Should I Tender My Allergan Shares To Valeant Pharmaceuticals?
Perhaps they should make this into a mini-series.
Perhaps they should make this into a mini-series.
The short answer is, “No.”
The capital gains tax traps wealth in an investment vehicle requiring special techniques to free the capital without penalty.
Despite their complexity, these exchanges have the potential to save vast amounts of money.
MAGI is a common tax term to denote the resulting value of your adjusted gross income (AGI) with some items added back in. However, each use of MAGI may have different variables added back.
Church Hill Activities and Tutoring is one example of the many charities that are granted tax credits to share with donors.
There are at least four different capital gains tax rates. Here’s how to minimize yours.
Want the full list of tax tables? Here they are in one place for easy browsing.
Whenever the IRS challenges you, the burden of producing evidence that your claims are true rests entirely with you.
Here’s to a better 2014!
Planning on future cash needs allows you to use specific accounts for tax planning purposes.
A dollar saved on your taxes is better than a dollar earned which causes you to pay more tax.
Now that the Bush tax cuts have expired and Obamacare will add additional tax burdens, many people need to think twice before realizing a large gain on their investments.
Don’t hesitate to take advantage of this tax code oddity.
“Why Buffett thinks investing in gold is stupid”
Although a number of tax breaks got snuffed out by the recent tax compromise passed on January 1, the ability to make charitable contributions from IRA accounts for people older than 70 1/2 was given new life.
You cannot argue this increased tax is their “fair share” simply because they are married.
Passive investing is like a ginger bread house, a sweet and beautiful harmonious selection of treats which work well together to build your financial house.
“Most people don’t know this, but right now there’s a loophole in the American banking system that enables you to exchange ordinary paper dollars for real silver coins.”
This kitten gifts appreciated stock. Be more like this kitten.
With the enormous increase in the taxation of dividends, high net worth investors may be tempted to abandon dividend-paying stocks entirely. This is not necessary.
The victors in the recent election have declared it open hunting season on the rich, which they evidently believe will solve our spending problems. Tax hikes everywhere are aimed at the most productive members of society.
It might be a good idea to listen to those who watch the cause and effect in the economy on a regular basis.
It would have been more accurate to say, “The Joint committee on Taxation by agreement with congress is required to limit their analysis to a fixed GDP assumption.”
Many families seek financial planning advice specifically for retirement. But if they wait too long, they miss an important tax-planning opportunity. A great strategy is to take advantage of the time between retirement and Social Security at age 70, the so-called gap years.
Do I start planting investments and then refrain from giving for ten years?
Advisors who offer comprehensive wealth management are like financial concierges. Their only goal is to meet your needs. If you ask for fresh strawberries, they try to find them for you.
It can be useful to maintain a grid where all of the available asset classes are arranged in order, by tax efficiency and potential return based on time horizon, so clients can clearly see when and where tax-deferral can offer the greatest benefits.
Laws have always regulated who may marry, the obligations related to marriage and children and whether and how a marriage can be ended. Governments have always put their own social agenda above the pluralism of personal choice.
The qualified dividend tax rate is currently at a maximum of 15%, as are capital gains. Starting January 1, 2013, dividend tax rates will go up to the investor’s ordinary income rate.
There is a distinction between existing high capital gains exposure in a mutual fund verses future capital gains you expose yourself to.
“How can you respond if these new taxes are enacted? One option is to do a Roth conversion so that you can pay taxes now for those retirement funds.”
Who would have thought that someone earning $10,700 might want to purposefully push their taxable income up to $217,450 this year in order to pay $47,595 more in taxes at these lower 2012 tax rates?
A tax tsunami is coming at the end of this year. This will be your last opportunity to safeguard your assets in a lifeboat and avoid getting swamped with taxes.
New rules go into effect January 1, 2012 which change the way you need to compute the cost basis for mutual funds if you use average cost accounting. We recommend you change the method you use to something which allows better tax management.
Financial resolutions usually don’t even last until the end of January. Making a permanent change in our behavior requires both time and a steely resolve. We can only develop financial character one action at a time. Here are seven practices to take you from pauper to prince or princess if you add one each year.
Q: I received a letter from a nonprofit organization to which I regularly donate suggesting I may be eligible for state tax credits. Can you please explain what this means?
Q: I inherited shares of five stocks from my parents, who died many years ago. I am now 70 years old and would like to gift them to my grandchildren. How do you recommend I do this?
Christmas is coming. This is the time of year to consider charitable giving. Let us assume you have decided you want to give appreciated stock instead of writing a check. Now what?
Robinson’s entire arguement seems to be focused on the idea that the current max capital gains tax rate is 15% but the income tax is progressive and passes 15% at middle class incomes.
The greatest engine to generate real wealth is saving and investing. And the best way to ensure that your default is saving and investing is to automate the process. Pay yourself first, and your savings will grow exponentially.
If you failed to convert anything last year, you missed an opportunity. If you converted much more than you probably wanted to, now you have to decide how much to keep.
The law allows taxpayers age 70 1/2 or older to donate up to $100,000 from their IRA directly to a charity. The amount of the charitable contribution is excluded from taxable income.
Financial resolutions usually don’t even last until the end of January. Making a permanent change in our behavior requires both time and a steely resolve. We can only develop financial character one action at a time. Here are seven practices to take you from pauper to prince or princess if you add one each year.
Capitalizing on tax savings can allow you to be even more generous in years to come.
When the markets are volatile, the bonus on account of rebalancing is greater.
More than 200 charities have been designated Neighborhood Assistance Programs (NAPs).
Going forward, tax management will be as significant as investment management in a comprehensive wealth management plan.
It is time to drive a Brink’s truck through the legal loophole of Roth conversions this year.
When the saying first circulated, May was flat. Since 1987, however, May has done phenomenally well, averaging 2.11%.