Sherri Gastelum and Platinum Tax Defenders Comments on Tax Rules Regarding Capital Gains

Los Angeles, California (PRWEB) May 01, 2013

With so many changes to the tax code, most taxpayers have a hard time keeping up. According to an April 25, 2013 article from Accounting Today, (IRS Tells Congress Tax Season Ran Smoothly After a Bumpy Start) there have been 5,000 changes to the Tax Code within the last decade. This makes the statistics understandable, that business owners and employed taxpayers (or their tax preparers) spend over 6 billion hours just preparing to file taxes, and over $ 160 billion in compliance with Tax Code mandates. The murky waters of capital gains taxes are certainly a part of those 6 billion hours. Platinum Tax Defenders offers tips, and says that especially tricky issues involving capital gains may be simpler if the taxpayer employs a tax resolution services with an on-staff tax attorney.

First, capital gains is the difference between the buying and selling price of a capital asset. According to an IRS tax tip in February 2011 (Ten Important Facts About Capital Gains and Losses), a capital asset can be a house, stocks and bonds, or even home furniture that counts as an investment.

Second, according to a article updated on February 28, 2013 (No capital gains due for some investors), there are many restrictions on the zero capital gains rule that seems so beneficial. Assets must have been owned for a year or more. The single owner’s taxable income must be $ 400,000 or lower, and the married couple’s income must be capped at $ 450,000. Anything above that gets either a 15% or a 20% capital gains rate.

Third, capital gains rates are made more accessible by relating to taxable income, not adjusted gross income (AGI), and the difference can be substantial. It is a capital gains advantage to be in the 10% to 15% tax bracket, making $ 70,000 or lower per year after adjusting for deductions (itemized or standard), and allowing for personal exemptions. This could mean that a couple with two children as exemptions, making somewhere around $ 100,000 jointly, could theoretically owe nothing on their capital gains.

Fourth, if taxpayers are well under the $ 400,000 income limit, capital gains can be taxed at different rates. Below the threshold of $ 72,500, there is 0% capital gains. If the couple made more, and a portion of that was capital gains, it would initially be taxed at 15%.

Fifth, as pointed out in Smart Money’s February 4, 2013 article (Capital Gains: At What Rate Will Your Sale Be Taxed?), there are the complicated real estate rules. Depreciation on property can be deducted over a series of years. However, if the property sells above the original price, the depreciation amount taken off of prior year taxes can now be taxed at 25%. The rest of the gain may land in the 15% taxable rate. This is enough to drive even accountants mad,” commented one Platinum Tax Defenders specialist.

There are also rules for those receiving Social Security, the 28% rate for collectible items and small business stock, and the 3.9% Medicare surtax added on to investments for those with an AGI of $ 200,000. Exclusions are high for homeowners who are selling their main residence after living in it for two years or more. Platinum Tax Defenders encourages taxpayers with capital gains questions and tax relief needs to seek out a tax attorney for details, so that complications don’t result in IRS notices of an unpaid balance.

Platinum Tax Defenders, begun by Sherri Gastelum, has a dedicated team of 10 professionals. These include a tax attorney, CPA’s and former IRS agents. Sherri has twenty years of experience in tax and corporate business issues. Free consultations are available for those with questions, and range from 25 to 45 minutes, so that a qualified tax resolution professional can examine the situation’s specifics and talk through strategies for dealing with the IRS.

For more information from Platinum Tax Defenders on capital gains or back taxes issues, call 1-877-668-1807 or send an email to info(at)tax-resolution(dot)me.

Related Making Money In Real Estate Press Releases

Platinum Tax Defenders Reports On IRS Provision for Late-Payment Penalty Relief

Los Angeles, California (PRWEB) March 25, 2013

Two days ago, the IRS announced that taxpayers would be getting a break on late filings. According to the IRS news release on March 20, requirements for extension requests must be met, but the 1/2% monthly penalty will be waived for those who paid after the deadline. This should not come as too much of a surprise, since the IRS had to delay the acceptance of certain tax forms until February or even March. Taxpayers should know that interest will not be waived for any overage after the estimated payments have been included with the request for extension. Platinum Tax Defenders encourages personal and business tax filers to take advantage of the waived penalties, and suggests that taxpayers burdened under back taxes consider obtaining help from tax resolution services.

Many corporations and business owners may be glad to know that they will not be penalized for forms that could not be filed until recently. Included were such business-related forms as the General Business Credit (3800), Credit for Increasing Research Activities (6765), Indian Employment Credit (8845), and the Credit for Employer Differential Wage Payments. This last, a result of the Heroes Act, sounds quite different from what it is, which is a way for employers to benefit from paying those still under military service contracts when they go on duty. The 20% credit (up to $ 20,000) also helps small business owners to lean toward hiring those who want extra work outside their military duties.

Platinum Tax Defenders explains thats some lately accepted credits apply to startup companies rather than corporations, such as New Markets Credits (8874), or Form 8582 for Passive Activity Loss Limitations. This would apply to beginning real estate workers who haven’t yet reached professional status at the 750 hour mark. Others are found quite commonly on personal tax forms with a Schedule C, such as Depreciation and Amortization (4562), Work Opportunity Credit (5884), and even the Mortgage Interest Credit (8396). Individual filers may not know that although their deadline is April 15th (or the business day soonest after that date), corporations must file by March 15th.

Platinum Tax Defenders: Not surprisingly, current six-month limits still apply on the extensions, and the remaining balances after estimated taxes have been paid. However, since the IRS is still having so much trouble pinpointing identity theft and tax fraud cases, it may be doubly beneficial to have professional eyes look through a business or tax return this year. (The Huffington Post said recently that over 640,000 identity theft issues have been related to tax fraud and the IRS, who paid out over $ 750 million in fraudulent refunds between January and September 2012.) Also, the IRS suggests that taxpayers filing late may still get auto-generated assessment of penalty and payment demands, according to the Journal of Accountancy. Response letters should include a reference to IRS Notice 2013-24, and penalty relief eligibility (such as the name and credit number of at least one of the 31 forms needing to be filed late).

Platinum Tax Defenders suggests that taxpayers with complicated issues, such as those needing back tax help, may want to obtain tax relief via a tax resolution service. Ideally, the service should have significant experience in both business and personal tax concerns, and the ability to successfully negotiate Offers in Compromise and other installment agreements.

Platinum Tax Defenders has a dedicated team of 10 professionals (including tax attorney s, CPA’s and former IRS agents) with a ten-year track record of stopping bank levies and removing tax liens. Most initial consultations range from 20 to 45 minutes, in which a qualified tax resolution professional can examine the specifics of the situation and offer strategies for dealing with the IRS.

For more information from Platinum Tax Defenders on stopping property seizure and getting help with back taxes, call 1-877-668-1807 or send an email to info(at)tax-resolution(dot)me.