1
00:00:01,320 --> 00:00:06,320
Speaker 1: It's Night Side with Dan Ray on WBZ, Boston's news radio.

2
00:00:07,440 --> 00:00:11,119
Speaker 2: All right, welcome back everybody. We are talking taxes tonight,

3
00:00:11,160 --> 00:00:14,440
Speaker 2: and I know it's a little early. Many people don't

4
00:00:14,480 --> 00:00:17,080
Speaker 2: even want to focus on it until after the super

5
00:00:17,079 --> 00:00:20,320
Speaker 2: Bowl game this Sunday. We will talk about the super

6
00:00:20,320 --> 00:00:22,200
Speaker 2: Bowl game in the eleven o'clock hour and give you

7
00:00:22,280 --> 00:00:25,560
Speaker 2: a chance to predict the winning team as well as

8
00:00:25,600 --> 00:00:29,320
Speaker 2: the score by which they will triumph. In most cases,

9
00:00:29,360 --> 00:00:32,440
Speaker 2: people are going to pick the Patriots, and I'm sure

10
00:00:32,560 --> 00:00:36,120
Speaker 2: that would be my pick. But if you're an adventuresome type,

11
00:00:36,120 --> 00:00:38,920
Speaker 2: you might want to think about a Seattle because you

12
00:00:39,040 --> 00:00:41,279
Speaker 2: have you can pick the exact score, but you have

13
00:00:41,320 --> 00:00:43,600
Speaker 2: to have it apply to the right team. So even

14
00:00:43,600 --> 00:00:46,400
Speaker 2: if you pick the exact score, if you pick the

15
00:00:46,440 --> 00:00:49,920
Speaker 2: wrong winning team, you're automatically eliminated. We'll explain the rules

16
00:00:49,960 --> 00:00:52,920
Speaker 2: as we get to the to the eleven o'clock news.

17
00:00:53,120 --> 00:00:57,400
Speaker 2: We're joined this hour by Mark Misselbeck. He is a

18
00:00:57,440 --> 00:00:59,680
Speaker 2: friend of this program for many years, meaning he has

19
00:00:59,760 --> 00:01:03,000
Speaker 2: joined us of his own on his own time here

20
00:01:03,040 --> 00:01:06,920
Speaker 2: on a Friday night, to take your questions about taxes.

21
00:01:07,480 --> 00:01:12,000
Speaker 2: Now all of us, Mark, just to refresh people's recollection

22
00:01:12,760 --> 00:01:16,360
Speaker 2: supposed to receive all of their information by the end

23
00:01:16,360 --> 00:01:19,680
Speaker 2: of January. But a lot of people who have investments,

24
00:01:21,040 --> 00:01:25,400
Speaker 2: the companies with which they invest or the companies who

25
00:01:25,480 --> 00:01:30,720
Speaker 2: are the investors for the individuals, they get extensions from

26
00:01:30,720 --> 00:01:33,639
Speaker 2: the government, and so therefore that is what causes people

27
00:01:33,959 --> 00:01:37,160
Speaker 2: not to be able to file taxes in a timely fashion.

28
00:01:37,640 --> 00:01:41,000
Speaker 2: But the point that I've made and I know you support,

29
00:01:41,200 --> 00:01:45,119
Speaker 2: is get your tax stuff together. Put it in one file,

30
00:01:45,280 --> 00:01:47,080
Speaker 2: put it in one place, even if you put it

31
00:01:47,120 --> 00:01:49,800
Speaker 2: in a in a cardboard box. Make sure that you

32
00:01:49,920 --> 00:01:52,840
Speaker 2: leave nothing out. So when you bring your materials to

33
00:01:53,000 --> 00:01:56,360
Speaker 2: your tax preparer, whether again it's someone who you walk

34
00:01:56,400 --> 00:01:58,280
Speaker 2: in off the street or someone who's been doing your

35
00:01:58,280 --> 00:02:01,559
Speaker 2: taxes load these many years, you want to make sure

36
00:02:01,680 --> 00:02:04,360
Speaker 2: that you put it in some order and you don't

37
00:02:04,480 --> 00:02:08,960
Speaker 2: leave it to them. Mark, I know that your company

38
00:02:09,280 --> 00:02:13,600
Speaker 2: is dealing with you know, some high end earners, but

39
00:02:14,680 --> 00:02:18,239
Speaker 2: I think you would join me in advising people to

40
00:02:19,000 --> 00:02:21,800
Speaker 2: make sure that you give the tax prepare or if

41
00:02:21,840 --> 00:02:26,280
Speaker 2: you do it yourself. What percentage of people at this

42
00:02:26,400 --> 00:02:30,480
Speaker 2: point that the taxes are so complicated, Mark, is there

43
00:02:30,520 --> 00:02:34,160
Speaker 2: any statistic that you know of as to what percentage

44
00:02:34,200 --> 00:02:38,120
Speaker 2: of people actually still try to file their own taxes,

45
00:02:38,160 --> 00:02:39,480
Speaker 2: it has to be very small.

46
00:02:41,440 --> 00:02:45,800
Speaker 3: I don't know that it's all that small. Okay, prepare

47
00:02:45,919 --> 00:02:49,639
Speaker 3: is account for around half of the filings, I think.

48
00:02:50,720 --> 00:02:54,680
Speaker 3: So self preparation or assisted preparation through some of the

49
00:02:54,720 --> 00:02:58,600
Speaker 3: free programs that are out there. Vita is one of them.

50
00:02:58,800 --> 00:03:04,920
Speaker 3: It's a and colleges and universities tend to have programs

51
00:03:05,000 --> 00:03:09,480
Speaker 3: as well as an educational assistance to the people going

52
00:03:09,520 --> 00:03:13,880
Speaker 3: through their programs. The professors will guide them in their

53
00:03:13,880 --> 00:03:17,280
Speaker 3: preparation or go over their work, and they offer a

54
00:03:17,320 --> 00:03:22,440
Speaker 3: free service, typically to the populace that needs the assistance

55
00:03:23,160 --> 00:03:27,360
Speaker 3: and can't afford someone such as myself or even H

56
00:03:27,400 --> 00:03:32,840
Speaker 3: and R Blocker or one of the other commercial programs preparers.

57
00:03:33,520 --> 00:03:39,880
Speaker 2: Yeah, but again it is unfortunately the government is not

58
00:03:39,960 --> 00:03:43,120
Speaker 2: going to to to correct the returns for you. If

59
00:03:43,160 --> 00:03:47,640
Speaker 2: you under estimate what you owe, you have problems. But

60
00:03:47,720 --> 00:03:51,560
Speaker 2: if you if you leave a deduction off here or there,

61
00:03:51,600 --> 00:03:54,360
Speaker 2: the government is not in any responsibility where they have

62
00:03:54,480 --> 00:03:58,080
Speaker 2: to assume the obligation for you. It's up it's up

63
00:03:58,160 --> 00:04:00,640
Speaker 2: to you. So we'll go to do is We're going

64
00:04:00,640 --> 00:04:03,280
Speaker 2: to get back to phone calls and mark, we will

65
00:04:04,400 --> 00:04:06,720
Speaker 2: stick with it. I promise I will keep you no

66
00:04:06,880 --> 00:04:09,520
Speaker 2: later than eleven, because we have to break away and

67
00:04:09,600 --> 00:04:13,920
Speaker 2: do our twentieth hour football picks at eleven, and maybe

68
00:04:14,560 --> 00:04:19,200
Speaker 2: later on this month, if not early March. I know

69
00:04:19,320 --> 00:04:21,640
Speaker 2: things really get crazy for you. We'll see if we

70
00:04:21,680 --> 00:04:24,920
Speaker 2: can get you back, but there's no guarantee. So therefore, folks,

71
00:04:24,960 --> 00:04:26,720
Speaker 2: if you were sitting at home tonight you have any

72
00:04:26,720 --> 00:04:29,560
Speaker 2: sort of a question concerned about your own taxes, this

73
00:04:29,640 --> 00:04:32,360
Speaker 2: is an opportunity. Six one seven, two, five four to

74
00:04:32,440 --> 00:04:36,279
Speaker 2: ten thirty six one seven, nine three one ten thirty

75
00:04:36,400 --> 00:04:39,839
Speaker 2: would I would remind our callers who want to call

76
00:04:39,880 --> 00:04:42,080
Speaker 2: into the twentieth hour. Everyone has a hall pass in

77
00:04:42,120 --> 00:04:44,239
Speaker 2: the twentieth hour, so even if you call this hour,

78
00:04:44,480 --> 00:04:49,000
Speaker 2: you can still give us your prediction. Uh. In an

79
00:04:49,040 --> 00:04:54,560
Speaker 2: effort to win a very very precious Cobalt blue night

80
00:04:54,680 --> 00:04:57,760
Speaker 2: side coffee mug six one seven, two, five four ten

81
00:04:57,880 --> 00:05:01,520
Speaker 2: thirty six one seven nine, let me go to Harry

82
00:05:01,960 --> 00:05:06,279
Speaker 2: in Georgetown, Massachusetts, up en Route ninety five north. Hey, Harry,

83
00:05:06,320 --> 00:05:07,000
Speaker 2: how are you tonight?

