Category Archives: Tax

tax exemption

The real dangers of real estate tax exemption

About sixty professional footballers have been scammed by the property tax exemption, for damages that could be around 100 million euros. An isolated case ?

Malraux, Pinel, Censi-Bouvard … This is not the composition of a football team but the list of favorite tax devices of our professional footballers. According to a survey by the newspaper, nearly sixty professional football players have been victims of a scam on real estate investments. For damage estimated at between 40 and 100 million euros.

Property tax exemption schemes

Involved, well-known devices: the non-professional furnished rental (LMNP) and devices Pinel and Malraux. In all cases, it is for a taxpayer heavily taxed to buy real estate. Carry out work and deduct from his taxes a portion of the investment and rents. Devices that are completely legal but require some vigilance. Thus the newspaper the example of Gregory Bettiol, former striker OL lost everything in this case. He ended his career in 2015 on injury and today reimburses € 5,500 a month while he and his wife earn only € 5,000 monthly.

He had the weakness to believe in the promise of a financial advisor. Who offered him to invest in real estate enjoying a strong tax cut through the Malraux device. Historical heritage support mechanism offers a nice carrot tax ….

READ ALSO: SCPI: the bottom of the real estate investment that pays 5 times more than the Livret A
SCPI

SCPI: the bottom of the real estate investment that pays 5 times more than the Livret A

4.35% in 2018, who says better? For several years, REITs (Civil Real Estate Investment Trusts) have been leading the way in terms of yield, with a performance of 4.43% in 2017 and 4.35% in 2018. This is 3 times higher than life insurance (euro funds) and 5 times higher than the Livret A yield. While the decline is significant, this investment has become a must for savers, especially those preparing for retirement. We take you behind the scenes of his star investments.

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How to Check Federal Income Tax Refund Status?

People struggling with their finances keep checking their federal income tax refund status, as an early refund would provide them the much required financial boost. Many people, however, are not aware how to find this tax refund status online. This status check can be quite baffling, at times, since you should know about the state that manages the refund process.

Federal Income Tax Refund

Time taken to receive a refund depends on what technique you have used to file your returns – electronic, via US mail, etc. Filing via post is definitely a slower process than filing through email. Hence, it takes around six weeks to receive a refund after IRS receives your return file by post, and around 3 weeks in case of email.

You can also choose the mode of payment you would like to receive your refund through. There is an electronic transfer or a direct deposit, which is definitely quicker than the other option, check via mail. The selection of mail payment should be maddened in form 1040 while filing the return. If you want IRS to pay you via electronic payment option, you need to fill up a separate 8888 form.

How to Check Federal Income Tax Refund Status?

If you want to check you Federal income tax return status, you can visit the official IRS website (irs.gov) and go to ‘Where’s my refund’ page. Or you can check it over the phone by dialing 1-800-829-1954. You cannot, however, check the status immediately after filing the return. In case of email filing, you can check it after 3 days, and in case of mail, you can know your status after 3 weeks.

How to Get Quick IRS Tax Refund?

One of the major reasons in day of tax refund, other than mode of filing it, is errors in the form. By eliminating these common errors, you can avail a quick refund:

  1. Incorrect Social Security Number
  2. Incorrect income report
  3. Arithmetical errors in calculating deductions, taxable income, earned income credit, total tax payments, etc.
  4. Common mathematical errors
  5. Particulars not filled in, or filled in under wrong headings

Besides these delays, each state has different rules for tax refund process. You can visit the IRS website and know about rules governing tax refund process in your state.

What is IRS Tax Debt Settlement Help?

It is quite significant for an individual to be on top of their taxes, always. One must keep a track of all the deductible expenses and investment of the year. If you were, however, not able to keep track of you taxes for few years, it’s very likely that IRS agents might come searching for you. In order to avoid such situation, one can seek IRS tax debt settlement help.

What does this settlement mean?

IRS Tax Debt Settlement help is quite similar to any other debt settlement offered by a creditor. If you owe some money to IRS, they will send you a notice mentioning the amount you have to repay, and various repayment plans to choose from. It is wise to keep in touch and maintain good relation with the person calling you time and again from IRS. If you try to escape this debt, you will be charged with various fines, and jail, sometimes. If you don’t want this to happen, make sure you talk to the person calling you up.

IRS Debt Relief

IRS offers various plans to repay your tax. You can pay the entire amount as lump sum or opt to make monthly payments. If you choose to pay every month, you cannot afford to miss a payment as it could result in huge fine or even jail.

IRS can also waive of a part of your tax debt, if you are able to provide proofs that shows about current hardships you are facing. You, however, would need to be in regular touch with IRS.

When would you need an attorney?

You can do most of the procedure of IRS tax debt settlement help. If you, however, are under huge debt and do not know what to do, you can seek help from a tax attorney. There are thousands law firms around the country that can help you get out of such mess by contact IRS. Optionally, you can also turn toward a debt counselor who can point you the right direction. However, make sure you don’t get trapped in debt settlement debts prevailing n the market these days.

How to Save Money on Taxes?

Most people dread tax period as it involves lots of paperwork and exploring their financial habits. Yet, everyone wants to know how to save money on taxes. While it’s quite impossible to eliminate tax completely, there are ways you can reduce the payable amount.

  1. Follow the Trend – Go Green
    Everyone seems to be going green. The fact is, however, it saves more money than it conserves the earth. Along with cutting down on your electricity bills, reducing the usage of home energy can help you save money on taxes, under Energy Policy Act. You can log on to energystar.gov to know if you qualify for such deduction.
  2. Save on Medical bills
    If you have saved the receipts of all your medical expenses, you don’t have to bother much about how to save money on taxes. Almost every medical expense like buying prescription drugs, hospitalization bills, medical insurance, visit to doctors, etc are deductible if you have the proof. To know the full list of expenses that are cover under this benefit, visit irs.gov.
  3. The Expense of Charity
    Amount donated to recognized charitable trusts is deductible, and all of us are aware about it. You can, however, also deduct money spent on any other expenses that were related to the charity. For instance, traveling expenses paid to reach the charitable organization is also deductible.
  4. Are You Paying for Your Diploma?
    Of course, we all pay for our diplomas. If you, however, have borrowed a student’s loan, the interest you pay every year is deductible from the taxable income.
  5. Advance Payment
    Mortgage payments of this year are deductible. But if you opt to make next year’s payment in advance, i.e. in this year, you are eligible to deduct it from this year’s income.
  6. Something for First Time Employees
    After graduating from college, you start seeking job actively. If you are offer a job out of your locality or state, or any place that requires relocating, all your moving expenses are deductible. So, have an expensive pack up, you now know how to save money on taxes.
  7. Save Money by Managing Your Money
    Expenses, up to 2% of you yearly gross incomes, incurred to manage your funds are deductible. This would include expenses like paying for a safety box, communication with your broker, buying a tax preparation software, buying investment magazines, etc.