I own a signed race car photo (fair market value ~$2,000) that I'd like to hang in my office. I'm considering having my business buy it from me at that price to use as office decor.

A few things I'm trying to figure out:

• Is this considered a related-party transaction that the IRS scrutinizes, since I'd be on both sides of the sale?
• Since art typically isn't depreciable, does the $2,000 just sit on the books as a non-deductible capital asset, or is there a way to expense it (e.g., de minimis safe harbor for items under $2,500)?
• Would I owe personal capital gains tax on the "sale," and how would basis work if I received it as a gift from a relative.
• Is there a real business-purpose argument here since it'll be in an office lobby I use for work, or is that not enough to avoid it getting recharacterized?

Business is a S Corp. Not looking for a workaround, just want to understand what's actually allowed here before I talk to my CPA. Appreciate any insight from people who've dealt with similar related-party or business asset situations.

I'm 15 years old and live in California with my family. I'm trying to figure out the safest/legal way to handle my income because I'm worried about accidentally affecting my family's benefits.

For the past several months, I've been working remotely managing YouTube channels. I work for someone who runs automated YouTube channels. My work involves coming up with video ideas/titles, analyzing channel performance, and helping manage the channels. We communicate through Discord, and I never signed a formal contract or filled out tax paperwork. I just get paid for the work I do.

Right now, I make around 2,000/month, and I’m hoping to grow this in the future.

The reason I’m asking is because I need a proper way to receive payments. In the past, I used other people's accounts because I couldn't open my own, but I ended up getting scammed. One person disappeared, and another person's account got hacked. I’m done using other people’s accounts because I don’t want to risk losing my money again.

I looked into using my adult sister’s Wise account, but I found out that could create tax/account issues because the income is technically mine, not hers. It seems like the correct option is probably opening a bank account with a parent/guardian involved.

However, I'm worried about how this could affect my family's situation.

My dad currently makes around $3,000/month. My sister recently started working part-time at Walmart to save for college. She gets paid $17/hour, but her schedule is inconsistent, some weeks she works almost every day and can get around 50 hours, while other weeks she may not get scheduled at all. Other than my dad, sister, and me, my household includes my mom.

My family is considered low-income, and I’m worried that my income could affect our eligibility for programs like Medi-Cal or other assistance programs.

My questions are:

• Would my income as a 15-year-old count toward my parents’ household income for benefits?
• Could making $1,000–2,000/month affect my family’s Medi-Cal or other low-income benefits?
• What is the correct way for a minor in California to receive income from online work?
• Do I need to file taxes if I’m making this much money?
• Should I open a bank account with a parent/guardian, and would that create any issues?
• For a family of 5 on MAGI Medi-Cal in California, with parents claiming a 15-year-old dependent who earns about $24,000/year from self-employment, does the child's income count toward the household MAGI?

I’m not trying to hide income or avoid taxes, I just want to make sure I handle this correctly without accidentally hurting my family financially.

Any advice from people familiar with California taxes, Medi-Cal, or minors earning income would be appreciated.

Hi all,

I have recently accepted a position in the oilfields in West Texas and will be starting in August. The position requires me to drive out there from my home in Louisiana where I currently live. It's rotation work so I'll be making this drive twice a month.

It is my understanding that Texas has no state income tax. I have family in Texas that I could "live" with on paper to potentially avoid state taxes from Louisiana. My question is is this legal? If so, should I do it or is it more trouble than its worth as I assume I would have to get new IDs, change voting status, re-register my car, etc.

Thanks!

I’m considering taking a $10,000 distribution from a traditional IRA under the first-time homebuyer exception.

I understand that the distribution would still be subject to ordinary federal income tax, but the 10% early-withdrawal penalty may be waived if the funds are used for qualified home-purchase costs within 120 days.

My concern is tax withholding. If I elect 10% withholding, I would receive only $9,000 while $1,000 is sent to the IRS. Could the IRS consider only $9,000 as having been used for qualified home-purchase costs, potentially leaving the withheld $1,000 subject to the early-withdrawal penalty?