84
00:05:08,200 --> 00:05:11,320
Speaker 4: Very good? I'd like to ask Mac about the.

85
00:05:13,040 --> 00:05:15,760
Speaker 5: Interest deduction for buying a new.

86
00:05:15,640 --> 00:05:19,480
Speaker 4: Automobile is it? Can it be if you take a

87
00:05:19,480 --> 00:05:20,360
Speaker 4: standard deduction.

88
00:05:20,480 --> 00:05:23,360
Speaker 6: Are you getting any benefit by the deduction of interest

89
00:05:23,440 --> 00:05:24,159
Speaker 6: on the Kyle loan?

90
00:05:25,960 --> 00:05:28,200
Speaker 3: Yes, you can get up to ten thousand dollars of

91
00:05:28,240 --> 00:05:32,719
Speaker 3: interest deduction. Car has to have been bought after January first,

92
00:05:32,920 --> 00:05:37,520
Speaker 3: twenty twenty five through twenty twenty eight. I believe has

93
00:05:37,560 --> 00:05:40,560
Speaker 3: to have been largely assembled or finally assembled in the

94
00:05:40,640 --> 00:05:43,280
Speaker 3: United States, which will be determined by the VIN number.

95
00:05:44,040 --> 00:05:46,960
Speaker 3: You need to keep that windowsticker or find the VIN

96
00:05:47,080 --> 00:05:50,840
Speaker 3: number somewhere on the car or on your registration is

97
00:05:50,880 --> 00:05:53,920
Speaker 3: where you will also find it, and you can plug

98
00:05:53,960 --> 00:05:57,479
Speaker 3: that in and if you have access to the web

99
00:05:58,040 --> 00:06:01,160
Speaker 3: and find out if the car was finally assembled in

100
00:06:01,200 --> 00:06:04,440
Speaker 3: the United States. Are not. Now there's a phase out

101
00:06:04,560 --> 00:06:07,440
Speaker 3: on that one again, and the phase out level is

102
00:06:07,560 --> 00:06:12,599
Speaker 3: lower than the phase out for the exclusion for tips

103
00:06:12,960 --> 00:06:16,320
Speaker 3: or overtime, where those phase outs kick in at one

104
00:06:16,400 --> 00:06:18,440
Speaker 3: hundred and fifty on a single return on hundred fifty

105
00:06:19,040 --> 00:06:22,040
Speaker 3: three hundred thousand on a joint return. For the auto

106
00:06:22,560 --> 00:06:25,800
Speaker 3: interest deduction, the threshold is one hundred thousand on a

107
00:06:25,800 --> 00:06:29,920
Speaker 3: single return, two hundred thousand on a joint return. It's

108
00:06:29,960 --> 00:06:32,440
Speaker 3: not a cliff that is if you have a dollar

109
00:06:32,480 --> 00:06:35,119
Speaker 3: over one hundred thousand and you're single, you don't lose

110
00:06:35,160 --> 00:06:39,320
Speaker 3: the ten thousand. You lose one hundred for every thousand

111
00:06:39,560 --> 00:06:45,559
Speaker 3: over the one hundred thousand base. And it's rounded up,

112
00:06:46,360 --> 00:06:53,640
Speaker 3: where on the exclusion for tips and overtime you round down.

113
00:06:54,920 --> 00:06:59,840
Speaker 3: So they're harsher on the deduction for auto interest and

114
00:07:00,080 --> 00:07:03,720
Speaker 3: more liberal on the exclusion for tips and overtime.

115
00:07:06,480 --> 00:07:09,400
Speaker 6: Is that deduction rolled up into your standard deduction?

116
00:07:09,520 --> 00:07:11,080
Speaker 4: Are you can? Can you take it.

117
00:07:10,960 --> 00:07:14,920
Speaker 3: Separately, separately on top of your standard?

118
00:07:15,840 --> 00:07:16,040
Speaker 2: Oh?

119
00:07:16,080 --> 00:07:18,600
Speaker 4: Good, thank you. Yes, So there's a new.

120
00:07:18,560 --> 00:07:20,960
Speaker 3: Schedule one A where you take that deduction.

121
00:07:22,360 --> 00:07:24,480
Speaker 4: Oh okay, thank you.

122
00:07:24,760 --> 00:07:27,040
Speaker 2: So hold on here, correct me if I'm wrong, Mark.

123
00:07:27,360 --> 00:07:35,000
Speaker 2: But obviously there is where I guess economic philosophy is

124
00:07:35,040 --> 00:07:41,520
Speaker 2: injected into the tax code. Obviously, our government of current

125
00:07:41,600 --> 00:07:46,040
Speaker 2: Congress and our current president wants to bring more automobile

126
00:07:46,160 --> 00:07:50,440
Speaker 2: manufacturing plants back to the on shore to America.

127
00:07:50,600 --> 00:07:54,520
Speaker 3: And this will the assembly the parts can be made elsewhere,

128
00:07:54,520 --> 00:07:57,040
Speaker 3: the final assembly is done in the United States.

129
00:07:57,160 --> 00:07:59,080
Speaker 2: Sure, no, I understand that. But what I'm saying is

130
00:07:59,120 --> 00:08:04,679
Speaker 2: that that that the more assemblies, assembly lines and cars

131
00:08:04,800 --> 00:08:07,280
Speaker 2: coming off assembly lines in the us. That means more

132
00:08:08,280 --> 00:08:12,160
Speaker 2: auto workers are being paid in the United States, and

133
00:08:12,440 --> 00:08:16,040
Speaker 2: that's good for certain states like Michigan or wherever. Uh

134
00:08:16,080 --> 00:08:19,840
Speaker 2: And and you have a point in time where congressmen,

135
00:08:19,960 --> 00:08:23,560
Speaker 2: Republicans and Democrats who want to see who have lost

136
00:08:23,640 --> 00:08:27,720
Speaker 2: assembly plants in their districts. That's where the economics and

137
00:08:27,800 --> 00:08:32,640
Speaker 2: politics does come into tax code. Whether whether.

138
00:08:34,080 --> 00:08:37,200
Speaker 3: What's that yes, yes, more of a confluence of the two.

139
00:08:37,520 --> 00:08:41,080
Speaker 2: Absolutely, and whether you know, we would be blind or

140
00:08:41,120 --> 00:08:44,120
Speaker 2: we would be intentionally blind if we didn't mention it.

141
00:08:44,559 --> 00:08:48,920
Speaker 2: And that obviously will hopefully have not only a better

142
00:08:49,720 --> 00:08:54,200
Speaker 2: deductible situation for Harry, but it might mean more jobs

143
00:08:54,800 --> 00:08:58,600
Speaker 2: in this state or that state for auto workers. Harry,

144
00:08:58,640 --> 00:09:03,679
Speaker 2: great question, really great question. I'm surprised and delighted that

145
00:09:03,840 --> 00:09:07,120
Speaker 2: you can get the deduction along with your standard deduction.

146
00:09:07,280 --> 00:09:08,640
Speaker 2: That's that's excellent.

147
00:09:08,800 --> 00:09:12,360
Speaker 4: Thank you so much, Thank you, Thank you for those answers.

148
00:09:12,800 --> 00:09:16,560
Speaker 2: Thank Mike well I, thank you for the questions you could,

149
00:09:16,600 --> 00:09:19,080
Speaker 2: Thank Mark for the answers. All I'm doing is just

150
00:09:19,280 --> 00:09:22,480
Speaker 2: running the phones right now, Okay, Thanks Harry, talk to you.

151
00:09:22,440 --> 00:09:24,560
Speaker 6: Soon, Thank you, bye bye, good now.

152
00:09:24,600 --> 00:09:27,000
Speaker 2: Well, taking a quick break here at nightside. We do

153
00:09:27,080 --> 00:09:28,600
Speaker 2: have a couple of lines open. If you want to

154
00:09:28,600 --> 00:09:30,560
Speaker 2: try to get in six one, seven, two, five, four

155
00:09:30,640 --> 00:09:33,199
Speaker 2: ten thirty six one seven, nine, three, one ten thirty.

156
00:09:33,480 --> 00:09:35,240
Speaker 2: People will always say I tried to get in, the

157
00:09:35,320 --> 00:09:37,320
Speaker 2: lines were busy. Now I got both those lines open

158
00:09:37,400 --> 00:09:38,959
Speaker 2: right now. We had a little problem with some of

159
00:09:39,000 --> 00:09:41,760
Speaker 2: the lines last night, but they are up and working,

160
00:09:41,960 --> 00:09:46,840
Speaker 2: and you have at your fingertips your telephone, and therefore

161
00:09:46,920 --> 00:09:52,560
Speaker 2: you have, in effect, at your option a CPA who

162
00:09:52,720 --> 00:09:55,480
Speaker 2: is just us a wonderful job of explaining what's going on.

163
00:09:56,200 --> 00:10:00,040
Speaker 2: And I am always impressed by how much he he

164
00:10:00,200 --> 00:10:03,440
Speaker 2: knows about this. But he's been doing it for a

165
00:10:03,480 --> 00:10:06,600
Speaker 2: long time, so uh, I guess after a while you're

166
00:10:06,640 --> 00:10:08,440
Speaker 2: gonna get good at it. And he's the best as

167
00:10:08,480 --> 00:10:12,160
Speaker 2: far as I'm concerned. Mark Missilbeck Hey is a CPA.

