If you pay your California property tax in April and December how do you take the deduction?
If you are an individual taxpayer, add together all of the property tax payments you actually made during the calendar year and enter the total on federal Schedule A on the line that says "Real Estate Taxes." Include only payments you actually made during the year. If you make a payment late, deduct it in the year you paid it, not in the year it was due.
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Can a cosigner who resides in the home deduct on his income tax the property taxes on the home and the mortgage interest that he pays on the loan for that home?
Some basic facts: 1) You cannot deduct any property taxes or mortgage interest unless YOU paid it. If a co-owner or cosigner (or even a complete stranger) paid the taxes or interest you cannot deduct them even though you might be an owner of the house. 2) There are severe restrictions on an indivi…dual's ability to deduct any type of interest payments. As a general rule, an individual may not deduct any interest payments. One exception to this rule is a limited deduction for interest on a qualified residence. The person deducting the interest must be the legal or beneficial owner of the property in order to qualify under this exception. Unless there are other facts not present in the question, the co-signer would likely not be a legal of beneficial owner. 3) To deduct real estate taxes, the taxes must be imposed on the person taking the deduction. Real estate taxes would be imposed on the owner of the property. The Tax Court has allowed beneficial owners to also claim the deduction (See Trans v Commissioner and Uslu v Commissioner). The co-signer would not be a legal owner and the status of "beneficial owner" is a very difficult one to establish (and we have no evidence the co-signer would qualify as a beneficial owner). Hence the co-signer cannot deduct the real estate taxes. Conclusion: Neither the borrower nor the co-signer can claim a deduction. (MORE)
Like anything else, you apply the appropriate amount on the appropriate schedule when you file your tax return.. There are four types of deductible nonbusiness taxes :. State, local and foreign income taxes; . Real estate taxes; . Personal property taxes; and . State and local sales taxes. . … To be deductible, the tax must be imposed on you and must have been paid during your tax year. However, tables are available to determine your state and local general sales tax amount. Refer to Form 1040 Instructions for more information. Taxes may be claimed only as an itemized deduction on Form 1040, Schedule A . Note it is the amount paid...not the amount that may have been charged. If your taxes are part of your mortgage, the amount the mortgage company estimates and charges monthly is different than the amount actually paid in that year. However, all you need to know about any taxes or interest charges will be provided by the mortgage company at the end of the year. Just use those values on your return. (If you use any of the popular tax return softwares, just follow the questions and answers....and if not...this is a great time to start)!. (MORE)
Your son is going to take over paying your mortgage Can he deduct the interest on his taxes Does his name have to be on the loan the title both or neither?
Answer . Again - he can't just pay a mortgage on anyones house and claim the deduction...it has to be his residence. Then if he is paying it, on the title or not, there are court cases saying that basically he paid the interest to you and you paid the mortgage. But again...you better be able to …prove it is his home. . An interest deduction is generally not allowed if the taxpayer's liability is not primary and direct.. There is an exception to this general rule that allows a taxpayer to deduct interest he pays on a mortgage if he is the legal or equitable owner of the property, even though he is not directly or personally liable on the bond or note secured by the mortgage. The effect of this exception is to permit the deduction of interest in situations when the taxpayer-borrower is not personally liable on a mortgage of property that is used as security for a loan made to the taxpayer.. The Tenth Circuit has stated that the concept of equitable title to realty for this purpose is generally limited to two situations:. when legal title to property is held by a trustee, in which case equitable title is said to be in the beneficiary; and. when real estate has been sold under a contract for deed with legal title retained by the seller until the purchase price is totally paid, in which case its purchaser is said to be the equitable owner during the payoff period. . (MORE)
The seller is responsible for all property taxes assessed for the period through the date of sale. The buyer is responsible for all property taxes thereafter. Remember in most states that property tax is paid in arrears which means you are paying for a time period of 3-6 months prior to the curre…nt date. On a HUD 1 closing statement those time periods and costs are clearly shown. (MORE)
Answer . The buyer does because it is supplementation of difference of the taxes charged from the old price of the house to the new price of the house which was paid by the buyer.
Illegal immigrants are not paying taxes because they think they dont need to,also because they are ILLEGAL immigrants so they dont what people to find out that they are illegal immigrants!
Property taxes are normally used to fund the services in the area, such as police, fire department, roads (and plowing them!) and local library. Some portion of the taxes are used to fund the school system. If you are getting it for free, it is normally being paid for through property taxes.
No. In the U.S., individual taxpayers are generally considered "cash basis" -- that is, we claim income the year in which we receive it, and expenses the year in which we pay them.. So, property taxes paid during 2007 for any year are deductible only on a 2007 income tax return.