Would the cleaner approach be to:

• Elect 0% withholding on the IRA distribution;
• Use the full $10,000 for qualified home-purchase costs; and
• Make a separate estimated tax payment or increase payroll withholding to cover the ordinary income tax?

Has anyone dealt with this, or can a tax professional point to IRS guidance addressing whether taxes withheld directly from the distribution qualify for the first-time homebuyer exception?

Bought a house where the original owner had no concept of defensible space. 150+ tall trees (mostly fir and alder) are within 50 ft of the house and could hit it if they came down. Several have already come down but no house damage (yet, knock on wood).

Would removing the potential hazardous trees to create a safety buffer and expand the size of usable yard be considered a capital land improvement?

Has anyone gone through reasonable compensation being challenged by the IRS? Just wondering what it was like and what was used to support the compensation amount (on both sides). Also what were the results of it being challenged? I understand there are some that neglect paying themselfs a reasonable comp more curious about cases where people felt like they had ground on in the argument. But I'll take horror stories as well. Just interested about hearing about it in practice.

Hey there, sorry if formatting looks wonky, I'm on mobile. Hourly worker living in Georgia.

I need help understanding how to calculate what my paychecks are going to be after taxes are taken out. I was using ADPs Georgia Salary Paycheck Calculator, but I'm not sure if it's correct.

I work hourly, and am paid bi-weekly. My most recent pay period, I worked 156.31 hours. ADP calculated that I should've had about 12.79% of my gross taken by fed and state taxes. On my actual paystub though, I had about 14.11% taken by taxes.

I double checked, and all of my W4 information is correct on both the ADP calculator and on the form I filled out for work. I don't have insurance or retirement through my work, so I know it's not that either.

I'm now struggling to figure out how exactly I can calculate what my upcoming paychecks will be, since I don't understand how tax withholding work. Any insight would be really appreciated. ​

It’s been so long. I completely forgot that they still owe me. I can’t get anyone on the phone email I give up at this point.

My DH will be the only beneficiary of income earned by an estate that earns about $5k a year in O&G royalties in state X. He resides in state Y which has no state income tax. State X has state income tax. The estate will issue a K-1 to my DH every year since the estate passes 100% of these earnings on to DH. I know we need to report and pay federal income tax on this K-1 but what about state X? Do we owe any tax to state X and if not, do we even need to file anything in state X?

SOLVED

I’m starting a new full time job this week, but I plan to keep my current full time job for a few more months before leaving it. The old job is a sales role so I make my own schedule. I’m filling out my new employer’s Form W-4 and have a question about the multiple jobs section (Step 2).

The form says:

Complete this step if you (1) hold more than one job at a time, or (2) are married filing jointly and your spouse also works. The correct amount of withholding depends on income earned from all of these jobs.

Do only one of the following:

(a) Use the estimator at IRS W4App for most accurate withholding for this step (and Steps 3-4). If you or your spouse have self-employment income, use this option; or

(b) Use the Multiple Jobs Worksheet on page 3 and enter the result in Step 4(c) below; or

(c) If there are only two jobs total, you may check this box. Do the same on Form W-4 for the other job. This option is generally more accurate than Step 2(b) if pay at the lower paying job is more than half of the pay at the higher paying job. Otherwise, Step 2(b) is more accurate.

Complete Steps 3-4(b) on Form W-4 for only ONE of these jobs. Leave those steps blank for the other jobs. (Your withholding will be most accurate if you complete Steps 3-4(b) on the Form W-4 for the highest paying job.)

I do not want to tell my new employer that I am temporarily keeping my current job.

My understanding is that this section is primarily used to calculate accurate withholding. If each employer withholds taxes as if their job is my only job, there is a possibility that not enough federal income tax will be withheld.

If I leave the multiple jobs section blank, complete the rest of the W-4 truthfully, and make sure any additional tax owed is paid (either through later withholding adjustments or when filing my tax return), am I violating any legal requirement or making a false certification under the W-4 signature statement?

Or is the consequence simply that my withholding may be less accurate and I may owe additional tax when I file?

