Exemptions From Capital Gains Tax in Spain

Capital Gains Tax in Spain is payable on the profit from the sale of certain assets in Spain, including antiques, art and jewellery, stocks and shares, property and businesses.

Exemptions from Capital Gains Tax on Property

Residents over 65 are exempt from this tax on the profit made from the sale of their principal home, irrespective of how long they have owned it.

Importantly the Spanish Tax Office defines “a principal home” as the place where you have lived permanently for at least 3 years; thus residents below 65 are exempt from CGT on the profit made from the sale of their principal home, provided that all the profit is invested in the purchase of another principal home in Spain within two years of the sale.

Any profit that is not reinvested is subject to CGT at the income tax rate.

Gains revealed as a result of the death of a taxpayer, gifts to government entities and donations of certain assets in lieu of tax pay

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Is Treasury Secretary Mnuchin’s Move to Reduce Capital Gains Taxes Naive or Genius?

When I heard the news yesterday, I nearly fell off my chair, not because it’s a bad idea, but the timing in my humble opinion could not be worse. The Treasury Secretary is studying the ramifications of reducing capital gains taxes on investments like stocks, bonds and real estate, by taking into account inflation before levying taxes on investors selling those assets. Capital gains currently are figured by subtracting original asset purchase prices from current sale prices without adjusting for inflation. Obviously, such a move would be seen as favoring the rich who have more assets to sell and would thereby benefit most from such a proposal. In addition, at least in the short run, naysayers contend that the move would further increase our already obscene and growing Government debt, which nobody thinks is a good idea. However, proponents of the proposal would argue that reducing capital gains would in the medium to longer term increase economic activity and ultimately lead to

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Benefits of Tax Software

Tax software is designed to enable you to cheaply and easily prepare and file your tax returns. You are able to use a highly rated and proven program to file your business and personal taxes yourself without having to contract the services of an accountant or other tax expert. Go for an online tax software yearly update or edition which will enable you to receive automatic updates, as well as enjoy unfettered online access to your taxes. Below are some of the benefits of using tax software.

  • Maximize Your Tax Deductions – Updated tax software programs enable you to avoid missing out on all the latest deductions, thus reducing what you owe and earning you a larger refund. This way, you get to keep up with all changes in state and federal taxation laws, and avoid owing taxes that arise from these changes.
  • File Returns from Your Computer – Tax software enables you to e-file your tax returns which is much faster and more convenient than hav
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3 Ways That a Business Owner Can Minimize Their Taxes

There are hundreds of ways for a small business owner to minimize their tax bill. Although the first two tips below may seem obvious, most small business owners pay too much tax because they aren’t tracking those two items properly. As for the third tip, a small business owner rarely saves money by doing their own taxes. Read on to find out why.

Tip #1 – Carry a Mileage Log

Tax professionals are always amazed at how many business owners don’t record every single business trip in a mileage log. At roughly $.50 per mile that bad habit can cost you hundreds of dollars in missed tax savings each year. And, for those who think they can just guess, failing an audit for business mileage is pretty expensive after they add interest and penalties.

Purchase a printed log or a small office appointment book, and keep it in your car. Put it where you can reach it from the driver’s seat. Making the task quick and easy is the key to reco

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Managing Small Business Taxes for Startups With High Profits

When your profits are high as a small business, you might feel some pride and a boost in confidence. You are doing what you want to do and you are doing it well. The only issue here is that things might get a bit more complicated. Taxes for a small business with high profits might seem unmanageable, especially if you do not know how to deal with this type of situation. Taxes for small business situations like this should go to the professionals. A small business consultant, a bookkeeper, can handle this far more effectively than you might be able to. This means better results and fewer risks moving forward.

