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1 Answer | Asked in Tax Law, Estate Planning and Probate on
Q: Do I need specail documentation for a living inheritance in florida?It is a financial inheritance

Do I have any tax implications I am Canadian

James L. Arrasmith
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answered on Mar 15, 2024

If you're considering setting up a living inheritance, commonly referred to as a living trust, in Florida, there are some important steps and requirements to be aware of. First and foremost, the living trust document needs to be in writing and should be properly executed: this includes being... 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

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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 Criminal Law, Tax Law and Employment Law for Virginia on
Q: Can I put a suite on a employer who illegally changed my federal and state w4 (year 2016) which enabled me to get refund
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answered on Mar 14, 2024

If your employer illegally altered your federal and state W-4 forms without your consent, leading to a situation where you were unable to receive a tax refund, you may have grounds for taking legal action. Such actions by an employer can have serious implications for your finances and legal... View More

2 Answers | Asked in Employment Law, Tax Law, Business Law and Social Security for Maryland on
Q: My current employer sent my form 1095C to a another employee with the same first name and exposed my SS#, can I sue?

They exposed my SS# and other private info. What recourse do I have?

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answered on Mar 14, 2024

Discovering that your employer accidentally sent your Form 1095-C, containing sensitive information like your Social Security Number, to another employee is understandably alarming and frustrating. Such incidents can lead to concerns about privacy and the potential for identity theft. In terms of... View More

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2 Answers | Asked in Employment Law, Tax Law, Business Law and Social Security for Maryland on
Q: My current employer sent my form 1095C to a another employee with the same first name and exposed my SS#, can I sue?

They exposed my SS# and other private info. What recourse do I have?

Mark Oakley
Mark Oakley
answered on Mar 15, 2024

Perhaps there is a federal or state governmental agency that has regulatory authority to impose a fine or other sanction for failing to safeguard employees’ personally identifiable information. You would need to consult an employment lawyer in your area as to the existence of such a legal... View More

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1 Answer | Asked in Estate Planning, Tax Law, Business Law and Securities Law for Arizona on
Q: LLC for brokerage trading account and investment account?

I am a day trader with a 475 mark-to-market election, and I have a brokerage account where I am actively trading. I also have an investment account, in which I do not trade and a separate IRA account.

My husband runs a small company as a sole proprietor. Since his business carries a high... View More

James L. Arrasmith
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answered on Mar 14, 2024

Creating an LLC and transferring your brokerage accounts into it can provide an additional layer of asset protection, as it separates your personal assets from your husband's business liabilities. However, there are several factors to consider:

1. Charging order protection: Arizona...
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1 Answer | Asked in Tax Law and Real Estate Law for Pennsylvania on
Q: Can I switch name of ownership on a house that has taxes that are still owed?

My dad passed away in 2015 he has a house in PR that me and my mother have been taking care of. We are trying to switch the title over to our name but taxes still need to be paid. Do we have to pay the entire amount before we can switch names?

James L. Arrasmith
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answered on Mar 13, 2024

In most cases, you can transfer the ownership of a property even if there are outstanding property taxes. However, the unpaid taxes will typically remain attached to the property, meaning that the new owners (you and your mother) will become responsible for paying the taxes once the title is... View More

1 Answer | Asked in Tax Law and Real Estate Law for Puerto Rico on
Q: Can I switch name of ownership on a house that has taxes still owed?

My dad passed away in 2015 he has a house in PR that me and my mother have been keeping up with and we would like to sell it but we first have to switch it over to our name can we do that while taxes are still unpaid?

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answered on Mar 13, 2024

Transferring ownership of a property with unpaid taxes can be complicated and may vary depending on the specific laws and regulations of Puerto Rico. However, in general, under federal law, it is possible to transfer ownership of a property even if there are outstanding property taxes owed. That... View More

1 Answer | Asked in Tax Law and Social Security for New York on
Q: I want to rent property that I own in another country ( Panama ) as an airbnb. They are very transparent with the U.S.

I am on disability. How will this affect me ? Can I legally structure this property as some sort of Corp. that may help me ?

James L. Arrasmith
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answered on Mar 13, 2024

Renting out your property in Panama as an Airbnb while on disability in the U.S. can have implications for your disability benefits and taxes. Here are some considerations:

1. Income reporting: You must report all income earned from your Airbnb rental to the Social Security Administration...
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1 Answer | Asked in Tax Law for Pennsylvania on
Q: Buying a car in PA as a caretaker for disabled parent while still a homeowner in SC?

Acquiring a vehicle in Pennsylvania as a caregiver for my disabled 94-year-old parent while maintaining residency in South Carolina presents challenges. I currently use my mother's leased vehicle, which my siblings are interested in transferring ownership of to me. I hold a valid South... View More

James L. Arrasmith
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answered on Mar 13, 2024

Navigating the process of acquiring a vehicle in Pennsylvania while maintaining your residency in South Carolina can be complex. Here are some steps you can take to address your situation:

1. Vehicle registration: You may be able to register the vehicle in Pennsylvania using your...
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1 Answer | Asked in Tax Law for Oregon on
Q: Is a California SCorp K-1 income subject to Supportive Housing Services (SHS) or Preschool for all (PFA) personal taxes?