168
00:10:12,320 --> 00:10:17,520
Speaker 2: He's with a company called Cherry Beckert Advisory LLC. Uh

169
00:10:17,960 --> 00:10:20,720
Speaker 2: your position, you're the director there at this point, if

170
00:10:20,800 --> 00:10:22,040
Speaker 2: I recall correct Mark.

171
00:10:23,040 --> 00:10:24,560
Speaker 3: That's the title they gave me.

172
00:10:24,679 --> 00:10:28,680
Speaker 2: Yes, well, I know that it's the titles can be good.

173
00:10:29,280 --> 00:10:32,600
Speaker 2: Particularly We'll be back with Mark missilbeck. He's also kind

174
00:10:32,600 --> 00:10:35,600
Speaker 2: of shy. I think I think I embarrass him sometimes

175
00:10:35,760 --> 00:10:38,120
Speaker 2: we'll be back on Nightside right after a couple of

176
00:10:38,200 --> 00:10:38,920
Speaker 2: quick messages.

177
00:10:39,920 --> 00:10:44,600
Speaker 1: It's night Side with Boston's News Radio.

178
00:10:45,920 --> 00:10:50,320
Speaker 2: We're talking with CPA Mark missileback. Mark is providing you

179
00:10:50,440 --> 00:10:52,760
Speaker 2: with a lot of information if you want to call

180
00:10:52,840 --> 00:10:55,880
Speaker 2: six one seven two four ten thirty six one seven

181
00:10:57,559 --> 00:11:03,200
Speaker 2: with Cherry Beckert Advisory LLC. He's been doing this for

182
00:11:03,240 --> 00:11:04,920
Speaker 2: a while. He's been doing it for a while for

183
00:11:05,040 --> 00:11:07,200
Speaker 2: us for over ten years. I'm going to go back

184
00:11:07,200 --> 00:11:08,640
Speaker 2: and check, but I think it's going to be probably

185
00:11:08,679 --> 00:11:12,560
Speaker 2: find out as twelve or thirteen years. Very generous with

186
00:11:12,600 --> 00:11:14,440
Speaker 2: his time, particularly on a Friday night. Let me go

187
00:11:14,440 --> 00:11:17,920
Speaker 2: to Ian in Cohasset. Ian, welcome you are next time

188
00:11:18,000 --> 00:11:20,360
Speaker 2: night Side with Mark Misselbeck go right head in.

189
00:11:20,960 --> 00:11:25,520
Speaker 7: Thank you. We have an electric home and in twenty

190
00:11:25,640 --> 00:11:32,720
Speaker 7: twenty four we had the circuit breaker system replaced. Is

191
00:11:32,760 --> 00:11:36,440
Speaker 7: that deductible? It was quite a large amount. That's why

192
00:11:36,440 --> 00:11:37,479
Speaker 7: I'm asking.

193
00:11:38,679 --> 00:11:43,960
Speaker 3: There are breaks for energy efficient elements that you put

194
00:11:44,000 --> 00:11:53,559
Speaker 3: into your home windows, water heaters, geothermal or heat pumps, insulation,

195
00:11:54,360 --> 00:11:59,200
Speaker 3: but not just for circuit breakers. I'm afraid you should

196
00:11:59,320 --> 00:12:02,280
Speaker 3: track that though, and you can get it back tax

197
00:12:02,360 --> 00:12:03,679
Speaker 3: free when you sell your home.

198
00:12:04,040 --> 00:12:05,160
Speaker 8: As part of the cost.

199
00:12:05,000 --> 00:12:05,440
Speaker 9: To the home.

200
00:12:05,720 --> 00:12:11,840
Speaker 7: Oh I see, okay, Now what is the Uh, the

201
00:12:11,960 --> 00:12:15,640
Speaker 7: social security has been taxed and this year will it

202
00:12:15,679 --> 00:12:19,679
Speaker 7: be taxed on a different rate or is it not

203
00:12:19,760 --> 00:12:21,040
Speaker 7: going to be tested at all?

204
00:12:22,600 --> 00:12:26,600
Speaker 3: Social Security remains taxable. The tax rate will depend upon

205
00:12:26,720 --> 00:12:29,959
Speaker 3: what other income you have in addition to the social

206
00:12:29,960 --> 00:12:33,160
Speaker 3: security and how much of the social security becomes taxable

207
00:12:33,520 --> 00:12:36,320
Speaker 3: under the rules in effect for the calculation of the

208
00:12:36,360 --> 00:12:37,960
Speaker 3: amount to be included in an income.

209
00:12:38,640 --> 00:12:40,800
Speaker 2: All right, thank you very much, So hold on in

210
00:12:41,080 --> 00:12:46,000
Speaker 2: just I got two questions about your questions. So what

211
00:12:46,240 --> 00:12:53,040
Speaker 2: Mark is suggesting about you said you you added something

212
00:12:53,120 --> 00:12:56,760
Speaker 2: on your electronic circuit breakers? Is what you what you do?

213
00:12:57,040 --> 00:13:00,319
Speaker 7: Replace the old one and replace the old of them

214
00:13:00,360 --> 00:13:03,400
Speaker 7: with a new one, okay, rewire the.

215
00:13:03,320 --> 00:13:06,880
Speaker 2: House, rewire the house. Okay. So so that can be

216
00:13:07,040 --> 00:13:12,400
Speaker 2: used as a capital improvement which can increase the basis

217
00:13:12,440 --> 00:13:14,840
Speaker 2: of your house when and if you decide to sell it.

218
00:13:14,880 --> 00:13:17,040
Speaker 2: Is what Mark is saying. I believe correct Mark, if

219
00:13:17,080 --> 00:13:22,640
Speaker 2: I if I'm redick correctly, okay, okay, and uh. In

220
00:13:22,720 --> 00:13:25,960
Speaker 2: terms of the social Security, it's Mark broke it down

221
00:13:26,080 --> 00:13:31,079
Speaker 2: last hour. It's pretty complicated. When the president talks about it.

222
00:13:31,200 --> 00:13:32,680
Speaker 2: And again I'm not going to put Mark in the

223
00:13:32,720 --> 00:13:35,679
Speaker 2: middle of any of any politics here. When the president

224
00:13:35,679 --> 00:13:38,280
Speaker 2: talks about he talks about how that, you know, people

225
00:13:38,360 --> 00:13:43,480
Speaker 2: the Social security people don't have to pay Social Security taxes. Well, yeah,

226
00:13:44,000 --> 00:13:49,640
Speaker 2: a portion of your Social Security Depending upon what your

227
00:13:49,679 --> 00:13:53,960
Speaker 2: overall income is, you can you can end up paying

228
00:13:54,080 --> 00:13:57,280
Speaker 2: your federal taxes on soci Security in total if your

229
00:13:57,280 --> 00:14:01,319
Speaker 2: income is high enough. Just give us a rough idea,

230
00:14:01,520 --> 00:14:05,560
Speaker 2: if you will, of where you are you married and

231
00:14:05,640 --> 00:14:07,760
Speaker 2: do you you and your husband file jointly?

232
00:14:09,040 --> 00:14:10,840
Speaker 7: No, I'm I'm I'm a widow.

233
00:14:11,240 --> 00:14:15,000
Speaker 2: Okay, all right, So you're single. How much is your

234
00:14:15,760 --> 00:14:19,560
Speaker 2: You might I assume have some other revenue streams, you know,

235
00:14:19,640 --> 00:14:23,520
Speaker 2: bank accounts or bank interest in things like that. Overall,

236
00:14:23,560 --> 00:14:24,000
Speaker 2: what do you.

237
00:14:23,960 --> 00:14:29,120
Speaker 7: Think You're oh, around seventy five Okay.

238
00:14:28,880 --> 00:14:31,320
Speaker 2: Mark, you want to play with that number a little bit.

239
00:14:31,360 --> 00:14:34,680
Speaker 2: I know that, just to give her almost a more

240
00:14:34,720 --> 00:14:40,000
Speaker 2: precise example. You know, twenty five thousand dollars is the basis,

241
00:14:40,040 --> 00:14:43,360
Speaker 2: but then you have to calculate what your other.

242
00:14:43,560 --> 00:14:47,080
Speaker 3: Quick, quick quick question. Does the seventy five thousand year

243
00:14:47,160 --> 00:14:49,600
Speaker 3: quoting include the Social Security benefits?

244
00:14:50,280 --> 00:14:50,520
Speaker 7: Yes?

245
00:14:51,160 --> 00:14:54,000
Speaker 3: Okay, all right, So if you back out of the

246
00:14:54,040 --> 00:14:57,880
Speaker 3: social Security benefits and then take eighty five percent of

247
00:14:57,920 --> 00:15:01,440
Speaker 3: that number and add it back in. That's probably what

248
00:15:01,480 --> 00:15:02,840
Speaker 3: your taxical amount will be.

249
00:15:04,120 --> 00:15:07,680
Speaker 7: Oh so that's the same as the last two, isn't it.

