What is the best way to invest in bonds in a taxable account?
Q. My goal is long-term growth because I have a stable and highly paid job. I want to use bonds to diversify my stock portfolio. Quality (low default rate), low cost, and tax efficiency are the most important to me. I'm considering Vanguard or Fidelity bond index funds for their low cost and diversification. I'm also considering IBond (US Saving Bond Series I at TreasuryDirect.gov) for its tax deferral, tax-exemption when redeemed for my education, and guaranteed principal plus interests at maturity. How do you invest in bonds in your taxable accounts? Why?
Asked by John - Fri Nov 24 14:31:10 2006 - - 4 Answers - 0 Comments
A. Tax-free municipal bonds. There are some Vanguard funds that have these.
Answered by Yardbird - Fri Nov 24 16:58:24 2006
Q. My goal is long-term growth because I have a stable and highly paid job. I want to use bonds to diversify my stock portfolio. Quality (low default rate), low cost, and tax efficiency are the most important to me. I'm considering Vanguard or Fidelity bond index funds for their low cost and diversification. I'm also considering IBond (US Saving Bond Series I at TreasuryDirect.gov) for its tax deferral, tax-exemption when redeemed for my education, and guaranteed principal plus interests at maturity. How do you invest in bonds in your taxable accounts? Why?
Asked by John - Fri Nov 24 14:31:10 2006 - - 4 Answers - 0 Comments
A. Tax-free municipal bonds. There are some Vanguard funds that have these.
Answered by Yardbird - Fri Nov 24 16:58:24 2006
Start investing now in a taxable account or wait for employer tax deferred account?
Q. I'm a 25 year old medical student and so do not currently have an income. Therefore, I am not eligible for any tax deferred retirement accounts? I would like to get started with a Vanguard index fund, or similar, as soon as possible. Should I do this, or should I wait another year when I can use an IRA or 403b? I can give more details if necessary. Thank you
Asked by Investing Newbie - Mon Jun 23 19:51:03 2008 - - 1 Answers - 0 Comments
A. Start now. You can always start funding the other forms of investing later. You can never get back that year of growth if you wait. You have NO income at all? Not even a stipend? You can do a Roth IRA, pay the taxes and take it out when you are retiring and pay NO taxes on it. You can only use earned income to fund an IRA. I don't know what a 403b is. The earlier you start investing the better. Good luck and get some sleep!!
Answered by duffie_1999 - Mon Jun 23 20:02:15 2008
Q. I'm a 25 year old medical student and so do not currently have an income. Therefore, I am not eligible for any tax deferred retirement accounts? I would like to get started with a Vanguard index fund, or similar, as soon as possible. Should I do this, or should I wait another year when I can use an IRA or 403b? I can give more details if necessary. Thank you
Asked by Investing Newbie - Mon Jun 23 19:51:03 2008 - - 1 Answers - 0 Comments
A. Start now. You can always start funding the other forms of investing later. You can never get back that year of growth if you wait. You have NO income at all? Not even a stipend? You can do a Roth IRA, pay the taxes and take it out when you are retiring and pay NO taxes on it. You can only use earned income to fund an IRA. I don't know what a 403b is. The earlier you start investing the better. Good luck and get some sleep!!
Answered by duffie_1999 - Mon Jun 23 20:02:15 2008
is it better to have stock or taxable bonds in a retirement account?
Q. I have a tax class where one of the questions is is it better to have only stock in a retirement account or only taxable bonds? any ideas??? At this point i think the taxable bonds should go in the retirement account because the coupon interest that is received twice a year is usually taxed at ordinary income tax rates and stock dividends would be at more favorable rates if they were not part of a retirement account. am i correct on this? any help would be great. thnx.