You and the child's mother have to agree who is taking the child deduction (usually the parent with custody), so the child support is probably not deductible. Consult with a CPA or tax specialist to make sure; you can refile your taxes if there is some way that the payments are deductible--but only …if a CPA says you can. (MORE)
NO!. The fact that something was paid through a collection action doesn't make it deductible...or not taxable...it doesn't change what it is. They are garnishing your INCOME, so it is subject to Income Tax.
A condominium is a home; it exists on real property; most condominium owners pay property tax. You can check with your local county or provincial assessor to find the answer you want.
it depends on the price of the home you purchase. the less the appraised value is, the less you pay in taxes. the higher the more money spent on taxes. its safe to say about 1.25% of your home purchase price is due annually. for example a 169k home purchased would be 2112 bucks per year. payable in …2x payments or one lump sum. of course you can save in installmenst and set aside for the lump payment ;) (MORE)
Yes, you pay property taxes in Oregon. Although, due to measure 50, you pay on the assessed value of the home, not necessarily the RMV. Measure 50 was passed in May 1997, to balance out tax increases due to rising property values. This measure made it so that they could only increase the assessed… value 3 % above the previous year's assessed value. On the 1997-98 property taxes they made the assessed value rollback to the 1995-96 assessed values minus 10%. Oregon can increase the property tax only by 3% each year. Exceptions to this include remodels costing more than 10%, new construction, etc. So in my case, we live in an older home that hasn't had more than $10,000 in remodeling done. Our RMV was 186,443 last year and 159,356 the previous year. Our taxes will not go down. Why, because our AV was only 84,317 and is no where near our RMV yet. This happened because of the housing boom over the last few years. The AV value really benefited us in the past years when our RMV was rising over $50,000 a year. Now, if for some reason next year the RMV went down to $80,000 then yes our taxes would go down. Our AV would reset to $80,000. I'd rather be paying an increase of 3% than a 50% increase. We probably would have lost our home. Keep in mind though that you can have more than a 3% increase if you live in an urban renewal district like we do or you pass local bond levies. (MORE)
The property tax in California can vary from year to year. However, to calculate the California property tax for one's home is quite simple. The tax can not exceed more than 1% of the home's value and can not increase more than 2% from the previous year.
No, and neither is the interest.. It makes no difference what steps or methods of collection were used to get you to pay. If anything, actions done under legal persuasion are LESS tax deductible as the payor should get no benefit from what the courts had to impose. That would be against the public …good. (MORE)
If an owner of property does not pay their property taxes then the town has the power to take possession of the property and sell it under state laws.
Because of the financial crisis, the state of California is reported in February 2009 to have stopped sending out state tax refunds. When they resume will depend on politics and their financial condition.
Method of making payment makes no difference...check or deduction or whatever.. It is not a deductible payment or deduction on return. Paying for your children is done with after tax $s, however, they may be a dependent and provide a deduction that way.
I am not sure what you mean by this or what kind of tax account you may be referring to. On your federal income tax return, you may deduct payments of various types of state and local taxes that are imposed on you within limitations. These include real estate, state and local income taxes, and …sales taxes (but not both sales taxes and income taxes). You may not deduct federal incomes taxes. You may not deduct interest or penalties. A few states let you deduct federal income taxes on your state return. (MORE)
Contact the bank where your savings account is located. They probably do not have your correct Social Security Number (SSN) on file or they do not have a signed certification of your SSN on file or there has been some clerical error. If a bank does not have a signed certification of your SSN on fi…le, then they must withhold 28% of your interest payment for taxes . If taxes are being withheld, be sure to file a tax return even if you are not required to. That is the only way to get a refund of the taxes that were withheld in error. (MORE)
Property taxes are a matter of local law and each locality makes its own law. Typically, it is two times a year, but in some parts of the country it could be once or four times a year.
This varies from country to country. In some oil rich Arab states it is 0%. There was a time when it was 97% for the very wealthy in the UK.
Tax is assessed on a QTIP trust upon the death of the second spouse. If the total estate of the second spouse (including the QTIP trust) does not exceed the exemption amount in effect at the time, then no tax will be paid. To the extent that the addition of the QTIP to the second spouse's estate cau…ses tax liability, that liability should be paid by the beneficiaries of the QTIP trust. (MORE)
You can use the following calculator to determine how much tax will be deducted from your paycheck: http://www.paycheckcity.com/NetPayCalc/netpaycalculator.asp Remember that the amount of income tax deducted depends on how you fill out Form W-4 that you give to your employer. It is not the real… amount of tax you owe. The real amount is calculated when you fill out your tax return at the end of the year. When you fill out and file your tax return, you will get a refund if too much was deducted or you will pay more if not enough was deducted. (MORE)
The person or entity that "owns" the property is responsible for the property taxes. If you have a mortage on your property you usually have the option of having a certain amount of your monthly payment put into an escrow account. The money is set aside by the mortage holder to pay the property ta…xes and sometimes even homeowners insurance. Most mortages are set up this way to avoid the bank ending up in a leagl war with city and state entities over what happens to a property when taxes are not paid. The bank is making sure their investment is protected from a tax lien sale and all of the legal entanglements that are involved in that process. If your property is paid in full and you are the deed holder you are responsible for paying the bill. You will receive a tax bill and it will tell you how you can go about paying it. The payment options vary by state. If you think that the amount of tax you are paying is out of line for the property that you own then you can ask for a reassessment. This is not something to take lightly. If your property is reassesed they may find that your taxes are actually higher and then you are stuck with a whole new tax bill. Talk to your neighbors, if they are willing to share with you, you can get an idea of what the norm is for the area. Your taxes are based on the price that you paid for your property which may not necessarily be in line with the value of your property. Hoped this helped! (MORE)
Its all based on the city and county you live in. Contact the assessors office in your city and they will tell you exactly. You can reduce your tax assessed if your property value dropped in recent years. Do not over pay!