250
00:15:07,760 --> 00:15:11,760
Speaker 3: Yes, there was a proposal to do something with exemption

251
00:15:11,840 --> 00:15:15,800
Speaker 3: to social security. It did not survive in the final bill.

252
00:15:16,560 --> 00:15:21,120
Speaker 2: So you're making too much money above and beyond. If

253
00:15:21,160 --> 00:15:24,080
Speaker 2: I'm hearing you correctly, Mark, Anne is making too much

254
00:15:24,120 --> 00:15:29,240
Speaker 2: money above and beyond her social security to avoid taxation

255
00:15:29,360 --> 00:15:30,720
Speaker 2: on her sobal security.

256
00:15:31,840 --> 00:15:36,800
Speaker 3: Yeah, she's definitely not going to avoid taxation entirely.

257
00:15:37,520 --> 00:15:38,440
Speaker 8: And my.

258
00:15:40,240 --> 00:15:43,200
Speaker 3: Smell a meter is telling me that it's not fifty

259
00:15:43,200 --> 00:15:47,080
Speaker 3: percent exclusion, a s eighty five percent exclusion. I believe, however,

260
00:15:47,320 --> 00:15:51,280
Speaker 3: that there is an additional deduction available to seniors over

261
00:15:51,320 --> 00:15:54,560
Speaker 3: and above the standard deductions.

262
00:15:56,720 --> 00:16:01,200
Speaker 2: So that's a six thousand dollars additional deduction. But again,

263
00:16:01,440 --> 00:16:04,480
Speaker 2: when you said the eighty five percent, is that the

264
00:16:04,560 --> 00:16:07,760
Speaker 2: eighty five percent of the other income social security?

265
00:16:07,880 --> 00:16:09,920
Speaker 3: No, let's say eighty five percent of the Social Security

266
00:16:09,960 --> 00:16:13,440
Speaker 3: benefit is added to the other stream of income that

267
00:16:13,520 --> 00:16:16,480
Speaker 3: she has. Just okay, so really taxable?

268
00:16:16,640 --> 00:16:20,160
Speaker 2: Okay, So the fifty would be taxable, and then the

269
00:16:21,000 --> 00:16:24,560
Speaker 2: eighty five percent of the of the social security she's

270
00:16:24,680 --> 00:16:28,160
Speaker 2: estimating it about twenty five thousand. That's going to be

271
00:16:28,200 --> 00:16:28,880
Speaker 2: about the Yes, so.

272
00:16:29,120 --> 00:16:31,280
Speaker 3: She gets to exclude fifteen percent of the twenty five

273
00:16:31,320 --> 00:16:33,920
Speaker 3: thousand or just shy a four thousand.

274
00:16:34,520 --> 00:16:36,600
Speaker 2: Ok And what about that six thousand? Is that a

275
00:16:36,640 --> 00:16:39,840
Speaker 2: standalone exemption, the senior exemption of six thousand.

276
00:16:40,160 --> 00:16:42,640
Speaker 3: That would be on top of the standard deduction, which

277
00:16:42,960 --> 00:16:45,640
Speaker 3: for a single person I think is around twenty three

278
00:16:45,680 --> 00:16:49,080
Speaker 3: twenty four thousand. It's inflation adjusted, and I don't track

279
00:16:49,120 --> 00:16:50,520
Speaker 3: the numbers yere to here anymore.

280
00:16:50,640 --> 00:16:53,400
Speaker 2: All right, So the bottom line is do you do

281
00:16:53,480 --> 00:16:55,760
Speaker 2: your own taxes? And and do you take your time?

282
00:16:56,040 --> 00:16:56,840
Speaker 7: Someone do them?

283
00:16:57,080 --> 00:17:00,520
Speaker 2: Okay, well you're very you now are up to speed.

284
00:17:00,960 --> 00:17:04,119
Speaker 2: And so whether that person is a professional tax preparer

285
00:17:04,640 --> 00:17:06,960
Speaker 2: or you know, or a family friend or a relative,

286
00:17:07,800 --> 00:17:10,680
Speaker 2: make sure that that you remember what Marcus told you tonight,

287
00:17:10,760 --> 00:17:12,359
Speaker 2: so you maximize your deductions.

288
00:17:12,400 --> 00:17:15,760
Speaker 7: Okay, all right, thank you. One other thing about the

289
00:17:16,560 --> 00:17:20,480
Speaker 7: deduction on property taxes. Did you say that that is

290
00:17:20,560 --> 00:17:22,840
Speaker 7: up to fourteen thousand forty.

291
00:17:22,600 --> 00:17:24,640
Speaker 2: We're forty forty thousand.

292
00:17:24,440 --> 00:17:29,840
Speaker 3: Forty thousand, Yes, if you have forty thousand of property taxes,

293
00:17:29,880 --> 00:17:35,199
Speaker 3: income taxes, automobile taxes, so what you can deduct up

294
00:17:35,200 --> 00:17:39,199
Speaker 3: to forty thousand. But if you don't have enough of

295
00:17:39,240 --> 00:17:43,400
Speaker 3: that to breach or exceed the standard deduction, you're better

296
00:17:43,440 --> 00:17:45,000
Speaker 3: off just taking the standard deduction.

297
00:17:45,600 --> 00:17:48,320
Speaker 7: Well I do, I don't know because.

298
00:17:48,040 --> 00:17:50,680
Speaker 2: I so, Well, how much do you pay in property

299
00:17:50,720 --> 00:17:52,920
Speaker 2: taxes living in cohacent I'll bet you pay.

300
00:17:54,200 --> 00:17:58,800
Speaker 7: It's about thirteen thousand, thirteen thousand to fourteen thousand.

301
00:17:59,240 --> 00:18:01,639
Speaker 2: Okay, Well again, and this is a question of just

302
00:18:01,720 --> 00:18:04,000
Speaker 2: adding on. You're well under the.

303
00:18:03,960 --> 00:18:06,960
Speaker 3: Mass if the standard. If the standard deduction is twenty

304
00:18:07,000 --> 00:18:11,920
Speaker 3: four thousand, you need charitable donations or state income taxes

305
00:18:12,119 --> 00:18:16,359
Speaker 3: or mortgage interest, that adds another ten thousand or so

306
00:18:16,960 --> 00:18:20,320
Speaker 3: onto the fourteen thousand of property taxes before it's worth

307
00:18:20,320 --> 00:18:22,119
Speaker 3: your while to itemize.

308
00:18:22,760 --> 00:18:26,000
Speaker 2: Well, do you pay state tax? Do you pay Massachusetts

309
00:18:26,000 --> 00:18:30,240
Speaker 2: state income taxes? Okay, so there's a you know, this

310
00:18:30,280 --> 00:18:31,959
Speaker 2: is where you've got to sit down with paper and

311
00:18:32,000 --> 00:18:35,919
Speaker 2: pen with your tax prepare. But yeah, it used to

312
00:18:35,920 --> 00:18:40,760
Speaker 2: be capped at ten thousand, so now it's up to

313
00:18:40,840 --> 00:18:43,920
Speaker 2: forty thousand. So if it works for you, you could

314
00:18:43,920 --> 00:18:47,359
Speaker 2: take upwards of whatever your payment is thirteen or fourteen

315
00:18:47,400 --> 00:18:50,879
Speaker 2: thousand dollars add in your whatever you might pay in

316
00:18:50,920 --> 00:18:51,640
Speaker 2: state taxes.

317
00:18:51,680 --> 00:18:55,359
Speaker 3: So yeah, it's an alternative. You either itemize or you

318
00:18:55,400 --> 00:19:00,880
Speaker 3: take the standard, and the effort to exceed to itemize

319
00:19:01,320 --> 00:19:04,040
Speaker 3: means that you have to exceed the standard before there's

320
00:19:04,080 --> 00:19:06,959
Speaker 3: any benefit to be received from itemizing.

321
00:19:08,320 --> 00:19:10,320
Speaker 7: Okay, all right, thank you very much.

322
00:19:10,440 --> 00:19:12,640
Speaker 2: All right, thanks Ann, appreciate it. Have a great night,

323
00:19:12,800 --> 00:19:15,920
Speaker 2: good night, Thank you, have a good Uh. Mark, you

324
00:19:16,000 --> 00:19:18,400
Speaker 2: the best. You're the best at explaining it, so even

325
00:19:18,440 --> 00:19:21,080
Speaker 2: I understand it. Six one seven, two two, five, four

326
00:19:21,240 --> 00:19:23,920
Speaker 2: ten thirty six one seven nine three one ten thirty.

327
00:19:23,960 --> 00:19:28,760
Speaker 2: My guest is Mark Missilbeck, an extraordinary CPA. Just the

328
00:19:28,840 --> 00:19:33,360
Speaker 2: amount of information that he's able to hold within his

329
00:19:33,359 --> 00:19:36,119
Speaker 2: his head just astonishes me every time I've had him on.

330
00:19:36,200 --> 00:19:39,440
Speaker 2: He's been a guest here probably for twelve or thirteen years. Uh,

331
00:19:39,480 --> 00:19:41,920
Speaker 2: God knows how many phone calls he's handled over the years,

332
00:19:41,960 --> 00:19:45,040
Speaker 2: and not that anyone would want to try to stop him.

