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Colorado Tax Law Questions & Answers
2 Answers | Asked in Divorce, Family Law and Tax Law for Colorado on
Q: my ex-wife claimed all the children as dependents on her tax return.

she is also in contempt of virtually every part of our separation agreement. she has not paid child support, not given me back my belongings, does not follow the parenting schedule, and does not provide the insurance for the children she claimed she would

Christopher N. Little
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Christopher N. Little
answered on Apr 2, 2024

Good Morning,

I am very sorry to hear of your circumstances and know that it can be an incredibly difficult and frustrating experience when an ex-spouse does not follow Court Orders. It sounds like you have several issues going on, including: tax, parenting time, insurance, etc....
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2 Answers | Asked in Divorce, Family Law and Tax Law for Colorado on
Q: my ex-wife claimed all the children as dependents on her tax return.

she is also in contempt of virtually every part of our separation agreement. she has not paid child support, not given me back my belongings, does not follow the parenting schedule, and does not provide the insurance for the children she claimed she would

James L. Arrasmith
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answered on Apr 2, 2024

I'm sorry to hear about the difficult situation with your ex-wife not following the terms of your separation agreement. It sounds very frustrating, especially if she has claimed the children as dependents on her taxes despite not fulfilling her obligations. Here are a few thoughts and... View More

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1 Answer | Asked in Employment Law and Tax Law for Colorado on
Q: If my ex boss want give me my W2 or pay studs what should I do
James L. Arrasmith
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answered on Mar 18, 2024

If your ex-boss refuses to provide your W-2 or pay stubs, you should first try contacting them directly to request these documents. Explain the importance of receiving these items for your financial records and tax filing obligations. It's possible they may have overlooked your request or... View More

2 Answers | Asked in Estate Planning, Real Estate Law, Tax Law and Probate for Colorado on
Q: If executor of estate sells house before transferring it to heirs, will it still receive stepped-up cost basis?

A woman died in January 2023 without a will. She had four children that are heirs to the estate according to Colorado intestate succession laws. The house was not transferred to the heirs prior to its sale in March 2024, but was sold on behalf of the estate by the executor (who is also one of the... View More

Nina Whitehurst
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answered on Mar 15, 2024

Property owned by a decedent gets a step up (or down) to fair market value as of the date of death. That holds regardless of whether the property is distributed in kind to the heirs or is sold and then cash distributed to the heirs. the only difference is who pays the capital gains taxes, if any.... View More

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2 Answers | Asked in Estate Planning, Real Estate Law, Tax Law and Probate for Colorado on
Q: If executor of estate sells house before transferring it to heirs, will it still receive stepped-up cost basis?

A woman died in January 2023 without a will. She had four children that are heirs to the estate according to Colorado intestate succession laws. The house was not transferred to the heirs prior to its sale in March 2024, but was sold on behalf of the estate by the executor (who is also one of the... View More

James L. Arrasmith
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answered on Mar 15, 2024

In this scenario, the house sold by the executor, on behalf of the estate, is still considered inherited property. Since the woman passed away without a will, the estate is handled according to Colorado's intestate succession laws. The property, even though not formally transferred to the... View More

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1 Answer | Asked in Tax Law and Business Law for Colorado on
Q: Can the IRS collect LLC penalty and interest only, from it's individual members?

I filed a tax return late but did not owe any LLC taxes (in 2014, but I just found out about the charges about a month ago).

The IRS hit the LLC with $2298.46 in penalties and interest, not for owing any taxes.

The LLC was dissolved about 9 years ago, I believe. My question is, can... View More

James L. Arrasmith
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answered on Mar 8, 2024

When it comes to LLCs, the IRS typically views the entity as separate from its members, meaning the company itself is responsible for its taxes, penalties, and interest. However, the way an LLC is structured can influence how the IRS pursues outstanding liabilities. For an LLC treated as a... View More

2 Answers | Asked in Family Law and Tax Law for Colorado on
Q: do Family Court Orders supercede Federal IRS laws on who can claim a child each year?
James L. Arrasmith
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answered on Jan 22, 2024

Family court orders do not supersede federal tax laws determined by the IRS, particularly regarding who has the right to claim a child as a dependent for tax purposes. The IRS has specific rules about who can claim a child, based primarily on residency and support criteria.

