How to Determine Basis for Property Received as a Gift
Gifted property basis rules depend on the donor’s adjusted basis and fair market value at gifting. Documenting gift…
Articles by Sai Sankar
Understanding Basis Adjustments in Involuntary Property Conversions
Involuntary conversions allow deferral of tax gains if replacement property is bought timely and is similar in use.…
Understanding Bargain Purchases and Income Recognition Rules
If you acquire property below fair market value, you must report the difference as income. Businesses must follow…
Understanding Repairs vs Improvements: Capitalization and Deduction Rules
IRS rules clarify repairs versus improvements for US property taxes. Repairs are immediately deductible; improvements depreciate over years.…
Criteria for Depreciating Property in Business or Income Activities
Immigrants can reduce taxes by depreciating business property costs over time using IRS MACRS rules. Report annually with…
Understanding Adjusted Basis: Increases and Decreases Explained
The adjusted basis calculates property tax gain or loss, including purchase costs, capital improvements, and depreciation. It impacts…
Tax Rules for Property Received in Exchange for Services Rendered
When property is received for services, taxpayers must include its fair market value in income. The Section 83(b)…
How to Allocate Cost Basis Between Land and Buildings in Real Property
For immigrants and investors, cost basis includes purchase price, mortgage assumed, and specific fees, divided by fair market…
Understanding Property Basis and Cost Basis for Tax Purposes
Understanding basis and cost basis is vital for U.S. property taxpayers including owners, immigrants, and investors. It details…
U.S. Senate Bill Proposes Easier Green Card Path for Undocumented Immigrants
The 2025 immigration bill by Senator Padilla creates a rolling green card eligibility after seven years’ residence. It…