333
00:19:45,280 --> 00:19:49,280
Speaker 2: He's he He always is able to get the questions

334
00:19:49,680 --> 00:19:52,640
Speaker 2: your question answered now. The only line that is available

335
00:19:52,720 --> 00:19:54,240
Speaker 2: right now if you want to get in is six

336
00:19:54,280 --> 00:19:57,399
Speaker 2: one seven, two, five, four ten thirty. That's the only

337
00:19:57,440 --> 00:19:59,199
Speaker 2: line you want to dial right now. The others are

338
00:19:59,240 --> 00:20:02,719
Speaker 2: full six seven, two, five, four, ten thirty. Dial quickly

339
00:20:02,840 --> 00:20:04,760
Speaker 2: back right after this news break at the bottom of

340
00:20:04,760 --> 00:20:05,040
Speaker 2: the hour.

341
00:20:06,520 --> 00:20:11,480
Speaker 1: You're on Night Side with Dan Ray on Boston's news radio.

342
00:20:12,359 --> 00:20:14,880
Speaker 2: Back to the phones we go. We have full lines,

343
00:20:14,880 --> 00:20:16,800
Speaker 2: so I'm going to move everybody just a little bit

344
00:20:16,880 --> 00:20:20,440
Speaker 2: more quickly. But David Malden, Dave, you called back. Welcome back.

345
00:20:20,440 --> 00:20:22,040
Speaker 2: You're with Mark Missabek. Go ahead, Dave.

346
00:20:23,040 --> 00:20:25,000
Speaker 6: Thanks, first of all, thank you much for a very

347
00:20:25,040 --> 00:20:26,600
Speaker 6: informative program.

348
00:20:26,640 --> 00:20:30,000
Speaker 2: Mark their go ahead.

349
00:20:30,000 --> 00:20:34,439
Speaker 6: You sad rmds from my retirement funds if I wanted

350
00:20:34,440 --> 00:20:37,960
Speaker 6: to take the hit and pay extra taxes, is it

351
00:20:38,080 --> 00:20:41,359
Speaker 6: possible to take some money out of the retirement funds

352
00:20:41,359 --> 00:20:42,160
Speaker 6: and convert it.

353
00:20:42,040 --> 00:20:49,760
Speaker 3: To a rough Absolutely, rm ds are the minimum required amounts.

354
00:20:50,400 --> 00:20:53,879
Speaker 3: You can always take more and the government is happy

355
00:20:53,920 --> 00:20:57,840
Speaker 3: to collect the taxes, and.

356
00:20:58,040 --> 00:21:01,560
Speaker 6: There's no limit to what you can convert to a

357
00:21:01,680 --> 00:21:02,800
Speaker 6: rocks if you wanted to do that.

358
00:21:04,400 --> 00:21:07,399
Speaker 3: Nope. Whatever you're willing to pay the freight on and

359
00:21:07,520 --> 00:21:09,560
Speaker 3: doing the conversion, you can do.

360
00:21:11,000 --> 00:21:11,400
Speaker 6: Terrific.

361
00:21:11,720 --> 00:21:14,000
Speaker 3: Thank you very much for you tend to look at

362
00:21:14,000 --> 00:21:17,159
Speaker 3: their brackets and try to manage the conversions so they

363
00:21:17,160 --> 00:21:20,800
Speaker 3: don't move into the next higher bracket. Okay, that's be

364
00:21:20,960 --> 00:21:22,000
Speaker 3: careful planning, though.

365
00:21:22,320 --> 00:21:25,400
Speaker 2: Is this a four oh one k that you're converting, Dave.

366
00:21:26,200 --> 00:21:30,359
Speaker 6: No, you know it's a regular form of a KO

367
00:21:30,480 --> 00:21:34,480
Speaker 6: and a regular retirement account.

368
00:21:35,720 --> 00:21:38,199
Speaker 2: Okay, so is it again? Mark helped me out here?

369
00:21:38,320 --> 00:21:40,160
Speaker 2: Would that be a pension account?

370
00:21:41,560 --> 00:21:44,119
Speaker 3: The KIO is a pension account? The other when he

371
00:21:44,160 --> 00:21:46,040
Speaker 3: says regular, I don't know if he means a traditional

372
00:21:46,080 --> 00:21:49,720
Speaker 3: IRA that was deductible going in and built up tax

373
00:21:49,760 --> 00:21:53,960
Speaker 3: free or tax deferred until he started drawing. The only

374
00:21:54,720 --> 00:21:58,600
Speaker 3: here is for Massachusetts, you don't get a deduction for

375
00:21:58,760 --> 00:22:03,040
Speaker 3: either of those contract Usians, and Mass will not tax

376
00:22:03,080 --> 00:22:08,680
Speaker 3: your withdrawals until you've recouped everything that you originally contributed

377
00:22:08,760 --> 00:22:11,520
Speaker 3: that you deducted for federal purposes but got no benefit

378
00:22:11,560 --> 00:22:16,520
Speaker 3: from Mass provided you can satisfy them that that is

379
00:22:16,560 --> 00:22:19,639
Speaker 3: the amount that you actually contributed across the years. So

380
00:22:19,760 --> 00:22:23,439
Speaker 3: every dollar that comes out tax free for Mass until

381
00:22:23,440 --> 00:22:25,679
Speaker 3: you get back everything you put in. Then it's one

382
00:22:25,760 --> 00:22:27,480
Speaker 3: hundred percent taxable for Mass.

383
00:22:27,760 --> 00:22:30,959
Speaker 2: All right, Okay, hope that clarifies.

384
00:22:30,440 --> 00:22:32,560
Speaker 6: For you, David, It does, thank you.

385
00:22:32,600 --> 00:22:32,960
Speaker 3: So much.

386
00:22:32,960 --> 00:22:33,639
Speaker 6: I appreciate you.

387
00:22:33,760 --> 00:22:36,240
Speaker 2: Very well appreciated. Thanks for calling. I'm going to go

388
00:22:36,359 --> 00:22:40,040
Speaker 2: next to Catherine back down on the south shore. Catherine

389
00:22:40,080 --> 00:22:43,040
Speaker 2: is in Marshfield. You're with Mark Misselbeck Caafin. Go right ahead.

390
00:22:43,680 --> 00:22:47,480
Speaker 9: Thank you Dan and Mark. And this question is going

391
00:22:47,520 --> 00:22:52,960
Speaker 9: to regard college tuition. In nineteen ninety seven, I purchased

392
00:22:53,160 --> 00:22:58,400
Speaker 9: an equity for the purpose of my grandchildren's college education.

393
00:22:59,160 --> 00:23:03,760
Speaker 9: I cashed one of the equities and sent it directly

394
00:23:03,800 --> 00:23:09,480
Speaker 9: to my granddaughter's university to put her tuition. Is any

395
00:23:09,680 --> 00:23:11,640
Speaker 9: of that deductible?

396
00:23:14,320 --> 00:23:17,760
Speaker 3: Likely not unless you did it in a five to

397
00:23:17,840 --> 00:23:18,760
Speaker 3: twenty nine plan.

398
00:23:19,400 --> 00:23:20,800
Speaker 9: No, I didn't.

399
00:23:21,880 --> 00:23:24,080
Speaker 3: Yeah, and she would normally have to be. I believe

400
00:23:24,119 --> 00:23:27,480
Speaker 3: you're dependent, as I recall, in order to get either

401
00:23:27,680 --> 00:23:31,160
Speaker 3: a choice of a deduction or a credit. Depending upon

402
00:23:31,200 --> 00:23:35,200
Speaker 3: your income level, you may not get either because, as

403
00:23:35,200 --> 00:23:38,560
Speaker 3: with these benefits, the Congress said, for the higher income people,

404
00:23:39,400 --> 00:23:42,160
Speaker 3: they can afford to do it on their own. They

405
00:23:42,160 --> 00:23:46,320
Speaker 3: don't need our assistance from the federal government, and the

406
00:23:46,359 --> 00:23:50,800
Speaker 3: deduction or credit is gone. The income that is generated

407
00:23:50,960 --> 00:23:53,879
Speaker 3: was generated from the investment or from cashing out. The

408
00:23:53,920 --> 00:23:57,280
Speaker 3: investment will be reportable, depending upon if it was an

409
00:23:57,280 --> 00:24:00,920
Speaker 3: interest bearing accumulation, or it's a capital gain.

410
00:24:02,040 --> 00:24:05,080
Speaker 9: It was a capital gains amount, but no, it was

411
00:24:05,160 --> 00:24:09,120
Speaker 9: not qualified money in the sense of being in a plan.

412
00:24:09,600 --> 00:24:11,880
Speaker 9: I was just I was told at one point if

413
00:24:11,920 --> 00:24:15,439
Speaker 9: I sent it directly to the university it would be

414
00:24:16,320 --> 00:24:19,440
Speaker 9: some of it would be deductible, but I understand that's

415
00:24:19,480 --> 00:24:20,119
Speaker 9: not the case.

416
00:24:21,400 --> 00:24:21,640
Speaker 3: Yeah.

417
00:24:21,720 --> 00:24:21,800
Speaker 8: No.