Bookkeeping for small business taxes and profits is the smart choice when you are making a lot of money. When your profits are high for a business of your size, you should have a bookkeeper helping you. The higher the profits are, the more complicated this can get. It is sometimes more complicated than you can manage. If you try to take it on yourself, you might make mista

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Market Volatility and Taxes – How to Minimize Both to Double Your Returns

As a recovering CFO, I find helping people with their financial planning especially fascinating. I recently conducted a Retirement Income Class here locally, where I had the chance to sit down with one of the students to answer some questions she had a little more thoroughly. It was quickly discovered that our conversation had a lot more merit to becoming a formal meeting so we scheduled a time for us to visit at her home where she would feel more at ease and would have access to any documentation she would need. Our friend, let’s call her Mildred, is a 70 year old lady, who like most working class her age has all of her assets in IRAs. She has her social security and a small pension that she lives on and like most people who grew up with Depression Era parents, lives quite comfortably within the confines of her ‘fixed income’. Mildred came to our class because one of our emphasis is minimizing taxes throughout retirement and since she now has Required Minimum Dist

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Taxes on Your Gambling Winnings – You Owe Uncle Sam a Piece No Matter How Much You Won

When you’re gambling at a casino, you may win a few bucks here and there and leave with more dollars than you brought with you. It may be as little as $20, or as much as $1,000. When cashing out you were never presented you with a form to declare your winnings to the IRS. If you think you’re home free, think again. As a U.S. citizen, you owe Uncle Sam a piece of the action regardless of the amount. Many players think that just because they were not given a tax form there’re home free. Not so.

So, what does get reported to the IRS? Larger amounts that are won at gambling establishments such as casinos, lottery retailers, horse race tracks and off-track betting parlors. They will issue a form W-2G, one copy to you and one to the IRS. Here are some details:

Machine Games

$1,200 or more won at a slot machine, video poker, video keno, video blackjack, etc. This only applies to a single jackpot payout amount. Accumulated credits are

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Why You Should Get Your Taxes Done By A Professional

So many people are going with online software or websites that allow you to do your taxes on your own. These services are easy to use and do a good job for what they offer, but the real question is, are you getting the most out of your income tax or do you even know what you qualify for? You’re almost going in blind unless you know all about deductions and things you might qualify for. I put this guide together to show you what you are missing by not going with a professional.

More Deductions

It’s a stone cold fact that a professional will be able to look at your profile and tell you what kind of extra deductions you might qualify for. There are race specific, work related, and travel deductions that a lot of people overlook when they are using software. The software isn’t a human being and can’t recall previous experiences where someone got a deduction because of this or that. It can only gauge what you will receive by what you input onl

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10 Sure-Fire Ways An Independent Contractor Can Save Money On Taxes

The tax laws are written by the politicians and they write IRS laws in order to tailor society in the manner they and their constituents want. This is something taught to accountants and tax preparers every tax season.

Politicians today want workers for the rich so that they can live in bigger houses and take vacations their employees can only dream about winning the lottery to get. Those who want to help others end up giving the taxes paid in by honest taxpayers to dishonest people, instead of those truly in need. However, you can help yourself to pay less tax and make sure your tax dollars go where it counts.

Big business and the rich spend money on accountants to figure out how to get around taxes and give to politicians to get what laws they want passed. As a small business person you get to take advantage of those same laws that the wealthy spend the big bucks to get.

Here are ten sure ways you can use the IRS and your small business to your advantage, just

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Living Trusts – Do They Reduce Estate Taxes?

When properly drafted they do! While living trusts have nothing to do with one’s real estate tax bills, they can be well crafted to reduce these estate taxes or avoid them entirely. A couple can transfer the ownership of their property into a trust and then act as the trustees of this document. Both the husband and the wife can serve as co-trustees of the property so that when one spouse dies, the other can still be able to manage the living trust and; thus, avoid expensive estate tax bills.

Why is this so? Why won’t the other spouse be taxed for the property that his/her spouse has left him? The reason is that the property of the couple is in fact still owned by the trust and not the surviving spouse. With the death of one spouse who is also one co-trustee, there is still another co-trustee who can manage the living trust. Therefore, the property in question will either have reduced or no taxes at all since ownership of the property goes into the marital life est

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