Asked by Mick - Sat Nov 21 16:59:03 2009 - - 1 Answers - 0 Comments
A. Neither, actually. Any gain in a retirement account accrues tax-deferred until withdrawal at which time all monies distributed are taxed as ordinary income. How the gains are characterized within the account is irrelevant. SOME stock dividends are taxed at a lower rate but not all dividends do. Qualified dividends are taxed at the more favorable long-term CG rate but ordinary dividends are taxed as ordinary income. There's no guarantee that any dividend will be treated as qualified dividends up front, and a company's dividend payment history is no guarantee of what they will do in the future. Furhtermore, the principal reason that you'd hold stocks is for capital gains, not dividends. Some companies rarely pay dividends. Even… [cont.]
Answered by Bostonian In MO - Sat Nov 21 17:35:33 2009
Q. I have a tax class where one of the questions is is it better to have only stock in a retirement account or only taxable bonds? any ideas??? At this point i think the taxable bonds should go in the retirement account because the coupon interest that is received twice a year is usually taxed at ordinary income tax rates and stock dividends would be at more favorable rates if they were not part of a retirement account. am i correct on this? any help would be great. thnx.
Asked by Mick - Sat Nov 21 16:59:03 2009 - - 1 Answers - 0 Comments
A. Neither, actually. Any gain in a retirement account accrues tax-deferred until withdrawal at which time all monies distributed are taxed as ordinary income. How the gains are characterized within the account is irrelevant. SOME stock dividends are taxed at a lower rate but not all dividends do. Qualified dividends are taxed at the more favorable long-term CG rate but ordinary dividends are taxed as ordinary income. There's no guarantee that any dividend will be treated as qualified dividends up front, and a company's dividend payment history is no guarantee of what they will do in the future. Furhtermore, the principal reason that you'd hold stocks is for capital gains, not dividends. Some companies rarely pay dividends. Even… [cont.]
Answered by Bostonian In MO - Sat Nov 21 17:35:33 2009
Can I claim the new American Opportunity Tax Credit if I pay the first $4000 of tuition from a taxable account?
Q. For example: If the total tuition bill was $10,000 and I paid $4000 from my checking account and $6000 from my 529 college saving plan, would I still be eligible to take the $2500 American Opportunity tax credit? I don't know if using ANY 529 funds would cancel any tax credit.
Asked by SPos - Thu Feb 26 17:03:31 2009 - - 1 Answers - 0 Comments
A. You would only need the $4000 to qualify for this credit. So you do not even need to consider any of what is paid from the 529 college savings plan, which if paying for tuition could not be considered for the credit. Taxpayers receive a tax credit based on 100% of the first $2,000 of qualified expenses paid during the tax year and 25% of the next $2,000 ($500). More good news is that forty percent of the credit is refundable, which is good news for lower-income students and families paying for college. This means that even if you do not have enough tax liability to take the full credit, it is possible to receive up to $1000 as a refundable credit. Laura H H&R Block Senior Tax Advisor 5 **This advice was prepared based on our… [cont.]
Answered by hrblock.laura - Thu Feb 26 17:18:25 2009
Q. For example: If the total tuition bill was $10,000 and I paid $4000 from my checking account and $6000 from my 529 college saving plan, would I still be eligible to take the $2500 American Opportunity tax credit? I don't know if using ANY 529 funds would cancel any tax credit.
Asked by SPos - Thu Feb 26 17:03:31 2009 - - 1 Answers - 0 Comments
A. You would only need the $4000 to qualify for this credit. So you do not even need to consider any of what is paid from the 529 college savings plan, which if paying for tuition could not be considered for the credit. Taxpayers receive a tax credit based on 100% of the first $2,000 of qualified expenses paid during the tax year and 25% of the next $2,000 ($500). More good news is that forty percent of the credit is refundable, which is good news for lower-income students and families paying for college. This means that even if you do not have enough tax liability to take the full credit, it is possible to receive up to $1000 as a refundable credit. Laura H H&R Block Senior Tax Advisor 5 **This advice was prepared based on our… [cont.]