418
00:24:21,920 --> 00:24:29,840
Speaker 3: The error in the communication is that if you pay tuition,

419
00:24:30,520 --> 00:24:35,600
Speaker 3: medical educational expenses directly to the institution providing the services,

420
00:24:36,160 --> 00:24:39,240
Speaker 3: or if you pay medical expenses directly to the service

421
00:24:39,280 --> 00:24:43,760
Speaker 3: provider rendering medical services, it is not counted as a

422
00:24:43,800 --> 00:24:47,600
Speaker 3: taxable gift. You are allowed to make a gift to

423
00:24:47,640 --> 00:24:52,520
Speaker 3: any person that you choose eighteen nineteen thousand a year

424
00:24:52,680 --> 00:24:57,879
Speaker 3: without incurring a tax on the transfer, but this is

425
00:24:58,000 --> 00:25:02,200
Speaker 3: totally outside of that. Pay it directly to the educational institution.

426
00:25:02,320 --> 00:25:06,840
Speaker 3: I think that's where the intent to communicate to you

427
00:25:06,960 --> 00:25:10,679
Speaker 3: broke down, that it was not an income tax element,

428
00:25:10,720 --> 00:25:15,280
Speaker 3: but a gift tax or estate tax that they were

429
00:25:15,280 --> 00:25:16,280
Speaker 3: dodging the tax on.

430
00:25:18,000 --> 00:25:22,600
Speaker 9: Thank you very much. I appreciate your information on this, Catherine.

431
00:25:22,720 --> 00:25:23,280
Speaker 3: You're welcome.

432
00:25:24,200 --> 00:25:26,600
Speaker 2: Wish it was more beneficial to you, but at least

433
00:25:26,600 --> 00:25:28,639
Speaker 2: you have an answer, okay, thank you exact.

434
00:25:28,760 --> 00:25:31,280
Speaker 9: It was beneficial to her and that's her count.

435
00:25:31,520 --> 00:25:37,040
Speaker 2: Absolutely absolutely good Grandma, thank you, thank you very much.

436
00:25:37,200 --> 00:25:40,760
Speaker 2: I appreciate it. Let's keep rolling here. Next up is

437
00:25:40,800 --> 00:25:43,400
Speaker 2: Fred in New Hampshire. Hey, Fred, you're next one. Nice

438
00:25:43,440 --> 00:25:44,920
Speaker 2: ide with Mark Misselbecker right.

439
00:25:44,800 --> 00:25:48,399
Speaker 8: Ahead, Fred, Yes, good evening. A quick question. I filed

440
00:25:48,480 --> 00:25:51,480
Speaker 8: my taxes, like on the first of Sebruary, thought I

441
00:25:51,560 --> 00:25:55,280
Speaker 8: had all my ten ninety nine's in. Discovered that I

442
00:25:55,320 --> 00:26:00,119
Speaker 8: had a lottery wind of a thousand dollars and it

443
00:26:00,240 --> 00:26:04,200
Speaker 8: received that ten ninety nine the day after I file

444
00:26:04,280 --> 00:26:07,520
Speaker 8: my taxes, I'm morning. If I have to, if I

445
00:26:07,600 --> 00:26:13,280
Speaker 8: have to do something, it wouldn't affect my tax situation

446
00:26:13,400 --> 00:26:15,760
Speaker 8: at all. It wouldn't allow me to have any more.

447
00:26:16,440 --> 00:26:18,639
Speaker 8: I get all my tax reef on the back. I'm retired,

448
00:26:19,240 --> 00:26:22,679
Speaker 8: and the only thing in the only payments I make

449
00:26:23,200 --> 00:26:26,800
Speaker 8: run my ten ninety nine I'm getting them all back.

450
00:26:27,520 --> 00:26:30,560
Speaker 8: My total income was like thirty five thousands for the year,

451
00:26:30,960 --> 00:26:33,240
Speaker 8: So if I would have you know, if I would

452
00:26:33,240 --> 00:26:36,280
Speaker 8: have included that thousand dollars, it wouldn't affected my chich

453
00:26:36,280 --> 00:26:39,359
Speaker 8: I would have got that back. Also, there was no tax,

454
00:26:39,760 --> 00:26:42,520
Speaker 8: so I do I have to, you know, do a

455
00:26:43,560 --> 00:26:46,480
Speaker 8: what do you call it a return?

456
00:26:46,720 --> 00:26:48,200
Speaker 2: Return? Yeah?

457
00:26:48,200 --> 00:26:48,359
Speaker 3: I do.

458
00:26:48,440 --> 00:26:50,879
Speaker 8: I have to do a return another? Yeah? Do I

459
00:26:51,040 --> 00:26:51,600
Speaker 8: have to do that?

460
00:26:53,920 --> 00:26:57,600
Speaker 3: It's advisable unless you don't care if you get IRS

461
00:26:57,640 --> 00:27:05,400
Speaker 3: notices about having omitted the reported income from your return. Okay.

462
00:27:05,440 --> 00:27:07,720
Speaker 8: I'm just wonder if in.

463
00:27:07,640 --> 00:27:09,920
Speaker 3: The future you were a bigger winner in the lottery

464
00:27:10,160 --> 00:27:12,719
Speaker 3: so that you actually had a tax to pay and

465
00:27:12,760 --> 00:27:15,480
Speaker 3: incurred a penalty for not paying that tax in a

466
00:27:15,560 --> 00:27:19,399
Speaker 3: timely fashion, you might be barred from consideration of a

467
00:27:19,440 --> 00:27:24,960
Speaker 3: waiver of that penalty by not reporting this. Now, I see.

468
00:27:25,040 --> 00:27:27,560
Speaker 2: Who prepared you? Who prepared your taxes for your friend?

469
00:27:28,000 --> 00:27:28,280
Speaker 10: I did?

470
00:27:28,359 --> 00:27:29,760
Speaker 8: I did it online myself.

471
00:27:29,960 --> 00:27:34,200
Speaker 2: Okay, so you get if you said you're retired, you know,

472
00:27:34,400 --> 00:27:37,719
Speaker 2: exercise and abundance of caution and submitted a mended return

473
00:27:37,760 --> 00:27:39,280
Speaker 2: on it. I don't think it's going to kick it.

474
00:27:39,400 --> 00:27:43,800
Speaker 8: Well, you know, you know, I did send an email

475
00:27:43,880 --> 00:27:46,120
Speaker 8: to the company, but I have not heard back from them.

476
00:27:46,240 --> 00:27:47,960
Speaker 8: Kind of waiting to hear back from them. I thought

477
00:27:47,960 --> 00:27:51,479
Speaker 8: if I didn't hear back from them, I'm not sure

478
00:27:51,520 --> 00:27:54,000
Speaker 8: how I would do an amended return online. I've never done

479
00:27:54,000 --> 00:27:55,760
Speaker 8: that before. I do my taxes on.

480
00:27:58,520 --> 00:28:00,480
Speaker 3: You would fill out a form ten for x.

481
00:28:02,119 --> 00:28:02,159
Speaker 8: X.

482
00:28:02,280 --> 00:28:06,560
Speaker 3: Okay, you used to report a change.

483
00:28:06,760 --> 00:28:10,400
Speaker 2: And is that of Mark? Is that form available easily

484
00:28:10,480 --> 00:28:11,960
Speaker 2: online for Fred to find?

485
00:28:13,600 --> 00:28:18,159
Speaker 3: Yeah, I don't know what whether or not it's in

486
00:28:18,160 --> 00:28:21,119
Speaker 3: the particular tax package he used to prepare his return

487
00:28:21,320 --> 00:28:26,080
Speaker 3: the software. Likely it is, but I can't say with certainty.

488
00:28:26,720 --> 00:28:29,680
Speaker 8: Yeah. The other option that you have a company called

489
00:28:29,680 --> 00:28:34,120
Speaker 8: free Tax USA. Yeah, and what do you call it?

490
00:28:34,160 --> 00:28:34,440
Speaker 2: Is that?

491
00:28:34,440 --> 00:28:36,200
Speaker 8: Who I had to go out and buy or anything?

492
00:28:36,560 --> 00:28:37,960
Speaker 8: Just you do it for me online?

493
00:28:38,240 --> 00:28:42,600
Speaker 2: Is that? Is that the the the the tax provider

494
00:28:42,680 --> 00:28:45,360
Speaker 2: that you that you filed your return through.

495
00:28:46,400 --> 00:28:48,680
Speaker 8: Yeah, once you give.

496
00:28:48,560 --> 00:28:51,000
Speaker 2: Them a call Monday morning. The other option is I

497
00:28:51,000 --> 00:28:53,840
Speaker 2: don't know which congressional district you live up there? Uh,

498
00:28:54,160 --> 00:28:56,440
Speaker 2: this is a small amount of money in terms of

499
00:28:56,520 --> 00:28:58,800
Speaker 2: if it doesn't have an impact. Okay, you're just doing

500
00:28:58,840 --> 00:29:03,280
Speaker 2: some bookkeeping here, you're retired, make a call to I

501
00:29:03,280 --> 00:29:06,040
Speaker 2: don't know. You could you could call the governor's office

502
00:29:06,080 --> 00:29:08,360
Speaker 2: up there, Governor a Art maybe there's someone who could

503
00:29:08,360 --> 00:29:11,400
Speaker 2: help you out on that. Or you could also call

504
00:29:11,520 --> 00:29:14,640
Speaker 2: any any of the congressional offices. Put them to work

505
00:29:14,680 --> 00:29:16,560
Speaker 2: a little bit for you. That's what they get paid for.

