Failed Rental Property Purchase Tax Procedure

When your attempt to purchase rental property fails, two types of costs are considered Capital acquisition costs Start-up expenses Capital acquisition costs are those costs that you capitalize and add to basis.  Two examples of rental capital acquisition costs...

American Opportunity Credit for Education

The American Opportunity Credit is for education expenses of an eligible student who is a taxpayer, spouse or dependent(s). The maximum credit amount is $2,500 per eligible student. 100% of the first $2,000 of qualified education expenses 25% of the next $2,000 of...

Section 179 Depreciation Deduction

Starting in year 2015, the Section 179 deduction limit in now permanent at $500,000 with the investment limit at $2,000,000 and indexed for inflation.  If the total cost of Section 179 property exceeds the investment limit, the available Section 179 deduction is...

2016 Health Insurance for S Corporation Owners

Deducting health insurance is a 3 step process for the more than 2% S corporation employee-shareholder.   Send Susan, a Certified Public Accountant, an email to discuss this tax strategy. However, before discussing the 3 step process, the health insurance...

2016 Mileage Rates

Beginning Jan. 1, 2016, the standard mileage rates for the use of a car (also vans, pickups or panel trucks) is: 54 cents per mile for business miles driven 19 cents per mile driven for medical or moving purposes 14 cents per mile driven in service of charitable...