Answered by hrblock.laura - Thu Feb 26 17:18:25 2009
Is a distribution to a beneficiary, from an IRA brokerage account, taxable to the deceased or beneficiary?
Q. There are two equal (50%) beneficiaries named on their deceased parent's IRA. It is not a Roth IRA. There is no will or trust. All parties and the IRA are in California. The mission is to avoid both probate and taxes. The account is accessible and the funds could be transfered, if that would be permissible. The account has a value less than $100,000.
Asked by ezviking - Thu Aug 9 17:18:43 2007 - - 2 Answers - 0 Comments
A. Well, if they are the beneficiaries, the value of the IRA brokerage account will be part of the deceased's estate, but as long as it's under the federal estate limit ($2,000,000 for 2007) and California (I don't know what that is), there won't be an estate tax. However on the beneficiary side, they will have tax, since it is a regular IRA. I have included info on how they can handle it. As a general rule, after the IRA owner dies, the beneficiary can withdrawal the moneys over his or her remaining life expectancy. The beneficiary s remaining life expectancy is calculated using the age of the beneficiary in the year following the year of the IRA owner s death, reduced by one for each subsequent year. The IRS has tables for making these… [cont.]
Answered by PepsiLime - Thu Aug 9 17:34:02 2007
Q. There are two equal (50%) beneficiaries named on their deceased parent's IRA. It is not a Roth IRA. There is no will or trust. All parties and the IRA are in California. The mission is to avoid both probate and taxes. The account is accessible and the funds could be transfered, if that would be permissible. The account has a value less than $100,000.
Asked by ezviking - Thu Aug 9 17:18:43 2007 - - 2 Answers - 0 Comments
A. Well, if they are the beneficiaries, the value of the IRA brokerage account will be part of the deceased's estate, but as long as it's under the federal estate limit ($2,000,000 for 2007) and California (I don't know what that is), there won't be an estate tax. However on the beneficiary side, they will have tax, since it is a regular IRA. I have included info on how they can handle it. As a general rule, after the IRA owner dies, the beneficiary can withdrawal the moneys over his or her remaining life expectancy. The beneficiary s remaining life expectancy is calculated using the age of the beneficiary in the year following the year of the IRA owner s death, reduced by one for each subsequent year. The IRS has tables for making these… [cont.]
Answered by PepsiLime - Thu Aug 9 17:34:02 2007
Is it a good idea to hold ETFs in a taxable investment account?
Q. If not, what securities are the best for this type of account (not IRA)? I consider buying index ETFs. Or is it better to buy index mutual funds for this kind of acount?
Asked by Kaytee - Tue Oct 3 11:03:34 2006 - - 2 Answers - 0 Comments
A. Yes. ETFs are very tax efficient, and provide a low cost way to build a diversified portfolio. Because ETFs are traded like stocks, there is a commission every time you buy or sell. For this reason, if you are adding money monthly or quarterly, a mutual fund may be a better choice.
Answered by bookbyte - Tue Oct 3 13:50:02 2006
Q. If not, what securities are the best for this type of account (not IRA)? I consider buying index ETFs. Or is it better to buy index mutual funds for this kind of acount?
Asked by Kaytee - Tue Oct 3 11:03:34 2006 - - 2 Answers - 0 Comments
A. Yes. ETFs are very tax efficient, and provide a low cost way to build a diversified portfolio. Because ETFs are traded like stocks, there is a commission every time you buy or sell. For this reason, if you are adding money monthly or quarterly, a mutual fund may be a better choice.
Answered by bookbyte - Tue Oct 3 13:50:02 2006
Is the interest earned on an HSA account taxable?
Q. i.e. will should I expect a 1099 INT statement at the end of the year?
Asked by dshcpa - Fri Feb 6 22:21:40 2009 - - 1 Answers - 0 Comments
A. You will not receive a 1099INT from your HSA. If you take a distribution from your HSA, you will receive a tax document, a 1099-SA that will be used in your tax return. You may owe tax only when you withdraw money from your HSA, and only if that money is more than your deductible medical expenses.
