Sorry the delay, I was answering other questions! There were many different versions of the bill but luckily, the capital gains on the sale of a primary residence were left alone. Check out this article about how housing costs change with the new law. <a rel="nofollow" target="_blank" href="https://www.forbes.com/sites/samanthasharf/2018/01/09/what-in-the-final-tax-bill-could-impact-your-housing-costs/#589beb9b2c08">https://www.forbes.com/sites/samanthasharf/2018/01/09/what-in-the-final-tax-bill-could-impact-your-housing-costs/#589beb9b2c08</a>
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The new tax bill has many changes to capital gains, but fortunately, there is still a mechanism where selling a home can be excluded. The IRS has a provision that can help homeowners avoid capital gains on the sale of their primary residence. To qualify, you must have owned your home and used it as your main residence for at least two years in the five-year period before you sell it. You also must not have excluded another home from capital gains in the two-year period before the home sale. If you meet those rules, you can exclude up to $250,000 in gains from a home sale if you’re single and up to $500,000 if you’re married filing jointly. If you sell a home that was not a primary residence or that does not meet the above requirements, then you would pay capital gains on that sale.
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Revocable trusts (Grantor Trusts) are not required to file a tax return or form 1041.
When grantor trust status applies, either the grantor or a beneficiary is treated as the owner of the activity inside the trust for income tax purposes. In that case, the deemed owner must include the activity of the trust on his or her personal tax return (see Regs. Sec. 1.671-2(a)).
It is optional if you want to file a 1041 to list only the trust’s name, address, and tax identification number (TIN) (see Regs. Sec. 1.671-4(a)). The assets owned by the trust are normally titled so that the earnings are initially reported by the payor (i.e., the brokerage firm, partnership, or, in many cases, an S corporation, etc.) as being taxable to the trust. However, by filing the Form 1041, the trustee is in effect letting the IRS know that the items of income or deductions are instead reportable by the “deemed owner.” The activity that is reportable by the deemed owner is summarized on a separate statement (a grantor tax information letter), which is attached to the otherwise blank Form 1041 when it is submitted to the IRS.
If you decide you want to file a 1041, you can use TurboTax Business to do the 1041 form.
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A lump-sum payment is simply a one-time Social Security payment that you received for prior-year benefits. When someone is granted disability benefits, for example, they will receive a lump sum to cover the entire time since they first applied for disability; this period could cover months or years. After you enter your SSA-1099 information, we'll ask if you received a lump-sum Social Security payment. If you didn't receive one, just answer No and move on. Otherwise, answer Yes and follow the onscreen instructions. Your SSA-1099 lump-sum section breaks down the payments into what amount was received for each preceding year. You can only enter one year at a time; when finished, click Add Another Lump Sum if you need to enter benefits received for a different tax year. While your lump sum may include benefit payments for more than one year, you do not have to file an amended tax return for any prior year. You might need to pay taxes on a small portion of your lump-sum payment. However, you might be able to avoid these taxes by apportioning prior year benefits to those previous years’ income (still without filing any amended returns). After you enter your lump-sum Social Security payment information, TurboTax will automatically figure what if any taxes you owe due to the lump-sum payment.
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What kind of death benefit?
Depending on the type of benefit you receive, you may end up paying tax on some or all of the money. Life insurance benefits are usually tax-free, but not always.
Life Insurance If your spouse or parent, say, bought a $150,000 life insurance policy and you receive $150,000 when he dies, there's no tax. Some policies that earn interest on the premiums pay you more than the face value. For instance, if you got $170,000 from the policy, you have to pay income tax on the extra $20,000. IRS Publication 525 has the formula for figuring the tax if the insurer pays you in installments.
Estate Tax If the deceased leaves enough assets behind to pay estate tax -- as of 2013, the estate has to be worth more than $5.25 million -- the proceeds from any life insurance she owns are part of the estate. A $200,000 policy, for instance, adds $200,000 to the amount subject to the estate tax. You, as the beneficiary, don't have to pay the tax, but if you're in the will the tax can eat into the estate and your inheritance. If someone else owns the policy, there's no tax.
Pension and Annuity Pensions and annuities often include some sort of death benefit. These are often, but not always, taxable. When you get a lump-sum death benefit from a variable annuity, for instance, any part greater than the cost of the contract to the deceased is taxable. Death benefits from pension funds are generally taxable. Many plans provide information about taxes on their website, so you can research whether your particular death benefit is vulnerable.
Survivor Benefits When someone dies, his employer may have an obligation to pay survivor benefits. If you're the survivor, whatever benefits you receive are probably taxable. These may include accrued salary, the deceased's portion of profit sharing or stock bonuses or money from a pension plan. Usually you treat these according to the type of income -- accrued salary gets taxed as income, just like regular income. If you receive a payout from an employer life-insurance policy, that's treated like any other life insurance payment.
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Hi. Sorry. I just started my shift. First, you can do "fake" return on TurboTax now to see what the difference is on your return. You will be able to do a 1040X on TurboTax in a few weeks. The forms are not ready yet. You will not be able to efile. You have to send a paper file. VERY IMPORTANT---you need to wait to get your refund before you file the amendment. I would not spend it until you figure what you owe back. If you try to do an amendment before they process the first one, things will get very confused so wait until you get the refund but do it before 4/17/2018. <a rel="nofollow" target="_blank" href="https://turbotax.intuit.com/tax-tips/amend-return/how-to-file-an-amended-return-with-the-irs/L6kO691J8">https://turbotax.intuit.com/tax-tips/amend-return/how-to-file-an-amended-return-with-the-irs/L6kO691J8</a>
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I hate to be the bearer of bad news , but the IRS considers a semi-truck to be a qualified non-personal-use vehicle. As a truck driver, you must claim your actual expenses for vehicles of this type. So, you can’t use the standard mileage method. To deduct actual expenses for the truck, your expenses can include (but aren’t limited to):
Any other legitimate business expense
Other unreimbursed expenses you can deduct include:
Cell phone that’s 100% for business use
License and fees for truck and trailer
Interest paid on loan for truck and trailer
Depreciate your truck and trailer:
Over three years for a semi-truck for regular tax — or over four years for the Alternative Minimum Tax (AMT)
Over five years for a trailer for regular tax — or over six years for AMT
If you’re an employee, you can also deduct the expenses of traveling away from home. You’re traveling away from home only if both of these are true:
You’re required to be away from your tax home for substantially longer than a day’s work.
You need to sleep or rest to meet the demands of your work while away from home.
As a trucker, you’re not considered to be traveling away from home if both of these are true:
You leave your terminal and return home in the same day.
You have an hour off for lunch in between.
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