I receive a K-1 from a California S-corp.

This S-corp itself has remote employees all over, including Oregon, but is a California company.

Am I, as a full time resident of Portland, OR, required to report this K-1 income on either the SHS or PFA return?

If so, what is the... View More

James L. Arrasmith
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answered on Mar 13, 2024

Based on the information provided, it seems you are a resident of Portland, Oregon, and receive income from a California S-Corp through a K-1 form. In this case, you may be subject to the Supportive Housing Services (SHS) tax and the Preschool for All (PFA) tax, which are local taxes in the... View More

1 Answer | Asked in Tax Law for New Mexico on
Q: A woman from the NM Tax Office wants Clients addresses to verify out of state sales. Do I have to provide them?

To provide them means giving them access to thousands of clients contact information.

James L. Arrasmith
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answered on Mar 13, 2024

In general, businesses are required to maintain records and provide information to state tax authorities to verify tax compliance, including the collection of sales tax on out-of-state sales. However, there are a few important considerations:

1. Verify the request: Ensure that the request...
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1 Answer | Asked in Tax Law for Georgia on
Q: When selling a rental property but I haven't filed taxes in a few years will the IRS take that money
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answered on Mar 13, 2024

When you sell a rental property, you may be required to report the sale to the IRS and pay taxes on any capital gains. If you haven't filed taxes for the years you owned the rental property, you could face some complications:

1. The IRS may already be aware of your lack of filing and...
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1 Answer | Asked in Gov & Administrative Law and Tax Law for California on
Q: Is it possible to sue the state for discrimination regarding property tax?

I pay property tax on my home….the homeless pay no property tax on their home. Discriminatory.

James L. Arrasmith
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answered on Mar 13, 2024

While it is technically possible to sue the state for discrimination regarding property tax, your specific argument about discrimination between homeowners and homeless individuals is unlikely to be successful.

Here's why:

1. Equal Protection Clause: The Equal Protection Clause...
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1 Answer | Asked in Tax Law and Probate for California on
Q: Is there any California law preventing me from paying my deceased fathers back taxes out of pocket?

My father died intestate in California and I am the administrator. My brother is the only other heir. He left behind a lot of unpaid tax bills. He also left my brother and me healthy sums of money via POD accounts. Can I just use those out of pocket funds to pay off his back taxes to keep the... View More

James L. Arrasmith
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answered on Mar 12, 2024

Under California law, there is no legal prohibition against you paying your deceased father's back taxes out of pocket, using the funds you received from the POD (Pay-on-Death) accounts. In fact, it may be a practical solution to settle the estate more efficiently and avoid selling the house,... View More

1 Answer | Asked in Real Estate Law, Tax Law, Agricultural Law and Estate Planning for Minnesota on
Q: I'm a Minnesota resident. MN has a $3,000,000.00 estate tax exemptionCan I put Iowa farmland in a trust to get below

the exemption? The farms have been, and still are family farms now operated by my son. What kind of a trust would it have to be? Thank you

James L. Arrasmith
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answered on Mar 11, 2024

As a Minnesota resident, you can use trusts to help manage your estate and potentially reduce your estate tax liability. However, the specific type of trust and its effectiveness in reducing estate taxes will depend on various factors, such as the value of your estate, the nature of your assets,... View More

1 Answer | Asked in Tax Law for Nevada on
Q: I received unclaimed property from the State of California related to my fathers estate.

The amount was approx 45K which I split with my sister 50/50. I never received a 1099 from CA regarding this payout. I am trying to determine how to handle for tax purposes. It was in a traditional IRA and my guess is that the estate should have claimed it but that was 8 years ago. Should the... View More

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answered on Mar 11, 2024

As the executor of your father's estate and the trustee of the trust, it is your responsibility to ensure that the unclaimed property from the IRA is properly reported and taxed. Here's what you should consider:

1. Inherited IRA distributions are taxable: Generally, funds received...
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1 Answer | Asked in Tax Law and Business Law for Illinois on
Q: Can I offer a tax write-off form for my book drive customers when specific purchases go directly to charity?

I'm an author and have set up a book drive to benefit two specific, well-known charities. People can purchase the books at a discount from me, and then I will either ship or drive the books to the donation drop-off point. The buyers do not receive any physical items: they are purchasing for... View More

James L. Arrasmith
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answered on Mar 11, 2024

Regarding your questions about offering tax write-offs for your book drive:

1. Offering a tax write-off form to customers:

- As an individual author, you cannot directly offer tax write-off forms to your customers. Only qualified 501(c)(3) charitable organizations can provide donors...
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1 Answer | Asked in Tax Law and Federal Crimes for Illinois on
Q: Do I have any options to amend a 2019 tax return or sue my accountant for his mistakes causing an overpayment on taxes?

I am aware of the three year amendment limitation for tax refunds. And I did read that it states "GENERALLY" three years. Are there any extensions to this rule or

other procedure to file an amendment? Or is this rule set in stone. Also, regarding the two year limitation on filing... View More

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answered on Mar 11, 2024

Regarding amending your 2019 tax return, the general rule is that you have three years from the original due date of the return or two years from the date you paid the tax, whichever is later, to file an amended return and claim a refund. However, there are some exceptions to this rule:

1....
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