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Month: August 2015

BEWARE IMPENDING STATUTE EXPIRATION

BEWARE IMPENDING STATUTE EXPIRATION

Folks who may still be pondering what they did in their 2011 Federal income tax return, and whether it was right or not, or maybe even questionable, though now looking like there’s room for interpretation in their favor, had better get on the ball. The statute of limitations on the 2011 tax year (for folks who extended their returns that year until October 15, 2012) will expire come this October 15, 2015.  So if you think you may need or…

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Sad That Summer’s Ending? At Least Home Burglaries Should Go Down!

Sad That Summer’s Ending? At Least Home Burglaries Should Go Down!

I just came across an interesting report from the U.S. Department of Justice, indicating that the rate of home burglaries is significantly and consistently higher in summer than in the other three seasons of the year. The report didn’t explain the reasons, but we can easily guess: Many homeowners take vacations during summer and leave their homes empty for days or weeks at a time; more people are typically out on the street during summer, providing cover for burglars hanging around…

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NO CAPITAL LOSS DEDUCTION AGAINST ANNUITY INCOME

NO CAPITAL LOSS DEDUCTION AGAINST ANNUITY INCOME

In the recent Tobias decision, the Tax Court rejected a couple’s argument that they could offset the income they would otherwise have recognized on an annuity distribution by the capital loss they incurred when they sold securities in order to purchase the annuity in the first place. In order to buy the annuity in 2003, the taxpayers sold securities for which they incurred a taxable loss of $158,000. Then in 2010, after the annuity contract had accrued substantial income, the…

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Immigrants Whipsawed by Ever-Changing U.S. Laws and Regulations

Immigrants Whipsawed by Ever-Changing U.S. Laws and Regulations

The series of legal and policy shifts that immigrants in the U.S. face is seemingly unending. Or maybe “seemingly” is too mild a word. Try Googling the terms “immigrants whipsawed,” and you’ll find headlines both recent and ancient, all saying basically the same thing: Any immigrant trying to plan his or her life in the U.S. had best be prepared for delays, turnabouts, inconsistencies, and all-around frustration. In the latest example of this phenomenon, F-1 students pursuing degrees in science, technology,…

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NINTH CIRCUIT LIBERALIZES MORTGAGE INTEREST LIMITS FOR UNMARRIEDS

NINTH CIRCUIT LIBERALIZES MORTGAGE INTEREST LIMITS FOR UNMARRIEDS

The Ninth Circuit recently reversed the Tax Court, concluding that the Code Section 163(h) limitations ($1 million of acquisition indebtedness and $100,000 of home equity indebtedness) should be applied on a per individual basis, and not on a per residence basis. As such, unmarried co-owners are subject to a maximum of $2.2 million in limitations, rather than $1.1 million. See Voss v. Comm.