Surgent: Residential Mortgage Interest & Co-Ownership

By Anthony P. Curatola, Ph.D Section 163(h) of the Internal Revenue Code (IRC) provides, in part, that no deduction shall be allowed for personal interest paid or accrued during the taxable year by a taxpayer other than a corporation (i.e., an individual taxpayer). Thus, individual taxpayers can’t deduct interest paid on their credit cards, auto loans, or personal loans, to name a few. But there are exceptions to the rule that make some interest deductible for an individual. Specifically, interest associated with a trade or business, investment interest, qualified residence interest, and ed...
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Surgent: Foreign Gift or Bequest May Be Reportable

As people increasingly interact with individuals and businesses in other countries, tax preparers in the United States are undoubtedly becoming better acquainted with international tax issues. For example, most are aware that individuals who have a financial interest in or signature authority over a foreign financial account must comply with the Report of Foreign Bank and Financial Accounts (FBAR). But international issues go beyond FBAR. Sometimes, as in the case of gifts and inheritances received from individuals or entities outside the U.S., they might challenge common perceptions. Ge...
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Surgent: Six Reasons to Become an Enrolled Agent

Looking for opportunities to increase client engagement and billable hours? Consider becoming an enrolled agent (EA). EA certification is the highest tax credential awarded by the IRS. In fact, EAs are the only professionals that the U.S. government directly grants the right to practice. While having a PTIN (preparer tax identification number) allows you to represent your clients before IRS agents and customer service representatives, a PTIN does not allow you to perform services such as signing documents and executing closing agreements, waivers and claims for refund. EA certification o...
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Surgent: How to Become an IRS Enrolled Agent

Becoming an Enrolled Agent (EA) can take your career and practice to the next level, but what’s involved in getting an enrolled agent certification? Unless you were previously employed by the IRS for five years and working in a position where you interpreted tax code, you must pass a three-part comprehensive IRS test in order to become an EA. The tests cover individual and business tax returns and administrative practices. Once certified, you must follow certain ethical standards and complete 72 hours of continuing education every three years. The steps to become an enrolled agent are ea...
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