24 per mile in 2009 use and 19 per mile jan jun and 27

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Unformatted text preview: n 2009 Use and $.19 per mile (Jan-Jun) and $.27 (Jul-Dec) in 2008. and x Lodging costs (but not meals) up to $50 per day are deductible for the TP and one additional person if an overnight stay is necessary. EXAMPLE W, who lives in Denver, takes her child to Rochester, NY for medical treatment. The transportation cost for both persons and up to $50 per night for each individual is deductible. 11 TAXES x Distinguish between a user fee and a tax y User fee examples: x Driver’s licenses & hunting licenses x Vehicle registration based on weight x Street improvements billed to property owners y Tax: Usually a payor does not get benefits in proportion to the amount paid proportion 12 Deductible Taxes for Individuals x State, local, and foreign income taxes may be State, deducted (or claimed as a credit) deducted NOTE: Federal income taxes, including Social Security taxes, are not deductible by individuals taxes, x State, local, and foreign real property taxes x State and local personal property taxes, if based on State value value x Sales taxes (in lieu of State/Local income taxes Sales extended thru December 31, 2009) extended x Excise and Transfer taxes are N/D 13 Apportionment of Real Estate Apportionment Taxes Between Buyer & Seller Taxes -When real estate is sold, apportion real estate -When taxes between buyer and seller based on the number of days each taxpayer held ownership number The apportionment typically occurs at settlement The...
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