Ready to join Toby Mathis and Jeff Webb of Anderson Advisors for a fun Tax Tuesday in the middle of tax season? Do you have a tax question? Submit it to taxtuesday@andersonadvisors.

Highlights/Topics:

Do I have to 1099 a hard money lender for interest payments? No, hard money is for a property mortgage, so use Form 1098

How do I list a shareholder on my 1120, if I am a C Corp? Ignore the LLC and remove it; list yourself as a shareholder because you’re the owner

If 501(c)(3) provides housing for veterans, can I hold homes in separate LLCs under the non-profit? Even if your 501(c)(3) provides housing, it doesn’t need to own the property; you could own houses in a for-profit LLC and rent or give them to the 501(c)(3)

What is an RMD? Required minimum distribution for deferred retirement account; you put money in tax deferred and write it off against your taxes

Are RMDs added to adjusted gross income? Yes, they are taxable as retirement income; give RMD directly to charity to not make your social security more taxable

Who can open up an HSA account that allows us to invest proceeds into alternative investments in real estate notes? You can go to almost any bank, including Mellon

What things can be listed as a liability for business? Any loans - anything you owe to a third party or shareholder

How do I file my C Corp with 50/50 partnership? C Corp files Form 1120; if you haven’t made money yet, it'll all be expenses - offset losses to not pay tax in the future

With the new Schedule A rules, I’ve heard that since mortgage interest probably isn't usable for most of us, is HELOC interest deductible elsewhere? Mortgage interest is still deductible up to $750,000, if used for acquisition indebtedness

Any changes in how donations to charities are handled in 2019 compared to 2018? Same rules apply; 60% of adjusted gross income can be offset on Schedule A

I don't want to take profit from a house. Can I transfer the house to another LLC, and the other house can do the lending or funding? Yes, you can always borrow money on a piece of property without having to trigger a tax

Where do I write fees for LLC state renewal and registration fees on my tax form? There's a couple places; on the taxes and licenses line, or in other deductions

Are there opportunity zone funds to invest in with similar tax deferral? Absolutely, that’s what big brokerage houses are doing; defer your money

I hold a recreational property in LLC. Can I claim special assessments for the property as a loss against sources of income outside the LLC? It depends on how that LLC is taxed

On Form 5500, do you not need to file it if it’s less than $250,000? If you have a retirement plan less than $250,000, married and filing jointly, don’t worry about it

Formed an LLC in Wyoming, taxed as a partnership, I have no activities or expenses besides formation cost. Do I need to file the tax as a partnership? Yes, but you don’t have to file a partnership return, if there was no income or expenses to report

If Airplane A leaves New York, heading west at 11 a.m. EST and Plane B leaves San Francisco at 6 a.m. PST, can I get an extension on filing for my corporation until Oct. 15? No, but if it’s an S Corp, you get until Sept. 15; if it’s a C Corp, it depends on its tax years

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Resources

1031 Exchange

Form 1098

501(c)(3)

Opportunity Zones

Schedule K-1

Mellon Financial

Theresa Fette

Schedule E

Schedule A

Home Equity Line of Credit (HELOC)

Form 1120

Form 5500

1099-R

529 Plans

MileIQ

TD Ameritrade

Tragedy Assistance Program for Survivors (TAPS)

Infinity Investing Workshop

Toby Mathis

Anderson Advisors

Anderson Advisors Tax and Asset Protection Event

Tax-Wise Workshop

Anderson Advisors on YouTube