The Tax Preparation Blog

Archive for August, 2008

Santa Barbara County revving up to keep gas tax funds

Santa Barbara County is getting an early start this time around to fight for its local share of state gas-tax funds that drivers pay at the pump. During state budget talks in June, the Legislature debated raiding local transportation revenues as a way to staunch a $24.3 billion deficit.

Samuel Landis-Tax Attorney IRS Resolution Interview (Important Things You Want to Know)

Truck carrying aviation fuel crashes on icy road

A transport truck loaded with aviation fuel tipped on a nothern Nova Scotia road on Tuesday.

Conversations With History – Jack Citrin

Question: I need some help with some political questions for the state of California…?

In recent years, the state and many local governments have diverted billions of transportation dollars to cover general fund budget deficits. Doing so halts projects needed to relieve congestion and results in thousands of lost jobs in the transportation industry. What is your position on diverting transportation funds for other purposes? Do you support generating additional transportation fund through bonds, raising fuel taxes, half-cent sales tax increase, or some other revenue source?

Answer: 1)Yes, first identify the income sources relating to the transport industry, next find the cost for the above mntioned income sources then study the productivity.
2) Now you can determined what are the suitable adjustments you should do.

Revenue shortfall prompts Escondido cuts

Escondido’s budget deficit has grown and is forcing the city to slash services to the bone. Discussion of cuts, which would exacerbate those already made over two years, will begin when the City Council’s budget subcommittee meets Tuesday.

California Falls into the Sea part 3 20081223 01LvLkHvasuColtranePt3

Question: What happens if I can’t pay property taxes due in December until March?

Will it have gone to my credit report as a lien by then? This is for California.
To correct, they are due starting in Oct by have a late fee as of December (I think 11th), and what happens if not paid by March aside from late fees? Does it go on the credit report? I’ve seen late property taxes reported on credit reports but want to know as of what date they get reported. THanks.
Los Angeles county.
My property taxes have been tripled in a 3 year period but they won’t lower them for the life of me. This is what’s making it difficult. How could a 2 bed/1 bath 1,542 sq foot house built in 1927 have a property tax of over $12,000/YEAR??? It’s ruining my finances.

Answer: you will have a penalty at worst as the taxes are already a lien on your home as of the actual due date. Many states they are due in Oct but not late if paid by the end of FEB

Low-cost loans would spur energy conservation

By Sylvie Belmond belmond@theacorn.com Moorpark officials say the city will participate in a pilot program called CaliforniaFIRST that could help local property owners obtain low-cost loans for energy and water conservation improvements. The loans would be repaid via tax assessments. read more

Tax Deed Properties for Pennies-On-The-Dollar in Potosi, MO

Question: Is auto loans tax deductible, if it is made home lien?

Hi All,

Apologies for asking the answer for resolved questions. From the answers it is clear that personal auto loan is not tax deductible. I live in California and I own a home. My credit union says, If I pay $200, then they can make my auto loan as home lien, which will make my auto loan tax deductible.

Is it legitimate to do so, or is my credit union doing something fishy? I am kind of concerned after seeing the earlier answers.

Answer: That really sounds like they are offering you a Home Equity Line Of Credit (or HELOC). The interest on a HELOC is tax deductable since it’s a lien on your home, however that can be very risky if you live in a declining market.

What concerns me is how the Credit Union presented it to you – $200 is probably closing cost on the HELOC, but if you don’t FULLY understand the loan I would NOT go forward with it! California was hit pretty hard by the housing crisis and you might put yourself in danger taking out a HELOC, which does count as a second mortgage.

It might be a great program – don’t get me wrong – but you want to make totally sure you fully understand the details and weigh all your options before you sign anything. The tax savings might not be worth it at all.

France Offers Google Its Books in Exchange for Tax

The French government is offering support to Google’s book digitization program in exchange for a tax to support the music industry.

Tax Credit for First Time Home Buyers!