If a family...
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2 Answers | Asked in Family Law and Tax Law for Colorado on
Q: do Family Court Orders supercede Federal IRS laws on who can claim a child each year?
T. Augustus Claus
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answered on Jan 18, 2024

Family court orders and federal IRS laws operate independently, and the IRS rules on who can claim a child for tax purposes are not automatically overridden by family court orders. In general, the IRS rules dictate that the custodial parent is typically entitled to claim the child as a dependent... View More

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2 Answers | Asked in Tax Law for Colorado on
Q: I live in co, work remotely for company based in fl, w-9 shows my address as fl. How do i file my taxes
James L. Arrasmith
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answered on Jan 12, 2024

If you live in Colorado and work remotely for a company based in Florida, your tax situation will primarily be based on your residency, not the location of your employer. As a Colorado resident, you are subject to Colorado state income tax on all your income, regardless of where your employer is... View More

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1 Answer | Asked in Real Estate Law and Tax Law for Colorado on
Q: We are looking for legal representation on a DST/1031 exchange property issue.

We were hoping you could direct us on how to locate the proper resource who can help us with a DST/1031 investment issue. The current trustee is changing the terms of the investment and at end will dilute our ownership and disqualify any future 1031 tax benefit. I would appreciate any input from... View More

James L. Arrasmith
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answered on Jan 8, 2024

Finding the right legal representation for a DST (Delaware Statutory Trust) and 1031 exchange issue is important to ensure that your interests are protected. You'll need a lawyer who is experienced in real estate investments, specifically those involving DSTs and 1031 exchanges.

Start...
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1 Answer | Asked in Tax Law, Gov & Administrative Law and Municipal Law for Colorado on
Q: How do I make my home a not for profit cemetery in order to make it tax exempt?

It’s my understanding that all is needed is my daughter’s ashes and a funeral director, but I’m unsure of how to process that with the county or if more is needed. How do I move forward with this?

James L. Arrasmith
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answered on Dec 25, 2023

To establish a not-for-profit cemetery on your property in Colorado, there are several steps and legal requirements to consider. Firstly, having your daughter's ashes and involving a funeral director is a start, but there's more to the process.

You will need to ensure that...
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2 Answers | Asked in Immigration Law, International Law and Tax Law for Colorado on
Q: Should international students can invest in stocks in US or not?
James L. Arrasmith
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answered on Dec 12, 2023

As an international student in the United States, you have the opportunity to invest in stocks, but there are a few important considerations to keep in mind. Firstly, you must comply with the regulations set by the Securities and Exchange Commission (SEC) as well as any rules applicable in your... View More

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2 Answers | Asked in Bankruptcy and Tax Law for Colorado on
Q: how long does it take for a chap 13 bancruptcy filing to put a stop to debt collection and property tax redemption?

property tax lien was turned in for redemption a year ago. cant get to my equity because of bad credit.

not much income, not enough time to sell the property. 10 days before the deed is handed over.

will chap 13 stop the redemption of my property and 250k equity and all my stuff... View More

Martha Warriner Jarrett
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answered on Nov 25, 2023

A chapter 13 filing will stop the sale of your property immediately (the automatic stay). In order to continue with the sale, the taxing agency will need to ask the Bankruptcy Court to lift the automatic stay to proceed with the foreclosure. If you have significant equity in the property, it is... View More

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2 Answers | Asked in Bankruptcy and Tax Law for Colorado on
Q: how long does it take for a chap 13 bancruptcy filing to put a stop to debt collection and property tax redemption?

property tax lien was turned in for redemption a year ago. cant get to my equity because of bad credit.

not much income, not enough time to sell the property. 10 days before the deed is handed over.

will chap 13 stop the redemption of my property and 250k equity and all my stuff... View More

James L. Arrasmith
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answered on Nov 27, 2023

Filing for Chapter 13 bankruptcy in Colorado can provide immediate relief from debt collection efforts through what's known as an "automatic stay." This legal provision goes into effect as soon as your bankruptcy case is filed, and it halts most collection actions against you and... View More

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1 Answer | Asked in Contracts, Tax Law, Admiralty / Maritime and Gov & Administrative Law for Colorado on
Q: What motion to the courts would be filed to obtain financials of accounting, ledgers, tax ID, of cash only bond put up?

