Can You Deduct the Loss on Sale of Your Home

Collier Swecker video blogs the answer to the often asked question about whether home sellers can deduct the loss that they incur on the sale of their home (when its their primary residence). The quick answer is NO.  Watch the video for a quick explanation from Collier. For information directly from the IRS, visit http://goo.gl/ltLe5. If you have any questions or comments email me at Collier@MegaAgents.com, visit my blog at www.CollierSwecker.com or my website at www.MegaAgents.com.

Short Sale Now Because Mortgage Forgiveness Debt Relief Act Expires December 31, 2012

Collier Swecker video blogs about how the Mortgage Forgiveness Debt Relief Act is set to expire on December 31, 2012. In summary, the Mortgage Forgiveness Debt Relief Act states that if you borrow money, from a bank or a commercial lender and the lender cancels or forgives the debt (i.e. Short Sale) then you are not responsible for paying taxes on the forgiven amount. This includes balances forgiven through foreclosure. The Act only applies to debt incurred to buy, build or improve a personal residence, NOT an investment property.  I strongly encourage anyone who is struggling with their mortgage to talk with a Realtor, Lawyer, and CPA to find the best course of action with your home because delaying the inevitable may cost these homeowners thousands in tax liability and you do not want the IRS on your back in addition to the banks. If you have any questions or comments about the Mortgage Forgiveness Debt Relief Act email me at Collier@MegaAgents.com or visit my website at www.CollierSwecker.com.

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The IRS Says All Rental Property Owners Now Must Issue 1099’s To Everyone

Collier Swecker video blogs about tax legislation changes by the IRS that will require ALL rental property owners, regardless of size to issue 1099’s to any service provider or vendor who performs over $600 of work in any given tax year. Just because you are an individual who owns one or two units, your friends at the IRS have said that they will now be treating you just like any other property management company.  If you are familiar with the old 1099 IRS laws, you will remember that you did not have to submit 1099’s to For Profit “C” Corporations, but the new law requires you to submit 1099’s to these companies as well.  The penalty for not properly reporting 1099’s is now $250 per non-reported vendor / service provider. If you have any comments or questions, email me at Collier@MegaAgentRealEstate.com or visit my website at www.MegaAgentRealEstate.com.