02-20-2023, 12:36 AM
(02-19-2023, 05:46 PM)sally Wrote: No one wants to pay the theft taxes, but you have to. Is there really a way out of it because my accountant is steering me wrong then. I sold a house that I inherited and the capitol gain tax made me cry, absolutely ridiculous what I pay these fuckers.
From what I gathered from your info . . . yeah . . . the opportunity for tax avoidance has probably passed you by. Hypothetically, I would have probably classified the inherited property as my primary residence. This would allow deferral of capital gains tax (after a myriad of IRS conditions were satisfied). That is just one of many options to either defer or reduce cap gain taxes.
Many other strategies ranging from trusts, IRAs and gifting are some of the most obvious methods for tax avoidance . . . and NOT TAX EVASION . . . which is illegal.
Hopefully your accountant included your capital expenditure (remodeling expenses) to determine your taxable basis.
Sorry, girl. Tax shit sucks. I may be black-and-white "letter of the law" with accounting and securities, but with taxes, I am completely and absolutely a Grey Area Girl.
Fuck 'em. If it ain't prohibited or too vague . . .you ain't getting another dime from me or my clients. (Currently 8-0 with IRS audits)