Taxbot Mileage & Expense Tracker

Loan Fees

September 13, 2012

Here is a tip that I bet most of you didn’t know that could save you thousands. If you didn’t know this, spread the word among your friends: When you buy a home, you can NOT deduct or add to basis any loan costs other than points. Thus, lender required insurance, mortgage title insurance, lender...Read More

Qualifying Children as Dependents

September 12, 2012

by Sandy Botkin

Question of the week: My son, who graduated from college, lost his job last month and moved back home. Can we deduct him as a dependent? Sound familiar? Answer: You can if you meet the requirements. Generally, a dependent child can’t earn more than the personal exemption amount, which is $3,800 this year in 2012....Read More

Reducing Taxes on the Sale of Your Home

September 11, 2012

by Sandy Botkin

A huge tax break in the Internal Revenue Code is provided for the sale of your principal residence. You can avoid up to $250,000 if you are single or up to $500,000 of gain if you are married filing jointly. However, this might not be enough if your home has significantly appreciated. The key is...Read More

Tax Policy: Obama vs. Romney

September 10, 2012

by Sandy Botkin

As the presidential election draws closer, understanding the tax policy of the major presidential candidates is important. Here are some of the differences: Individual Tax Rates Tax rates for 2013 are scheduled to increase for most rates with the top two rates going up the most. The top rate will increase from 36% to 39.6%...Read More

Deducting a Home Office When you Rent and Deducting Clothing

September 7, 2012

by Sandy Botkin

I had two great questions this week that I wanted to address in this post: 1. Kyle asks, “Can I claim a home office deduction for an apartment that I rent?” Answer: Great question. The answer is YES! To the extent that your home/apartment qualifies as a home office, you can deduct that portion of...Read More

How to Write Off Property and Assets That you Didn’t Pay For!

September 6, 2012

by Sandy Botkin

Did you ever get a gift from someone that you used in your business? Maybe you got a tire pump for your car or even a car from your parents. Well, guess what? If used in business, you can write these things off! Your basis for the write off is the same as that of...Read More

Understanding the Mortgage Interest Rules

September 5, 2012

by Sandy Botkin

This is an area that is widely misunderstood and can cause some real problems, but not for my friendly readers. You can deduct mortgage interest when you borrow money to either purchase or improve your principal residence or purchase or improve a second home. If the money borrowed is for anything else, such as rental...Read More

Money Saving Tip: Add Parents to Family Cell Phone Plan

September 4, 2012

by Sandy Botkin

Money saving tip: I have an unlimited usage plan with Verizon. I also have a family plan as I am sure that some of you also have. My dad, however, has his own cell phone plan and was paying over $60 for his monthly usage plus he paid for his land line. My idea was...Read More