Investment Strategy. Options. Important. This post is NOT investment advice. Investments in Etrade options are NOT FDIC-insured and may lose value all the way to $0. Buying puts/shorting a stock has severe or unlimited risks. Day trading option has very big leverage and serious potential to profit (or to lose money). One of my favorite…
Sale of Partnership Interest A partner sells some interest in the partnership. Entity theory Section 741. Business is treated as a separate business, and gain or loss on the sale is treated as a capital loss. Exchange Gift Death Abandonment Computation of gain or loss: Proceeds received minus tax basis in the interest in the…
Tax Implications When Foreigners Investing In Real Estate in the US The tax would be reported to the US because the property is located in the US. Under the treaty, it states ARTICLE 6 Income from Real Property1. Income derived by a resident of a Contracting State from real property (including income from agriculture or…
Who is responsible for reporting foreign accounts? Entities that don’t comply with FATCA are subject to 30% withholding. FATCA is about disclosing accounts, not about collecting taxes. What are the key participants? Who is required to certify? Foreign financial institutions Non-financial foreign entities Withholding agents US taxpayers, form 8938 irs.gov/FATCA is where entities register to…
Recapture of Excess Employment Tax Credits Under the Families First Act and the CARES Act If you are taking advantage of Employment tax Credit under the Families First Act and the CARES Act, please read this Federal Register document to get details on it (as of 07/29/2020). There might be more changes to this document,…
Section 199A -Qualified Business Income Deduction What business are eligible: available to individuals with Qualified Business Income C-Corporations and pass-through entities are not eligible. Qualified Business Income may be generated by Sole proprietors S-Corporation partnerships trusts estates and reduced by self-employment tax, self-employed health insurance, contributions to retirement plans, etc Real estate – taxpayer chooses…
