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Archive for Real Estate

Foreign Investors In United States Real Estate

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Foreign Real Estate Investments & Taxation in Italy

Marco Rossi, Tax Advisor

Italian taxation of foreign investments in Italian real estate is complex.

Transfer taxes charged upon the acquisition of the real estate (alternatively, registration tax or VAT) vary depending on the nature and tax status of the buyer (foreign private individual, foreign company purchasing and owning the real estate directly, or foreign individual or corporate investor purchasing and owning the real estate through an Italian controlled entity), as well as the nature and tax status of the seller (private individual vs. unincorporated business or commercial company registered as a VAT taxpayer).

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How To Maximize Deductions For Business Real Estate

William Rogers, Tax Advisor

Currently, a valuable income tax deduction related to real estate is for depreciation; however, the depreciation period for such property is long and land itself isn’t depreciable.

Whether your real estate property is occupied by your business or is being used as a rental, here’s how you can maximize your deductions:

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Real Estate Taxes For American Expats Abroad

.All Americans are required to file US taxes and report their worldwide income, wherever in the world they live. Thankfully there are a number of IRS exemptions that can be claimed to reduce or eliminate US tax liability for expats, however even if no US tax is owed, expats still have to file an annual federal return.

There are thought to be around 9 million Americans living overseas, many of whom, particularly those who have moved abroad permanently, consider purchasing foreign real estate. Read more

Selling Your Home May Not Be A Taxing Event

Spring and summer in some areas of the country are prime times to sell a home.

In warmer climates like Texas, Florida, Arizona, Nevada and the Carolinas, the home buying/selling season is less defined. In more temperate climates it rarely matters when you put you home on the market. Read more

What Is Really The Cost? Part II – Cost Tacker Worksheet

Jim Marshall

In response to a question from Lisa Foster on Part II of the blog, she asked if there was a worksheet to track the cost basis. I have found no universal worksheet that could be used in all circumstances. If you would like me to send you an example of a Cost Tracker, please email me at jim@MarshallPC.com and I will be happy to send you a Cost Tracker Worksheet which will be very helpful. Read more

Qualifying As A Real Estate Professional

John Dundon

This is a continuation from a previous post from last week, “Real Estate Professionals For U.S. Federal Income Tax Purposes.”

What many taxpayers have a difficult time understanding is that qualifying as a real estate professional does not guarantee that your rental activities are non-passive. It simply means that your rental activity is not NECESSARILY passive regardless of your level of participation.

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Equity Stripping – Creating A Plan

David Southwell

There are a number of viable alternative plans for equity stripping and for protecting your home and other assets. We recognize that everybody’s financial situation is unique and work with everybody individually to tailor a plan that best protects their properties.

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Could Your Airbnb Rental Be Considered A Hotel?

William Rogers

Vacation rentals are nothing new. For centuries travelers have opted to stay in private residences over hotels for a variety of reasons. It’s quite common here in Southern California with the lure of our local beaches and mountains for property owners to rent out their properties on a transient basis. Vacationers have long used the Internet to search for available properties by visiting sites like Craigslist or VRBO.com (Vacation Rentals by Owner).

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Rental Property Sales – A Simplified Look

John Stancil

When one has rental real estate, the sale of that property can have significant tax ramifications. Some of these are good, while others can create significant tax liabilities.

First, the good news. If there were losses that could not be deducted due to the passive activity rules, these losses may be deducted on Schedule E in the year of sale, assuming the property is sold in a taxable transaction.

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Increase In Rate Of Withholding Of Tax On Dispositions Of US Real Property Interests

Larry Stolberg

On December 18th, President Obama signed H.R. 2029, using the tax (the “Protecting Americans from Tax Hikes Act of 2015”) and spending bills (Consolidated Appropriations Act, 2016) to fund the government for its 2016 fiscal year.

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Canadians Selling U.S. Real Estate

Larry Stolberg

As you may be aware of there is a federal tax withholding requirement on the sale of U.S. real estate by non-U.S. persons. This does not exempt the vendor from filing a U.S. tax return to report the sale and paying any tax payable or requesting a refund for excess federal tax withholding.

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