Closing costs, mortgage interest and property taxes are deductible when filing a federal return, correct?
Answers: Incorrect.
Most closing cost are not deductible.
Only points, interest, and property taxes.
No most "closing costs" are not deductible. Items such as attorney fees, title search fees, title insurance, hazard insurance that are paid at closing are not tax deductible. Your points (if any) that you paid, interest for the year are tax deductible.
Which is more profitable; A municipal bond paying 5% or a fine corporate bond paying 7%.?
I am in the 35% excise bracket and I have a decree to make, tax-wise. I am trying to see which bond I would salary less taxes on. I believe the municipal bond is more profitable, but the 7% bestow is so tempting.Answers: Assuming that the municipal bond is federal income tax-free, the municipal bond would be more profitable. Since you are within the 35% tax bracket, you would lose 2.45% to taxes. Thus, the after-tax return on the corporate bond would be 4.55%, while the after-tax return on municipal bond would be high at 5%.
In my opinion both are losers since the legitimate rate of inflation is running close to 8%.
State rates cross-examine?
I used H&r Block online to file our taxes. When I first submitted our federal and state taxes I accidently put the wrong 2006 agi to electronically "sign" the return so the federal return get kicked back. The state return also get kicked back but it didn't speak why (I'm guessing because the federal one did?) Anyways, it let me resubmit the federal return and it get accepted no problem but it say that California won't let someone resubmit an efile so I inevitability to mail it within and the refund will steal 5-7 weeks now. Is this completely true? If I used a different program would it allow me to efile? Why wouldn't I be able to re-efile a return that wasn't permitted because of one mistake?Answers: If CA won't allow you to re-submit an e-filed return then it won't concern if you tried to e-file it through a different prep firm or e-file provider. CA already has a dictation of your reject so they'd just reject it again and you could be out an further e-filing charge.
The reason that you can't resubmit your CA return via e-filing is because that's their rule or decree. Not a lot you can do nearly that except complain to your elected representatives.
most state programs use your ssn number for identifying information purposes so any forms sent within with that ssn will be kicked out