Estates May be Given Choice Between 2009 & 2010 Estate Tax Law

In Estate Planning, Tax Planning by Daniel Friedel

Wall Street Journal, Estate Tax Choice May Be In Works For 2010 — Treasury Official, by Martin Vaughan: The estates of those who died this year might be allowed to be taxed as if they died in 2009, in order to resolve a problem created by the repeal of the estate tax, a Treasury Department official said. Allowing those estates to …

IRS Incorrectly Records 73,000+ Purchase Dates for Taxpayers Claiming the First-Time Homebuyer Credit

In Tax Planning by Daniel Friedel

Those of you lucky enough to take advantage of the First-Time Hombuyer Tax Credit might be getting a not-so-lucky tax assessment.  Somehow the IRS managed to record the wrong purchase date for 73,000+ homebuyers cashing in on the credit. This IRS screw-up could be costly for the unfortunate taxpayers affected.  When the First-Time Homebuyer’s Tax Credit appeared in 2008, it …

Asbestos, Acutane, Vioxx, Paxil Settlement? You may need a Tax Attorney!

In Tax Planning by Daniel Friedel

We have all seen the ads for asbestos exposure and “bad” prescription drugs… “have you or someone you know taken the drug Acutane… if so, you may be entitled to cash compensation… call 1800-bad-drug…” So what are the tax consequences of receiving compensation for your damages? Well, it depends… Some damages and settlement proceeds are tax exempt under IRC § …

Throw Momma From Her Private Jet–Not From The Train

In Estate Planning, Tax Planning by Daniel Friedel

New York Times columnist Paul Krugman famously  dubbed the Bush 2001 tax cuts the “Throw Momma From The Train Act”, because the estate tax was eliminated for just one year—2010. But as 2010 grinds on without a federal estate levy, it’s becoming clear that Krugman got it wrong.  Any Momma who would ride the rails (even the pricey Acela) probably …

Free at Last…Cost of Goverment Day 2010

In Tax Planning by Daniel Friedel

With the rising deficit and a substantial economic strain on our Government, it is not terribly surprising that our Government’s financial woes tickle down, resulting in a larger financial burden on Americans. August 19th marked the “Cost of Government Day” for 2010.  This is the day the average American has earned enough gross income to pay off his or her …

Bush Tax Cuts Expire in 2010…Will You Pay Higher Taxes?

In Estate Planning, Tax Planning by Daniel Friedel

No one wants to be taken by surprise with a super high tax bill for 2011.  With only four months remaining until the expiration of Bush’s tax cuts enacted in the 2001 EGTRRA Bill, a lot of Taxpayers are holding their breath while they scramble to plan for a wide range of alternatives. We are likely to see one of …

The Uncertain Future of Death and Taxes in 2010

In Estate Planning, Tax Planning by Daniel Friedel

“In this world, nothing can be said to be certain except death and taxes.”  ~Benjamin Franklin~  With the estate tax existing as staple in revenue production since 1916, the controversial repeal of such marks a historical period of uncertainty when it comes to death and taxes. Many speculated that Congress would enact interim Legislation preventing a complete repeal of the …

IRS Customer Un-Satisfaction…Facebook a Close Runner-Up

In Tax Planning by Daniel Friedel

As a tax attorney, I have the pleasure of routine interaction with the IRS.  However, I must confess my dealings with the IRS are not as efficient and streamlined as I would like.  Therefore, it came as no surprise to find that the IRS’s customer satisfaction is far from stellar.  Surprisingly I did not expect to see social icon, Facebook,  …

Wesley Snipes is Headin’ to Prison for Tax Fraud – Despite Claiming he was Never a US Citizen

In Uncategorized by Daniel Friedel

With the US Court of Appeals recent decision to affirm Wesley Snipes’ criminal tax conviction, it looks like Wesley Snipes may have to rely on the royalties from his cheesy “Total Gym” Infomercials to pay off his substantial legal fees and restitution incurred from his long battle with the IRS.  I wonder if the Federal Prison has a Total Gym??  …