Answered by ninasgramma - Fri Feb 6 22:33:12 2009
Q. i.e. will should I expect a 1099 INT statement at the end of the year?
Asked by dshcpa - Fri Feb 6 22:21:40 2009 - - 1 Answers - 0 Comments
A. You will not receive a 1099INT from your HSA. If you take a distribution from your HSA, you will receive a tax document, a 1099-SA that will be used in your tax return. You may owe tax only when you withdraw money from your HSA, and only if that money is more than your deductible medical expenses.
Answered by ninasgramma - Fri Feb 6 22:33:12 2009
If I have a joint bank account with my mother, does money I take out of it count as a taxable gift?
Q. I know you can give someone a gift once per year for up to $12,000. On top of that, can I take money out of a bank account with joint ownership without it counting as another taxable gift? I'm 26 so I'm not a child. The money was deposited as income and taxes were paid on it then. The goal isn't to scam the IRS...the goal is to avoid doing something wrong.
Asked by rickg155 - Tue May 29 12:23:07 2007 - - 4 Answers - 0 Comments
A. I depends...who is claiming the interest on taxes? Who made the deposits? Believe it or not, a lot of people try to scam the IRS, Social Security and Medicaid by putting their children's names on bank accounts. (should I be pointing at you). They are all aware of this, so these kinds of accounts are noted. Large withdrawals and deposits are often reported under the patriot act. If you are trying to get around the tax laws or make other shady dodges, eventually you will probably be caught. Paying principle, interest and penalties isn't fun. *** By "child" I meant child of your mother. As our parents age, there are tactics to get more medicaid coverage without spending savings...or to avoid gift taxes...one of those tactics is to… [cont.]
Answered by Lori K - Tue May 29 12:29:24 2007
Q. I know you can give someone a gift once per year for up to $12,000. On top of that, can I take money out of a bank account with joint ownership without it counting as another taxable gift? I'm 26 so I'm not a child. The money was deposited as income and taxes were paid on it then. The goal isn't to scam the IRS...the goal is to avoid doing something wrong.
Asked by rickg155 - Tue May 29 12:23:07 2007 - - 4 Answers - 0 Comments
A. I depends...who is claiming the interest on taxes? Who made the deposits? Believe it or not, a lot of people try to scam the IRS, Social Security and Medicaid by putting their children's names on bank accounts. (should I be pointing at you). They are all aware of this, so these kinds of accounts are noted. Large withdrawals and deposits are often reported under the patriot act. If you are trying to get around the tax laws or make other shady dodges, eventually you will probably be caught. Paying principle, interest and penalties isn't fun. *** By "child" I meant child of your mother. As our parents age, there are tactics to get more medicaid coverage without spending savings...or to avoid gift taxes...one of those tactics is to… [cont.]
Answered by Lori K - Tue May 29 12:29:24 2007
Is the money recieved from a US company in dollars to my account in Inida taxable or not.?
Q. I am a freelancer and does not have a company in India. So, is this income taxable or not? I am not sure if the US company is deducting tax and then sending it or vice versa.
Asked by Dharamveer - Sat Nov 7 03:23:46 2009 - - 5 Answers - 0 Comments
A. It is taxable as per slab rates.
Answered by N J Reddy - Sat Nov 7 10:42:55 2009
Q. I am a freelancer and does not have a company in India. So, is this income taxable or not? I am not sure if the US company is deducting tax and then sending it or vice versa.
Asked by Dharamveer - Sat Nov 7 03:23:46 2009 - - 5 Answers - 0 Comments
A. It is taxable as per slab rates.
Answered by N J Reddy - Sat Nov 7 10:42:55 2009
What is a better option - a tax free mutual fund at 3% or a taxable savings account at 5.8%?
Q. I'm selling my condo and have about $117K to invest until I buy another property. Morgan Stanely can get me 3.5% on a tax free money market however I pay .5% in commission. I can get 5.8% in a savings account but taxed on the interest. My tax rate is very high...highest braket...what will provide the largest return?