506
00:29:17,400 --> 00:29:20,200
Speaker 3: Yeah, and also search online for whether or not there's

507
00:29:20,240 --> 00:29:23,720
Speaker 3: a v I T a VITA program at one of

508
00:29:23,760 --> 00:29:28,440
Speaker 3: the local colleges or universities or other senior centers that

509
00:29:28,640 --> 00:29:31,040
Speaker 3: could give you an assistance for doing the amended return.

510
00:29:31,360 --> 00:29:31,800
Speaker 2: You have a.

511
00:29:31,760 --> 00:29:38,400
Speaker 8: Copy of People Health, I could contact down.

512
00:29:38,240 --> 00:29:40,200
Speaker 2: Perfect and you and you do have a copy of

513
00:29:40,240 --> 00:29:42,200
Speaker 2: the I kept. I'm sure you kept a copy of

514
00:29:42,240 --> 00:29:46,320
Speaker 2: the return that you did file. You're in good shape.

515
00:29:46,440 --> 00:29:48,560
Speaker 2: Do a little bit of work on it, you'll be fine.

516
00:29:48,800 --> 00:29:50,600
Speaker 8: Thank you, Fred, Thank you very much.

517
00:29:50,800 --> 00:29:53,480
Speaker 2: I have a great night. Keep going. Okay, six, we've

518
00:29:53,480 --> 00:29:56,920
Speaker 2: got three. Everybody's going to get in c G. I'll

519
00:29:56,920 --> 00:30:00,320
Speaker 2: get you in Ian and Easton. Alex would get you

520
00:30:00,400 --> 00:30:02,680
Speaker 2: in six one se if and you want to try

521
00:30:03,200 --> 00:30:05,720
Speaker 2: six one, seven, two, five, four ten thirty or six

522
00:30:05,800 --> 00:30:08,560
Speaker 2: one seven, nine, three, one ten thirty. All of a sudden,

523
00:30:08,560 --> 00:30:11,200
Speaker 2: the phone line's got really hot here, Mark, So we're

524
00:30:11,240 --> 00:30:13,600
Speaker 2: moving quickly and we'll get them all in. Coming back

525
00:30:13,600 --> 00:30:17,960
Speaker 2: on night side with Mark Misselbeck CPA extraordinary as far

526
00:30:17,960 --> 00:30:22,080
Speaker 2: as I'm concerned. There's literally nothing that that he's not

527
00:30:22,280 --> 00:30:25,440
Speaker 2: familiar with, which is such and such a service to

528
00:30:25,480 --> 00:30:27,800
Speaker 2: my listeners. And to and to you folks who are

529
00:30:27,800 --> 00:30:31,440
Speaker 2: my listeners. Back on nightside after this, you're.

530
00:30:31,280 --> 00:30:35,960
Speaker 1: On night side with Dan Ray on wz Boston's news radio.

531
00:30:37,000 --> 00:30:39,320
Speaker 2: Back to the phones. We're going to get everybody in

532
00:30:39,360 --> 00:30:42,840
Speaker 2: here in in Easton in you were next on nightside.

533
00:30:42,880 --> 00:30:47,160
Speaker 4: Go right ahead, Uh prod using dead end.

534
00:30:47,680 --> 00:30:51,520
Speaker 5: I have I have a given a statement of information

535
00:30:51,640 --> 00:30:53,800
Speaker 5: and then you tell me whether it's right or wrong.

536
00:30:53,920 --> 00:30:54,560
Speaker 2: Well, I'm the guy.

537
00:30:54,640 --> 00:30:55,240
Speaker 4: I'm not the guy.

538
00:30:55,280 --> 00:30:58,520
Speaker 5: It's going to be Mark. Mark, you don't have to

539
00:30:58,520 --> 00:31:03,840
Speaker 5: declay like win under twelve hundred dollars for last year

540
00:31:04,240 --> 00:31:06,440
Speaker 5: and it has now gone up to two thousand.

541
00:31:08,000 --> 00:31:08,960
Speaker 2: Well, I'm not the person.

542
00:31:09,000 --> 00:31:09,960
Speaker 3: I missed the first part.

543
00:31:10,160 --> 00:31:12,920
Speaker 2: Yeah, go please repeat that in and if Mark is

544
00:31:12,960 --> 00:31:15,360
Speaker 2: going to give you the answer, go ahead in please repeat.

545
00:31:15,960 --> 00:31:20,720
Speaker 5: Okay. It's my understanding that if you won less than

546
00:31:20,760 --> 00:31:24,040
Speaker 5: twelve hundred dollars it did not have to be declared,

547
00:31:25,000 --> 00:31:28,800
Speaker 5: and if you had casino winnings over twelve hundred dollars

548
00:31:28,840 --> 00:31:33,400
Speaker 5: in one shot, that you did have to pay taxes

549
00:31:33,440 --> 00:31:33,760
Speaker 5: on it.

550
00:31:35,800 --> 00:31:39,320
Speaker 3: The threshold your citing is for the casino to report

551
00:31:39,360 --> 00:31:44,120
Speaker 3: it to the irs. You have to declare all income

552
00:31:44,720 --> 00:31:49,040
Speaker 3: from whatever source regardless of the level of income. So

553
00:31:49,080 --> 00:31:53,080
Speaker 3: your net winnings from a session at the casino should

554
00:31:53,120 --> 00:31:57,760
Speaker 3: be reported. Well, the casino will not be reporting it

555
00:31:57,760 --> 00:32:01,360
Speaker 3: to the IRS if it's under the love that IRS

556
00:32:01,440 --> 00:32:05,400
Speaker 3: is set for filing a report, which is.

557
00:32:05,520 --> 00:32:09,160
Speaker 5: My understanding, was twelve hundred dollars and in twenty five,

558
00:32:09,320 --> 00:32:11,920
Speaker 5: but in twenty six it's going to be two thousand.

559
00:32:13,280 --> 00:32:15,640
Speaker 3: It may be that that's the level at which.

560
00:32:15,560 --> 00:32:19,960
Speaker 5: How would be IRS ever know that you made a thousand?

561
00:32:22,640 --> 00:32:29,840
Speaker 3: They wouldn't necessarily, but if you are consistently gambling, they

562
00:32:29,880 --> 00:32:33,560
Speaker 3: may be. And if your income stream is such that

563
00:32:33,640 --> 00:32:38,040
Speaker 3: you start living beyond the level that is otherwise showing

564
00:32:38,040 --> 00:32:41,920
Speaker 3: on your return, then they're going to have their program

565
00:32:41,960 --> 00:32:48,719
Speaker 3: spit you out as at variance from the income that

566
00:32:48,800 --> 00:32:52,360
Speaker 3: you are saying you have versus the lifestyle you are living.

567
00:32:53,880 --> 00:32:55,960
Speaker 5: What are the place and you do get a win

568
00:32:56,120 --> 00:32:57,160
Speaker 5: loss statement at.

569
00:32:57,040 --> 00:32:57,800
Speaker 6: The end of the year.

570
00:32:59,160 --> 00:33:01,960
Speaker 2: Yeah, well that's exactly where I was going. I say,

571
00:33:02,000 --> 00:33:04,920
Speaker 2: you need to bosfset that with your losses.

572
00:33:06,440 --> 00:33:09,240
Speaker 3: Which are now currently limited. If you first you have

573
00:33:09,280 --> 00:33:12,480
Speaker 3: to itemize to get your losses and you only get

574
00:33:12,560 --> 00:33:15,480
Speaker 3: ninety percent of your losses, well you report one hundred

575
00:33:15,480 --> 00:33:16,600
Speaker 3: percent of your gains.

576
00:33:17,360 --> 00:33:19,880
Speaker 2: All right, and I gotta keep rolling here. I got

577
00:33:19,880 --> 00:33:24,960
Speaker 2: to keep Thank you much thanks CG. In Cambridge. You

578
00:33:25,000 --> 00:33:26,520
Speaker 2: got to be quick for me. CG. You got a

579
00:33:26,520 --> 00:33:28,080
Speaker 2: couple behind you. Go right ahead, CG.

580
00:33:29,160 --> 00:33:31,520
Speaker 4: Yes, you can take care. McCallan back. I'd like to know.

581
00:33:31,960 --> 00:33:35,680
Speaker 4: I have an old full life insurance policy which I

582
00:33:35,720 --> 00:33:38,480
Speaker 4: don't really need any longer, and i'd like to cash

583
00:33:38,560 --> 00:33:41,800
Speaker 4: it in. The money I get from cashing in in

584
00:33:42,040 --> 00:33:44,200
Speaker 4: is that all completely taxed?

585
00:33:46,800 --> 00:33:48,880
Speaker 3: It depends on the nature of the policy, and the

586
00:33:49,160 --> 00:33:51,720
Speaker 3: insurance company should be able to tell you what part

587
00:33:51,760 --> 00:33:53,600
Speaker 3: of it is taxable and what part is not.