The owner of the property pays the tax on the income generated by the property. This is known as the "fruit of the tree doctrine."
Property taxes can be itemized on the schedule A itemized deduction of the 1040, or if your standard deduction would be more than your itemized deduction, the amount can be used to increase your standard deduction amount on your federal income tax return.
If you were to take out a home equity loan and pay for the mortgage recording tax, it would be deductible and the IT-256 form must be used to claim it.
How much is the tax on a pack of cigarettes in California and can you deduct that tax on your taxes?
Are you on drugs? You want the government to give you back the taxes you pay on cigarettes? You realize that the reason the taxes are so high is mainly as a deterrent to smoking, as well as to generate revenue. Why would they give you this money back!!
You may be an independnet contractor, not an actual employee. If you are, the company/employer doe sNOT have to provide much for you plius YOU MUST pay many things, incl the 7.65% of the 15.3% FICA tax hey normally would.
Hand deliver check, cash, money order and etc what ever your local tax property office will accept as a payment and give you a receipt for or you could mail the payment to the correct mailing address.
Usually the owner of the property is the one that pays the property taxes on the owners property. Some time the mortgage company will pay them from a escrow account but the money that is in the escrow account comes from the property owners monthly payments.
You do NOT have any taxes, or other amounts that will be taken out of your NET take home paycheck after it is issued to you. The employer payroll department would be the only one that should be able to tell you how much they will be required to withhold from your GROSS salary, wages, etc. for all …of the different taxes and other amounts that they are required to withhold from your gross pay before they issue you the NET take home paycheck. ans I have no idea why the above contributor thinks you asked anything that has to do with after a "net" pay, your question is clearly how to determine going from gross to net, as it concerns taxes. (Many other things may be taken out of pay, even "net" pay, like automatic deductions to savings/credit union, etc, etc). There is no specific fixed amount or percent. Two people working at the same job, making the same wage may (an almost always do) have much different amounts required to be withheld. THE AMOUNT WITHHELD IS DETERMINED BY YOU...NOT YOUR EMPLOYER, THE IRS OR ANYONE ELSE. It depends on many, many things...not the least of which is what you consider tax. Many people group all their withholdings as a type of tax, but many may not be. Workers Comp, Unemployment, even FICA are all really more an insurance payment than a withholding against an income tax. The amount of tax withheld depends obviously o which state (or even city) your in, the amount of income your projected on earning over the year, (which helps determine your tax bracket and the percent that may be required), as well as your filing status, number of dependents and other deductions (like interest on a mortgage) or contributions to 401K, or medical and other benefits you selected, etc., etc. All these things can be adjusted for your circumstances by properly and completely filling out (or changing) the Form W-4 all employers ask you to. The variations are so numerous that again, it is fair to say that it would be uncommon for 2 people, working at the same job making the same salary would have the same amount withheld. There are even a number of different legal ways for the payroll provider to calculate the amount to withhold considering all the above...but overall they make only a small difference. Remember, anything withheld is just being done as an estimated installment payment toward whatever tax, if any, you do ultimately owe. If too much is withheld, it is refunded. (Too little, and you could pay a penalty and interest charges). Again, adjusting your W-4 is the way to correct for any of these circumstances. Just follow the instructions and examples for that form and you should have a very close amount for what is needed withheld for your situation...if for any number of reasons including those above, the situation changes... you will need to change the W-4. (MORE)
Under the property tax systems used in the United States, all companies pay real and personal property taxes unless they are expressly exempt from taxation by state tax laws. Property assessment and property tax abatement, deferrals, and exemptions vary by state in the United States. Some states pro…vide incentives to certain businesses and industries to local there through tax abatement for a specific time period if local jobs are created or retained. inc The form of ownership - that is a person, a corporation, a partnership, trust, etc. does not change the taxability of the property in anyway. EXCEPT some places provider breaks for things like elderly, veterans, disabled, etc. A company owning the same house as you do personally will pay the 4exact same tax as you. properties that are used by business for commercial uses, again indifferent to if owned by a person or a corporation, etc - generally pay higher taxes than a corresponding residential property. Again generally, farms and such pay lower. (MORE)
you dont HAVE to do anything if you dont want to, but there are consequences
If you are referring to a MEDICAL/HOSPITALIZATION insurance co-pay, yes, that is deductible as a medical expense. And on property/casualty insurance, it may be deductible as a casualty loss.
for the services of the city or township that you live in, such as schools, fire department, trash collection, police protection, road upkeep, etc.