Asked by Droppin Knowledge - Thu May 10 14:34:51 2007 - - 11 Answers - 0 Comments
A. It depends on the tax bracket you fall into. In general though, the higher your tax rate the better a tax free fund wil be for you. There is a simple formula you can use to deterime which investment option is better for your individual case. Tax exempt rate --- = Comparable rate (1-your tax rate) Using the above example (3% tax free rate & 25% tax rate) you would get the following: 3/(1-.25) = 4% Compare this 4% to the 5.8% taxable savings account and you'll make more money investing in the taxable savings account.
Answered by CogWork - Thu May 10 14:47:23 2007
Q. I'm selling my condo and have about $117K to invest until I buy another property. Morgan Stanely can get me 3.5% on a tax free money market however I pay .5% in commission. I can get 5.8% in a savings account but taxed on the interest. My tax rate is very high...highest braket...what will provide the largest return?
Asked by Droppin Knowledge - Thu May 10 14:34:51 2007 - - 11 Answers - 0 Comments
A. It depends on the tax bracket you fall into. In general though, the higher your tax rate the better a tax free fund wil be for you. There is a simple formula you can use to deterime which investment option is better for your individual case. Tax exempt rate --- = Comparable rate (1-your tax rate) Using the above example (3% tax free rate & 25% tax rate) you would get the following: 3/(1-.25) = 4% Compare this 4% to the 5.8% taxable savings account and you'll make more money investing in the taxable savings account.
Answered by CogWork - Thu May 10 14:47:23 2007
How do you protect your taxable brokerage account from personal liability (i.e., lawsuits against you)?
Q. An umbrella policy may not cover it. For instance, a plaintiff may sue you personally for sexual harassment or discrimination. Here's an idea. I can form a limited partnership with my IRA. As I know, a "partner" doesn't need be a person, and can be just a legal entity other than myself. Then, I add my taxable brokerage account as an asset under the legal protection of my limited partnership. The idea is that if someone is stupid enough to sue me and win, all the plaintiff can get is a charging order against me and none of my asset and income. Yet the plaintiff must pay taxes for the money that he "won" but is legally/technically impossible to get from me. If you see a hole in the above idea, please suggest how to fix it. Jason may… [cont.]
Asked by John - Thu Jan 18 02:49:56 2007 - - 4 Answers - 0 Comments
A. There is one way---Incorporate---Even if you are the only stock holder ---A corporation cannot be penetrated---If you sell something ---A CORP. is possible...Have a few relatives as board members...Hold meetings...Take minutes--ONCE A YR. is enough...
Answered by Dave F - Thu Jan 25 02:16:08 2007
Q. An umbrella policy may not cover it. For instance, a plaintiff may sue you personally for sexual harassment or discrimination. Here's an idea. I can form a limited partnership with my IRA. As I know, a "partner" doesn't need be a person, and can be just a legal entity other than myself. Then, I add my taxable brokerage account as an asset under the legal protection of my limited partnership. The idea is that if someone is stupid enough to sue me and win, all the plaintiff can get is a charging order against me and none of my asset and income. Yet the plaintiff must pay taxes for the money that he "won" but is legally/technically impossible to get from me. If you see a hole in the above idea, please suggest how to fix it. Jason may… [cont.]
Asked by John - Thu Jan 18 02:49:56 2007 - - 4 Answers - 0 Comments
A. There is one way---Incorporate---Even if you are the only stock holder ---A corporation cannot be penetrated---If you sell something ---A CORP. is possible...Have a few relatives as board members...Hold meetings...Take minutes--ONCE A YR. is enough...
Answered by Dave F - Thu Jan 25 02:16:08 2007
Is salary deposited in NRE account is taxable in india?
