Many people who use tax computation software don’t understand the changing structure of the U.S. tax code.

Follow the Simple Rules to Home Ownership

Question: Is the loss mitigation fee I paid when purchasing a short sale home tax deductible?

I purchased a short sale home in July 2009. At closing I had to pay a $3000 loss mitigation fee because was a short sale. I understand that interest, PMI, and points are tax deductible. Just wondering if the loss mitigation fee was as well. Thanks.

Answer: No, but would be part of your basis for the home purchase.

Items on Amazon Right Now for Is Pmi Deductible 2009:

MGIC Investment Corporation Reports Second Quarter 2010 Results

MGIC Investment Corporation today reported net income for the quarter ended June 30, 2010 of $24.6 million, compared with a net loss of $339.8 million for the same quarter a year ago.

Items on Amazon Right Now for Farmers Glass Deductible Buyback:

Question: Turbotax or Taxcut for 2010 and why? Which one will get me a bigger refund?

Overall, which program do you prefer?

Answer: Smartperson -

Assuming you enter the same information in those packages, or HR block or any others, you will get the exact same result. A CPA, or going into HR block, Jackson Hewitt, etc. will all yield the exact same answer. It’s all a matter of whether you use the software correctly to take advantage of some of the deductions you may not know about. “Real people”, (i.e., CPA’s), are better positioned to analyze your tax situation to do this.

And, there are many CPA’s online that you can use. Plus, CPA’s are probably the most knowledgeable in terms of tax law and regulations and during this time of year, many charge extremely competitive rates – sometimes better than HR / JH or the software packages. In fact, the one I use (linked below) each year only charges around $50 for my return – it’s really a great deal compared to the other guys

Items on Amazon Right Now for Taxcut:

60 Minutes – Tax the Rich (October 31, 2010) $17.95 Airdate: 10/31/10 David Stockman was once Ronald Reagan’s budget director, architect of the largest tax cut in American history. But Stockman no longer preaches that gospel, and he thinks his fellow Republicans need to change their ways as well. The U.S. deficit is now so overwhelming that Stockman says only tax increases and budget cuts can rescue the U.S. economy. Meanwhile, Washington State co…

TaxCut Deluxe 2004 for PC $8.70 …

TaxCut Premium 2004 for PC …

TurboTax Deluxe Federal + E-file + State 2011 $40.75 TurboTax Deluxe 2011 – Federal & State + E-File is ideal for maximizing deductions and saving more on taxes – and is easy for first time users. This software includes everything you need to do your taxes with ease, finding all the tax deductions and credits you deserve so that you get your biggest refund. With simple questions to guide you through the process, TurboTax Deluxe 2011 looks for deduct…

Salaries, tax heat up Fleming County meeting

FLEMINGSBURG — Fleming County Fiscal Court approved a motion togive several county employees a raise and then tried to rescind themotion during its meeting Tuesday.

Al the Shoesalesman Gets a Tax Cut

Question: the phrase cheap labor is it a myth, a farce and a lie?

there is no such thing as cheap labor.take for example, an illegal mexican who sneaks in here with his wife and five kids .he takes a job for 5 or 6 dollars an hour. at that wage with six dependents he pays no income tax, yet at the end of the year, gets an earned income credit of up to 3,200 free.he qualifies for section 8 housing and subsidized rent, food stamps and free no deductible, no co- pay health care.his kids get free breakfasts and lunches at school, and require bi- lingual teachers and books that we the tax payers provide.he doesnt have to worry about car ins, life ins or home owners ins. we the taxpayers provide spanish language signs, bulletins and printed material.he cannot be fired, harassed, or sued.he and his family receive the equivalent of $20 to $30 an hour in benifits .

Answer: WOW you sure got that right. I had thought making $4 an hour was bad, but, then, they don’t pay taxes, or FICa or Social Security, or medical insurance. WOW I realized after my deductions I make about $3.80 an hour
DAMM WET Backs get more than me.

Items on Amazon Right Now for Home Health Care Deductible:

Health Economics, including: Socialized Medicine, Health Care System, Home Care, Cost-effectiveness Analysis, Incremental Cost-effectiveness Ratio, … Deductible, Medical Tourism, Charity Care $27.85 Hephaestus Books represents a new publishing paradigm, allowing disparate content sources to be curated into cohesive, relevant, and informative books. To date, this content has been curated from Wikipedia articles and images under Creative Commons licensing, although as Hephaestus Books continues to increase in scope and dimension, more licensed and public domain content is being added. We belie…

Health care reforms coming by October for some chronically ill

Thousands of uninsured Michiganders rejected by insurers because of chronic health problems will be able to buy affordable coverage by October when they enroll in September.

Health Insurance Basics (College Health Guru)