100k for one individual another 100k for another individual court bonds and 10grand for another cash only court bond for tax purposes

T. Augustus Claus
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answered on Sep 26, 2023

In Colorado, if you're looking to obtain financial records related to court bonds, such as accounting ledgers or tax ID information, you might consider filing a "Motion for Discovery" or "Motion to Compel Disclosure." These motions are generally used to request specific... View More

1 Answer | Asked in Contracts, Tax Law, Admiralty / Maritime and Civil Rights for Colorado on
Q: a motion for an assessment of the bond monies. Would be filed in what jurisdiction of a district Court?

Securing bond monies, obtaining the account ledger of monies, tax audit, and ledgers, of account.

T. Augustus Claus
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answered on Sep 26, 2023

In Colorado, if you're looking to obtain financial records related to court bonds, such as accounting ledgers or tax ID information, you might consider filing a "Motion for Discovery" or "Motion to Compel Disclosure." These motions are generally used to request specific... View More

2 Answers | Asked in Contracts, Real Estate Law and Tax Law for Colorado on
Q: Seller will only sell us the house if we also buy the furniture for $35000 in a separate transaction twice the value of

Furniture might be worth 10,000 max but seller wants 35000 in separate transactions from house perchase of 600000 we really want the house so we are forced into this furniture deal . Do we just go along with it and over pay for the furniture and keep the sellers happy it’s like they are hiding... View More

Michael Joseph Larranaga
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answered on Sep 22, 2023

Sorry, it is the seller's responsibility to deal with their taxes. It only becomes a problem for you when you both start colluding not to pay taxes.

The seller has the right to sell his property for as much as they want. We live in a free market so if a buyer will pay it then why not?...
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1 Answer | Asked in Tax Law and Probate for Colorado on
Q: Does a person need to give notification to an owner with back taxes. A certian amount of time to take care of a tax lien

Also if that owner is deceased and the there is a will showing that the property is given to a child but the probate haven't taken place yet due to possible fraudulent proceedings from ex wife with the will concerning other things not the property.

James L. Arrasmith
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answered on Sep 14, 2023

In Colorado, property owners are generally notified about tax liens and given a specific period to address the outstanding taxes. If the owner is deceased and there is an ongoing probate process, the resolution of tax matters may be addressed as part of the probate proceedings, which can vary in... View More

1 Answer | Asked in Tax Law and Employment Law for Colorado on
Q: I think my boss didn’t withheldtax for me.. so I owed so much money end of year.for 3 years..what should I do ?
Maurice Mandel II
Maurice Mandel II
answered on May 24, 2023

Both Federal and State laws require employers to withhold taxes, including both your income withholding and the employee's portion of employment taxes (SS, UI, etc) and pay those taxes to the proper taxing agency, whether Federal or State. You need to discuss your situation with either an... View More

1 Answer | Asked in Tax Law for Colorado on
Q: In Colorado, if a church rents its parsonage to a non-minister, will it need to pay state property tax?

The income from the rental will be given to the pastor for a housing allowance. Would this count as a "religious use" so they can remain tax-exempt for state property tax purposes?

D. Mathew Blackburn
D. Mathew Blackburn
answered on May 20, 2023

The income from the rental would be unrelated business taxable income. The income is 1. from a trade or business; 2. regularly conducted; and 3. not substantially related to their exempt purpose.

A Form 990 would need to be filed and tax paid on the UBIT.

This does not necessarily...
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