Q. I am working with dubai based company. I have NRE acoount with ICICI bank in which i deposit my monthly salary. Is this income is Taxable in India? Rahul
Asked by rahul_halliburton - Fri Feb 9 03:52:38 2007 - - 1 Answers - 0 Comments
A. Yours seems to be NRI External account and you are keeping your savings in foreign currency. If your salary or part of earnings are deposited by your employer directly in to the NRI account through TT, there is nothing like interest on the earnings by Income Tax department of India. Not only that, as far as you are depositing foreign currency in your NRI account once in few months or once in few years there is no interest on earnings as well as interest earned on deposited amount. The basic condition is that you must have valid NRI status in your documents such as residence visa or work permit of the country from where this amount is earned. If you lose this permit, you will automatically become normal Indian resident hence your earnings… [cont.]
Answered by AHP - Fri Feb 9 04:16:13 2007
Q. I am working with dubai based company. I have NRE acoount with ICICI bank in which i deposit my monthly salary. Is this income is Taxable in India? Rahul
Asked by rahul_halliburton - Fri Feb 9 03:52:38 2007 - - 1 Answers - 0 Comments
A. Yours seems to be NRI External account and you are keeping your savings in foreign currency. If your salary or part of earnings are deposited by your employer directly in to the NRI account through TT, there is nothing like interest on the earnings by Income Tax department of India. Not only that, as far as you are depositing foreign currency in your NRI account once in few months or once in few years there is no interest on earnings as well as interest earned on deposited amount. The basic condition is that you must have valid NRI status in your documents such as residence visa or work permit of the country from where this amount is earned. If you lose this permit, you will automatically become normal Indian resident hence your earnings… [cont.]
Answered by AHP - Fri Feb 9 04:16:13 2007
On IRS Form 1120-H is interest earned on the HOA's savings account tax-exempt or taxable?
Q. All money deposited into the savings account is reserves we transfer quarterly from the dues paid by the Homeowners. All money deposited into the savings account is reserves we transfer quarterly from the dues paid by the Homeowners. All income (dues and interest) is used to maintain and/or improve the common property.
Asked by Kyle M - Fri Feb 29 13:14:41 2008 - - 1 Answers - 0 Comments
A. On the 1120-H, the income depends on what you spent the money on. Interest is not automatically exempt.
Answered by the tax lady - Fri Feb 29 13:42:01 2008
Q. All money deposited into the savings account is reserves we transfer quarterly from the dues paid by the Homeowners. All money deposited into the savings account is reserves we transfer quarterly from the dues paid by the Homeowners. All income (dues and interest) is used to maintain and/or improve the common property.
Asked by Kyle M - Fri Feb 29 13:14:41 2008 - - 1 Answers - 0 Comments
A. On the 1120-H, the income depends on what you spent the money on. Interest is not automatically exempt.
Answered by the tax lady - Fri Feb 29 13:42:01 2008
Why Or How To Hold Mutual Fund Investments In Taxable Accounts?
Q. Many mutual funds have very recently paid out year-end distributions. For example, let's say I own a fund worth $1000 that distributes 10%, or $100. The investment is still worth $1000 even though the fund shares have declined in price by 10%, but if you're in the 25% tax bracket, and the distribution is short-term capital gains and income, then I have another $25 to pay in income taxes due solely to the distribution. In other words, if you figure the effect of the income taxes, the net has just declined from $1000 to $975. I realize my concern goes away if the account is in an IRA, but this question is specific to a non-IRA or non-Roth account. So then, what is the sense of holdlng mutual fund investments in taxable accounts? Thankyou. [cont.]
Asked by tc - Tue Dec 26 08:40:39 2006 - - 2 Answers - 1 Comments
A. That is certainly a concern with mutual funds in general, but there is a slight correction that needs to be made to your analysis. Most distributions are in fact long term capital gains wich are taxed at a favorable tax rate. Not all but most. Now if you were to invest in an index fund, the distributions would be much less because the realized captial gains are much less. One of the big advantages of index funds. The main advantage of holding mutual funds in taxable accounts is that they allow investors to hold a diversified portfolio of investments with a small investment thus reducing thier specific risk. Holding $1000 worth of a mutual fund is a lot less risky than holding $1000 worth of particular equities. There is also the… [cont.]
