Posted by John K Haslach, CPA, MST on January 18, 2005 at 15:16:22:
Be careful of the “advice” you get here. You will be the one penalized if you get audited and the IRS or the state doesn’t agree with your creative accounting. If you have any expenses related to the flip, they can be deducted in computing the gain, including interest expense on the credit card debt, if the credit card expenses were related to flipping your property.
Income Tax Question - Posted by Joel
Posted by Joel on January 18, 2005 at 10:45:54:
I just completed my very first deal. A $70,000 home that I flipped for $23,000. I made a nice little $5,000 profit on this trasaction.
Now, I have some credit card debt that I would like to pay down without having to be taxed for the full $5,000.
For example, I have approximately $1,500 in on my CC that was acquired before the acquisition of the house. Is there a way I could pay that and only be taxed for the balance of $3,500?
Joel
Re: Income Tax Question - Posted by chet
Posted by chet on January 18, 2005 at 15:07:27:
creative accounting.
Are the charges on the CC related to the flip?
Re: Income Tax Question - Posted by Rick
Posted by Rick on December 09, 2006 at 03:09:25:
Was married divored now and our child is 5 years old.
and I’ve claimed the child once and she’s claimed every year after that and I’m paying support every month. Do I have a right to claim or carry my child sometimes? She has let someone else carry him and not me becasue she’s got 4 children but she carries 2. What are my rights? Can I carry him sometimes?