588
00:33:55,720 --> 00:33:58,440
Speaker 4: Okay, So, but it is is I left the policy

589
00:33:58,960 --> 00:34:01,600
Speaker 4: and automatically pay paid for it each year, which is

590
00:34:01,640 --> 00:34:04,400
Speaker 4: like maybe one hundred dollars a year, and I left

591
00:34:04,440 --> 00:34:06,640
Speaker 4: all the dividends in and that's why it grew up

592
00:34:06,640 --> 00:34:09,160
Speaker 4: to it's up to like twenty thousand dollars.

593
00:34:09,200 --> 00:34:11,600
Speaker 2: Now, yeah, they're probably gonna say this is the value

594
00:34:11,600 --> 00:34:16,440
Speaker 2: of the policy and your your expenses to purchase this policy.

595
00:34:16,200 --> 00:34:21,160
Speaker 2: They keep records of that mark, I'm assuming and when before.

596
00:34:20,920 --> 00:34:23,840
Speaker 3: They should they should be able to tell you exactly

597
00:34:23,960 --> 00:34:28,000
Speaker 3: how much of what you cash out is a cubulative

598
00:34:28,040 --> 00:34:30,359
Speaker 3: gain over what you paid in All.

599
00:34:30,280 --> 00:34:31,800
Speaker 2: Right, good questions?

600
00:34:31,920 --> 00:34:32,359
Speaker 3: Very good.

601
00:34:32,400 --> 00:34:33,680
Speaker 4: I can check with them then.

602
00:34:33,719 --> 00:34:36,800
Speaker 2: You bet you they'll answer before you, before you, before

603
00:34:36,800 --> 00:34:40,040
Speaker 2: you take the action. Okay, thank you much. Yep, all right,

604
00:34:40,120 --> 00:34:43,640
Speaker 2: let me keep rolling here. Gonna go quickly too, boy,

605
00:34:43,680 --> 00:34:45,960
Speaker 2: I'm going to try to get everybody in Gilbert in Boston,

606
00:34:45,960 --> 00:34:47,720
Speaker 2: Gilbert your next on nights. I go ahead.

607
00:34:49,160 --> 00:34:51,560
Speaker 10: Hi, thanks for taking a call. This quick question. I

608
00:34:51,600 --> 00:34:56,719
Speaker 10: have a house rental property that I own, and every

609
00:34:56,800 --> 00:35:00,319
Speaker 10: year I do work on the house, and one year

610
00:35:00,320 --> 00:35:02,440
Speaker 10: my account and told me that there's a cap on

611
00:35:02,480 --> 00:35:05,440
Speaker 10: how much I can do for a renovation. Is there

612
00:35:05,640 --> 00:35:08,359
Speaker 10: such a thing as far as a cap for doing

613
00:35:08,440 --> 00:35:11,760
Speaker 10: renovation on the house from doing over seventy thousand dollars?

614
00:35:11,760 --> 00:35:14,080
Speaker 10: Do I get that back? Or is there a cap?

615
00:35:14,239 --> 00:35:15,439
Speaker 10: That doesn't matter how much I do.

616
00:35:17,440 --> 00:35:19,200
Speaker 3: It's not a matter of how much you do, it's

617
00:35:19,200 --> 00:35:21,759
Speaker 3: a matter of how much you can deduct from the

618
00:35:22,080 --> 00:35:25,440
Speaker 3: for that improvement. As we had with an earlier caller.

619
00:35:26,000 --> 00:35:32,440
Speaker 3: If it's permanent change to the property and significant in cost,

620
00:35:33,040 --> 00:35:35,719
Speaker 3: you will get it back over time as a depreciation

621
00:35:35,920 --> 00:35:39,400
Speaker 3: charge rather than as an immediate expense. And as it's

622
00:35:39,440 --> 00:35:44,719
Speaker 3: a residential rental property where the law gives some favorable

623
00:35:45,000 --> 00:35:48,799
Speaker 3: more favorable treatment and immediate expensing to such improvements for

624
00:35:48,960 --> 00:35:53,799
Speaker 3: commercial properties used in a trader business on a residential

625
00:35:53,880 --> 00:35:55,040
Speaker 3: that is just not there.

626
00:35:57,440 --> 00:36:01,200
Speaker 10: Okay, So then it doesn't matter if I file whatever

627
00:36:01,200 --> 00:36:03,839
Speaker 10: it is the cap. The question is is there a cap?

628
00:36:03,960 --> 00:36:06,920
Speaker 10: Should I find it's only fifty thousand a year or

629
00:36:06,960 --> 00:36:09,680
Speaker 10: is it is it is a certain time, certain amount

630
00:36:09,719 --> 00:36:11,680
Speaker 10: that you can file this. That's that's what I just.

631
00:36:12,160 --> 00:36:12,759
Speaker 4: That's the quest.

632
00:36:12,840 --> 00:36:16,080
Speaker 3: Whatever, whatever the cost is of the whatever the cost

633
00:36:16,200 --> 00:36:18,080
Speaker 3: is of the improvements, there is no cap on how

634
00:36:18,120 --> 00:36:21,960
Speaker 3: much you can put into the property other than what

635
00:36:22,080 --> 00:36:25,319
Speaker 3: you can afford to put in versus what you can

636
00:36:25,360 --> 00:36:26,719
Speaker 3: get back through your rents.

637
00:36:28,000 --> 00:36:29,920
Speaker 2: All right, hope that helps, Gilbert. I got one more.

638
00:36:29,960 --> 00:36:31,440
Speaker 2: I got to try to get it. Thank you, thank you,

639
00:36:31,480 --> 00:36:34,640
Speaker 2: Thank you, sir, Alex. You're late. I'm going to give

640
00:36:34,680 --> 00:36:36,720
Speaker 2: you just about forty five seconds.

641
00:36:36,800 --> 00:36:41,960
Speaker 11: Go real quick, Hi, Mark, I was wondering, is it

642
00:36:42,000 --> 00:36:44,759
Speaker 11: worth it for me to pay off my mortgage which

643
00:36:44,800 --> 00:36:47,480
Speaker 11: is about eighty five thousand, but it's it's at are

644
00:36:47,640 --> 00:36:51,240
Speaker 11: like three two point nine percent? Is there any tax

645
00:36:51,280 --> 00:36:53,080
Speaker 11: incentive to do that.

646
00:36:53,239 --> 00:36:56,600
Speaker 3: There's no tax incentive. There's no tax incentive. If you

647
00:36:56,840 --> 00:37:01,880
Speaker 3: can't itemize, then you're paying the back or other lender

648
00:37:02,760 --> 00:37:05,280
Speaker 3: two point nine percent to have the use of the money.

649
00:37:06,080 --> 00:37:08,080
Speaker 3: You know, however, you have eighty five thousand to pay

650
00:37:08,120 --> 00:37:10,480
Speaker 3: it off, and you can earn six or eight percent

651
00:37:11,120 --> 00:37:15,600
Speaker 3: in a CD, A bond or a stock investment, then

652
00:37:15,719 --> 00:37:18,359
Speaker 3: you're paying two point nine to earn six or eight

653
00:37:19,480 --> 00:37:20,800
Speaker 3: and you're better off investing.

654
00:37:21,640 --> 00:37:24,200
Speaker 2: All right, Okay, there you go, Alex, gotta go. What

655
00:37:24,200 --> 00:37:26,879
Speaker 2: should call it earlier? Okay, talk to you next hour

656
00:37:27,000 --> 00:37:30,680
Speaker 2: maybe on football. Hey, Mark, great show. And we started

657
00:37:30,680 --> 00:37:32,960
Speaker 2: a little slow, but those lines were packed in the

658
00:37:33,040 --> 00:37:35,200
Speaker 2: second hour. I will get back to in two or

659
00:37:35,280 --> 00:37:39,800
Speaker 2: three weeks and we may have ask if it'd be

660
00:37:39,840 --> 00:37:42,600
Speaker 2: willing to come back. And I so appreciate tonight, and

661
00:37:43,239 --> 00:37:46,160
Speaker 2: we would appreciate if you come back. So we'll talk

662
00:37:46,239 --> 00:37:49,719
Speaker 2: someone depending upon your schedule and how much pressure you're

663
00:37:49,719 --> 00:37:52,760
Speaker 2: dealing with as the as the weeks go off the calendar.

664
00:37:52,800 --> 00:37:54,799
Speaker 3: Okay, fair enough.

665
00:37:55,239 --> 00:37:57,399
Speaker 2: Please say hi to Sue for me. Thank you so much.

666
00:37:57,560 --> 00:38:01,319
Speaker 2: I shall Mark Misselbeck great friends, and I'm someone who

667
00:38:01,440 --> 00:38:07,840
Speaker 2: is extraordinarily talented. Sherry Cherry Burke Cart B E K

668
00:38:08,080 --> 00:38:12,279
Speaker 2: E A E R T Advisory l l C. We'll

669
00:38:12,280 --> 00:38:14,960
Speaker 2: be back. We're going to put in our football predictions

670
00:38:14,960 --> 00:38:19,120
Speaker 2: for the Super Bowl. Someone's gonna win a night side mug.

671
00:38:19,680 --> 00:38:21,720
Speaker 2: We'll be back after the eleven o'clock News