Answered by muncie birder - Tue Dec 26 09:14:55 2006
Q. Many mutual funds have very recently paid out year-end distributions. For example, let's say I own a fund worth $1000 that distributes 10%, or $100. The investment is still worth $1000 even though the fund shares have declined in price by 10%, but if you're in the 25% tax bracket, and the distribution is short-term capital gains and income, then I have another $25 to pay in income taxes due solely to the distribution. In other words, if you figure the effect of the income taxes, the net has just declined from $1000 to $975. I realize my concern goes away if the account is in an IRA, but this question is specific to a non-IRA or non-Roth account. So then, what is the sense of holdlng mutual fund investments in taxable accounts? Thankyou. [cont.]
Asked by tc - Tue Dec 26 08:40:39 2006 - - 2 Answers - 1 Comments
A. That is certainly a concern with mutual funds in general, but there is a slight correction that needs to be made to your analysis. Most distributions are in fact long term capital gains wich are taxed at a favorable tax rate. Not all but most. Now if you were to invest in an index fund, the distributions would be much less because the realized captial gains are much less. One of the big advantages of index funds. The main advantage of holding mutual funds in taxable accounts is that they allow investors to hold a diversified portfolio of investments with a small investment thus reducing thier specific risk. Holding $1000 worth of a mutual fund is a lot less risky than holding $1000 worth of particular equities. There is also the… [cont.]
Answered by muncie birder - Tue Dec 26 09:14:55 2006
What is the taxable amount for Savings Bank Account in Nationalised Banks in India?
Q. I mean If I want to save some amount in my SB Account, what is the maximum amount I can keep in the bank which is not taxable.
Asked by MeghJay - Mon Jun 30 07:36:53 2008 - - 4 Answers - 0 Comments
A. The taxable amount is on profits from interest that you receive. The amount is tax at the total income you make which has different slabs. 0-1.5 lakhs - no tax 1.5 - 3.0 lakhs - 10% 3.0 - 5.0 lakhs - 20% 5.0 lakhs & above - 30%
Answered by Shuva - Mon Jun 30 07:45:05 2008
Q. I mean If I want to save some amount in my SB Account, what is the maximum amount I can keep in the bank which is not taxable.
Asked by MeghJay - Mon Jun 30 07:36:53 2008 - - 4 Answers - 0 Comments
A. The taxable amount is on profits from interest that you receive. The amount is tax at the total income you make which has different slabs. 0-1.5 lakhs - no tax 1.5 - 3.0 lakhs - 10% 3.0 - 5.0 lakhs - 20% 5.0 lakhs & above - 30%
Answered by Shuva - Mon Jun 30 07:45:05 2008
Fund transferred from NRE account is taxable?
Q. I am basically employee of Siemens India and working in Australia on deputation for 10 months as an employee of Siiemens Australia.I have my indian salary account in HDFC india, but my salary is now crediting to Australian salary account of Citibank. I also have Citibank NRE account.I normally transfer my salary from Citibank salary account to Citibank NRE account and then to HDFC Salary account and my wife's salary account. My quistion is that whether this transferred fund to HDFC and my wife's salary account will be taxable in India?
Asked by sahil - Fri Dec 8 19:50:40 2006 - - 2 Answers - 0 Comments
A. No, In your case, You are earning income in Australia ( Out of India ) and are paying income tax on that income to Australian Government (ATO), so all the money which you save from your Australian salary and transfer to India is not taxable in India.
