How to Lower Your 2012 Tax Bill

Dated: October 9 2012

Views: 3036

Real estate agents still have time to reduce their 2012 tax bill through such methods as buying business equipment, like computers, software, or even a car by the end of the year. The Internal Revenue Code enables them to deduct the entire amount in one year for tangible personal property used more than 51 percent of the time for their business. Real estate professionals also can set up retirement accounts, with maximum total contributions of $50,000 that can be deducted from taxable income, sell losing stocks, and deduct up to $3,000 in losses from ordinary income if their total capital losses exceed their total capital gains. They can also open aHealth Savings Account with maximum deductible contributions of $3,100 for singles and $6,250 for couples. Finally, they can reduce their 2012 tax bills by donating money and/or property to charity, taking care to record all their donations.
Blog author image

Humberto Alcazar

I am lifelong El Pasoan who has seen El Paso grow from a small town in 1965 to the large city it is today. Attended Cathedral High School, graduated from University of Texas El Paso with an Industrial....

Latest Blog Posts

Tax Season Is Right Around The Corner Did You Sell A Home This Last Year

5 Sweet Tax Deductions When Selling a Home: Did You Take Them All?By Margaret Heidenry | Feb 19, 2021 Feverpitched / Getty ImagesYou may be wondering if there are tax deductions when

Read More

Can I Buy Or Sell A Home Without A Real Estate Agent

Today’s real estate market is one of the fastest-moving in recent memory. With record-low inventory in many market segments, we’re seeing multiple offers—and sometimes even bidding wars

Read More

Will The Housing Market Bloom This Spring

Will the Housing Market Bloom This Spring?Spring is almost here, and many are wondering what it will bring for the housing market. Even though the pandemic continues on, it’s certain to be very

Read More