Alimony payments are deductible as an above-the-line deduction on your Federal income taxes. They are reported on Line 31a of Form 1040 for 2010. Note that Line 31a also requires you to report the Social Security Number of the person you paid alimony to, because it will be considered taxable inco…me for them. It's important to point out that child support payments are NOT deductible. So, if you are making monthly court-ordered payments that include both alimony and child support, you can only deduct the portion of those payments that are considered alimony. Usually the court order will specify these amounts. (MORE)
Yes, in most states in the United States you will pay either a personal property tax or real property tax on a trailer (also known as mobile home or manufactured home). Each state defines what constitutes personal property or real property as the terms relate to mobile homes but typically a mobile h…ome that is permanently fixed to the site is considered real property. If you own land where a temporary mobile home has been placed you could receive a real property tax bill for the land and a personal property tax bill for the mobile home. (MORE)
I owe taxes this yr. Do they need to be paid off by this December or do I have till next April?
Falling Trees and Insurance U.S. The insured pays his own deductible. Deductibles are common on most types of Insurance policies. Your own homeowners insurance policy covers you if a tree falls or is blown into your property. This is what is known as an "Act of Nature". Trees do fall and sometimes… die. It does not matter if the tree fell form a neighbors yard or a neighboring National Forest or if it blew in from 5 blocks down the street. You can not require your neighbor to pay unless you could somehow prove that he was intentionally responsible for your damage. In the United States, just the fact that a tree was unhealthy would not indicate liability on the part of your neighbor. Homeowners are not required to be licensed Arborist nor is a homeowner required by law to be competent to recognize an unhealthy tree. By the Same token if a tree fell down or was blown from your property onto your neighbors property the same rule would apply, His policy would cover damage and he would pay his deductible. Natural Acts do occur everyday around the world. In the United States, the rules of liability were set down in legal precedent many years ago in relation to this type of loss. Answer you are responsible if a healthy neighbor's tree falls on your property - if the tree was diseased and have some visible rot - you may be able to make a negligence claim under your neighbor's policy (MORE)
Maximizing deductions is a way to get a large refund but can also raise red flags with the IRS, if the deductions dont make sense for the filer. Careful documentation is also needed. nas The previous answer is NOT up to the normal sytandards of the submitter! In US income tax, there is no suc…h thing as "maximum" deductions. in fact there ia one base amount - frequently called trhe minimum deduction - allowed everyone, regardless of their income or position otherwise. If your certified and supported tax deductible expenses add up to be GREATER than that (no maximum), then those may be used instead of the base amount. THIS IS CALLED "ITEMIZING DEDUCTIONS". Note, some deductions/expenses are different than others - and may only be allowed to offset that same or similar type of income. (MORE)
Good Mortgage has a calculator that helps you decide whether you should buy a house or a rent a house. They use variables like down payment, purchase price, loan interest rate, monthly rent, inflation, and rent yearly increase.
Generally, religious organizations (churches, houses of worship, and homes occupied by ministers or other heads of churches) are exception from real and personal property taxes in the United States. Each state and the District of Columbia have there own tax laws that define what entities qualify for… tax exempt status. Your local assessor can tell you more about the specifics in your area. (MORE)
Have a rental property but taking a loss on the monthly rent Can you only deduct mortgage interest on taxes and not report loss?
If you are renting the property below market rates to a related party, you cannot report a loss. If the loss is because that's the best you could do in an arm's length transaction, then you can and should report the loss. In any case you must report the rental income you receive. If you elect for so…me reason not to show all of the expenses, there is no law that requires you to do so. (MORE)
If you're the one renting it... indirectly, in that the owner will charge rent sufficient to cover expenses, including the property tax. If you're the owner... yes, directly.
In most states in the United States veterans are required to pay property taxes, unless they qualify as a permanently disabled veteran. Some stated allow for the late payment of real estate taxes for active service in the armed forces (for example in Iraq) or returning troops. Ask your local assesso…r or tax collector for your state about how veterans can qualify. (MORE)
I can't think of any way that paying the small amount that you pay to stay at a Ronald McDonald house would ever be tax deductible. Sorry.
It is a tax levied on ownership of property by the government. Itprovides income to the government.