Answered by Tech_Geek - Mon Dec 11 17:17:12 2006
Q. I am basically employee of Siemens India and working in Australia on deputation for 10 months as an employee of Siiemens Australia.I have my indian salary account in HDFC india, but my salary is now crediting to Australian salary account of Citibank. I also have Citibank NRE account.I normally transfer my salary from Citibank salary account to Citibank NRE account and then to HDFC Salary account and my wife's salary account. My quistion is that whether this transferred fund to HDFC and my wife's salary account will be taxable in India?
Asked by sahil - Fri Dec 8 19:50:40 2006 - - 2 Answers - 0 Comments
A. No, In your case, You are earning income in Australia ( Out of India ) and are paying income tax on that income to Australian Government (ATO), so all the money which you save from your Australian salary and transfer to India is not taxable in India.
Answered by Tech_Geek - Mon Dec 11 17:17:12 2006
Is paying fees from an IRA account a taxable event?
Q. Is paying fees from an IRA account a taxable event?
Asked by rsg1010y - Wed Jan 3 10:27:50 2007 - - 2 Answers - 0 Comments
A. Fees that are deducted from the IRA account are not deductible. To deduct them, the fees would have to be billed separately and paid with funds from outside the IRA account. Event then, they are subject to the 2% of AGI limit.
Answered by HandyDan - Wed Jan 3 12:00:28 2007
Q. Is paying fees from an IRA account a taxable event?
Asked by rsg1010y - Wed Jan 3 10:27:50 2007 - - 2 Answers - 0 Comments
A. Fees that are deducted from the IRA account are not deductible. To deduct them, the fees would have to be billed separately and paid with funds from outside the IRA account. Event then, they are subject to the 2% of AGI limit.
Answered by HandyDan - Wed Jan 3 12:00:28 2007
Is the amount deposited into Saving bank account for a period of 1 month is Taxable in India?
Q. Is the amount deposited into Saving bank account for a period of 1 month is Taxable in India?
Asked by Chakrapani - Tue May 12 00:24:21 2009 - - 5 Answers - 0 Comments
A. There is no need to pay tax for opening a savings account in India. You have to file returns if the transaction exceeds Rs. 10 Lakhs.
Answered by madhesh1988 - Tue May 12 00:33:20 2009
Q. Is the amount deposited into Saving bank account for a period of 1 month is Taxable in India?
Asked by Chakrapani - Tue May 12 00:24:21 2009 - - 5 Answers - 0 Comments
A. There is no need to pay tax for opening a savings account in India. You have to file returns if the transaction exceeds Rs. 10 Lakhs.
Answered by madhesh1988 - Tue May 12 00:33:20 2009
I received a 1099R for a distribution from my mom's self-funded retirement account, Is it taxable at PA level?
Q. I received a 1099R for a distribution from my mom's self-funded retirement account, Is it taxable at PA level?
Asked by Jimmy d - Tue Apr 10 20:25:59 2007 - - 1 Answers - 0 Comments
A. PA doesn't tax pension distributions.
Answered by Judy - Tue Apr 10 22:21:05 2007
Q. I received a 1099R for a distribution from my mom's self-funded retirement account, Is it taxable at PA level?
Asked by Jimmy d - Tue Apr 10 20:25:59 2007 - - 1 Answers - 0 Comments
A. PA doesn't tax pension distributions.
Answered by Judy - Tue Apr 10 22:21:05 2007
Is student loan money taxable if you deposit it in your account?
Q. Is student loan money taxable if you deposit it in your account?
Asked by sam k - Mon Nov 13 00:09:44 2006 - - 5 Answers - 0 Comments
A. No, loan proceeds aren't taxable whether they are student loans or some other kind of loan.
Answered by Judy - Mon Nov 13 00:50:12 2006
Q. Is student loan money taxable if you deposit it in your account?
Asked by sam k - Mon Nov 13 00:09:44 2006 - - 5 Answers - 0 Comments
A. No, loan proceeds aren't taxable whether they are student loans or some other kind of loan.
Answered by Judy - Mon Nov 13 00:50:12 2006
From Yahoo Answer Search: 'taxable account'
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