Author Archives: Russ

One Tax Bill Likely to Pass

Posted on May 10, 2006 by Russ

Republican negotiators in Congress sent tax legislation out of conference committee. The highlights of this generally lackluster legislation: – AMT Relief extended, with a new higher exclusion of $62,550 for 2006; – 15% capital gains rate extended for two more … Continue reading →

Posted in Legislation | Comments Off on One Tax Bill Likely to Pass

If You Fail Once, You Can Fail Again

Posted on May 9, 2006 by Russ

Back in the 1996 tax year, Leonard Gittinger, an attorney, didn’t pay his taxes. He argued that wages weren’t income. If you’ve been reading this blog, you know that argument is a typical tax protester argument, and is baseless. The … Continue reading →

Posted in Tax Evasion | Comments Off on If You Fail Once, You Can Fail Again

Alchemists Rejoice!

Posted on May 8, 2006 by Russ

Today the Tax Court looked at a §1031 Exchange case. The question before the court was whether a partnership (Peabody) could exchange gold mines for coal mines. The problem: the coal mines were encumbered with supply contracts that sent the … Continue reading →

Posted in Tax Court | Comments Off on Alchemists Rejoice!

CA Gets Tax Windfall; Will the Money be Spent or Saved?

Posted on May 8, 2006 by Russ

In April, Californians sent $11.3 billion in personal income tax payments to the state, $4 billion more than predicted in January, according to the Department of Finance. So, what should be done with this money? The California Constitution requires a … Continue reading →

Posted in California | Comments Off on CA Gets Tax Windfall; Will the Money be Spent or Saved?

If the Sopranos Ran New Jersey…

Posted on May 4, 2006 by Russ

…the state would probably be run much more efficiently than it is today. Their methods, though, might leave something to be desired. However, the methods employed by Governor Jon Corzine leave a lot to be desired. Corzine wants to increase … Continue reading →

Posted in New Jersey | Comments Off on If the Sopranos Ran New Jersey…

The 2% Solution

Posted on May 1, 2006 by Russ

Today the Tax Court looked at an ambiguous section of the Tax Code. Suppose an S Corporation is owed a refund, with interest. What interest rate should be used? The general “corporate overpayment” rate, the “large corporation” overpayment rate, or … Continue reading →

Posted in IRS, Tax Court | Comments Off on The 2% Solution

ABBA May Need a Souper Trooper

Posted on April 30, 2006 by Russ

…on the tax front. Bjorn Ulvaeus, a member of the Swedish pop group ABBA, has been charged with tax evasion. He is accused of not paying 87 million kronor ($11.7 million) in taxes on royalties from ABBA’s songs and musicals. … Continue reading →

Posted in Tax Evasion | Tagged | Comments Off on ABBA May Need a Souper Trooper

The Tax Court Believes the AMT Is Unfair, But You Still Have to Pay It

Posted on April 26, 2006 by Russ

Is the Alternative Minimum Tax Unfair? Of course it is. But do you have to pay it? Certainly. And that’s the crux of today’s Tax Court case. Our unlucky petitioners earned quite a bit of money, reporting wage income of … Continue reading →

Posted in Tax Court | Tagged | Comments Off on The Tax Court Believes the AMT Is Unfair, But You Still Have to Pay It

A Fire Is No Excuse

Posted on April 26, 2006 by Russ

Today the Tax Court looked at a casualty loss case. Many times when casualty loss cases make their way to Tax Court, there’s a dispute about whether or not there really was a loss. Not today. A fire destroyed the … Continue reading →

Posted in Tax Court | Comments Off on A Fire Is No Excuse

Honesty Is the Best Policy

Posted on April 26, 2006 by Russ

It’s still election season, and here in the Bronze Golden State, Democrats will vote on June 6th for their candidate for Governor to oppose the Governator. It’s rare we see such frank honesty as that given by one candidate, Phil … Continue reading →

Posted in California | Comments Off on Honesty Is the Best Policy