I’m looking for guidance on how to correctly complete this form and what information I am legally required to provide to my employer.

after 10 years renting and almost 10 owning, i'm beginning the process of selling up my rental flat in London. I have my estate agency in place and a conveyancing lawyer, but my UK accountant is not knowledgable on capital gains tax - can anyone help with someone reputable in London? Thank you!!

From 2022 tax year. Wondering why I owe??

*Computation of Proposed Amount*

CA Taxable Income as Reported or Revised $ 107,206.00

Interests 129.00

Securities 26,300.00 26,429.00

Revised Taxable Income 133,635.00

Filing Status - HeadOfHousehold

Tax - Table 7,333.00

Exemptions:

Personal 140.00

Dependent 433.00 573.00

Total Tax 6,760.00

Less Original or Revised Total Tax 4,302.00

Additional Tax 2,458.00

Interest from 11/16/2023 to 10/08/2025 376.43

**Total Additional Tax and Interest** **$** **2,834.43**

I’m thinking of opening a high yield savings account with a sibling. I understand that you get a 1099 from your bank if you have interest earned but what happens when two people are on the account? Do you split evenly when you file your income tax?

I'm amending an 1120-S for a client after the previous accountant had made several mistakes including leaving off ~150k in expenses. I'm not 100% sure on how they categorized ever expense so for some of the lines it may just be moving the expense (for example, I may consider something office expense that they listed as advertising). Because of this, in what I currently have prepared just about every line is different, but overall it's ~150k lower in income. Do I have to make an explanation for every single line of the return?

I know on the IRS website they say "Attach to the amended Form 1120S/1120-F, the XML document, AmendedReturnChanges, that identifies the line number of each amended item, description, the amount on the previous return, the amount on the amended return, and an explanation of the reasons for each change." But I just wanted to check to see if anyone else has had experience with something like this before add ~30 explanations to the statements.

Wife and I have four LLC's that each own several rental properties. One of the LLC's also ran the payroll for all of the entities under its EIN (we have three employees). Last year, our attorney recommended that we form another LLC to basically act as the management entity that will also run the payroll, pay bills, etc. He also mentioned that we should be able to file just one partnership tax return for all of the properties. How does this work? We didn't file final returns for the prior year for the four LLC's. Can we just file one return for 2025 under the new LLC, and if so should we reference that this return includes the activity for the other four LLC's? One complication is that we filed payroll taxes under the one old LLC for the first quarter 2025 and under the new LLC for the rest of the year.

Also, for those who are in Ohio and are familiar with Ohio municipal taxes, we have credit carryovers on our municipal returns for each of the four LLC's that we carried forward to 2025. Assuming that we file everything under the new LLC starting in 2025, are we able to note that we are including the activity for the old LLC's on this return, and document the credit carryforward from each entity?

I received a tax notice saying:
“If you don't respond and/or pay $$$$ by July 24, 2026, you will receive a Notice of Assessment, including additional interest and penalties.”
This is my first time dealing with this situation. My husband tells we should wait for another letter before setting up a payment plan, but I’m worried that waiting past July 24 could cause more penalties and interest.
Has anyone dealt with this before? Should we contact the tax department now to set up a payment plan or wait for the next notice?
I want to make sure we don’t miss any deadline.

Worked a w-2 job earlier this year and ended up having too much $ withheld (I know that it should've been fixed but it's a long story about a not so great employer).

Now I'm contracting for a company. If I feel like enough extra was withheld from the w-2 comp for 2026 to cover the taxes I'll owe on the 1099 income, do I still need to pay estimated taxes on the 1099 income?

Is there a way to calculate exactly how much "extra" was actually withheld?

We've got a prospective client here who's spouse has just passed. They had 401ks spread out through several accounts. All list the surviving spouse as beneficiary except the largest (about 900k) which lists their revocable trust. I can't say I've dealt with this before, and all the reading I've done seems to be geared towards irrevocable trusts. The trust is pretty standard, everything goes to the beneficiaries outright after the second spouse's passing.

With the trust still being revocable, what are the surviving spouses options? Ideally we would like to treat as their own IRA, but I'm not sure if this is possible.