July 11, 2013
D EAR HARRY : A few years ago, we moved to an apartment and rented out our home. We always reported the rent on our tax returns, and we deducted our expenses. My wife got tired of being a landlord because of the problems of neglect by tenants, as well as vacancies. As a result, we sold the property in 2011 for $42,000 more than we paid. We reported the gain on our 1040. Recently, we were notified by the IRS that they wanted to review our return for 2011. The examiner told us that we had to report the gain based on some lower cost because of depreciation.
April 18, 2013 |
The cost of owning and operating a car has gone up again - to $9,122 a year for a fully insured sedan driven 15,000 miles, according to AAA. Surprisingly, gas prices were not the biggest culprit in the rise from 2012 to 2013. Blame maintenance and repairs cost for an extra $75, gas for about $40 of the overall hike of about $175. Insurance and depreciation accounted for the rest. In total dollars, depreciation, or decline in a car's resale value, was the largest cost.
February 17, 2010 |
On new-car lots, they're the shoppers who don't get a rush from what's under the hood. That's assuming they even venture onto lots that offer anything not pre-owned. They are economists, finance professors, and accountants - numbers professionals who, by nature, are analytical, not impulsive. To them, a car is something that gets you from one place to another. The cheaper it comes, and the bigger the gas mileage, the better. Extras? Get real. As American consumers engage in collective hand-wringing over whether to buy new wheels now, amid a pileup of uncertain economic conditions and auto recalls, here is a glimpse into the car-buying philosophies and practices of some of the region's fiscal conservatives.
December 17, 2004 |
In the latest installment of its shrinking act, Cigna Corp. is selling paintings and giving away museum pieces acquired in eras when corporate America could afford to reflect on its legacy. The Philadelphia insurer sold 51 paintings in an auction Wednesday at Sotheby's in New York, the second in a series of sales to be held this year and next. Cigna plans to donate other paintings and its historical collections to museums here and in Washington and Hartford, Conn. Cigna is rebuilding its health-insurance business after a series of layoffs and divestitures.
July 28, 2004 |
GlaxoSmithKline P.L.C. reported a 13 percent decline in second-quarter profit, dragged down by generic competition for one of its top-selling drugs, the antidepressant Paxil, and depreciation of the U.S. dollar against foreign currencies. The results, however, were better than analysts had expected. London-based Glaxo, which releases its financial results in British pounds, said yesterday that net income fell to 1.16 billion pounds, which is $2.09 billion, from 1.33 billion pounds, which is the equivalent of $2.15 billion, in the second quarter last year.
April 29, 1997 |
Peco Energy reported a 25 percent drop in first-quarter earnings yesterday, citing warm weather, the continued shutdown of the Salem nuclear plant, and accelerated depreciation of the Limerick nuclear plant. Peco reported net income of $113 million, or 49 cents per share, for the quarter that ended March 31, down from $150 million, or 65 cents per share, from a year earlier. Decreased heating demand and the accelerated depreciation of Limerick, a response to the coming of electric competition, cost 6 cents a share.
November 7, 1995 |
The state Supreme Court has upheld a lower court ruling that will force West Deptford to refund $4.4 million in overpaid taxes to its largest taxpayer, the Coastal Eagle Point Oil Co. Despite the township's request, the state's highest court decided not to hear the case, letting stand a unanimous Appellate Court decision that West Deptford had overcharged Coastal for taxes during three years in the 1980s. The Appellate Court's decision in favor of Coastal was not unusual. In 1993 and 1994 alone, municipalities in Burlington, Camden and Gloucester Counties were told to return million of dollars in taxes on business properties.
September 9, 1995 |
A federal appeals court in Philadelphia yesterday issued an opinion that will be music to the ears of professional musicians throughout the country - but not very pleasing to the Internal Revenue Service. The unanimous three-judge panel of the U.S. 3rd Circuit Court of Appeals ruled that valuable musical instruments can be depreciated for tax purposes "when used as a tool of the trade" even if their value to collectors increases over time. The ruling stems from a tax dispute filed by string bass player Brian P. Liddle, a former Philadelphia musician who now plays with the Minnesota Symphony.
March 9, 1995 |
In an effort to pull out of an ailing investment, the supervisors have liquidated part of a stake from the police pension fund that has been tied up in shares of a limited partnership since the 1980s. Although the township has put aside roughly $400,000 in dividends from the investment over the years, the shares have been steadily depreciating in value. The total investment was originally worth a total of $1.6 million, but if sold today it would be worth $600,000 less. At their meeting last week, the supervisors voted unanimously to liquidate $100,000 worth of shares in the partnership - shares that have lost $80,000 since in 1988.
September 23, 1993 |
Last spring, Bob Brennan rather emphatically said he was selling Garden State Park, no matter what. Over the next several months, Brennan, the board chairman of International Thoroughbred Breeders Inc., the track's parent company, entertained a number of offers. But in the end, Brennan and his board of directors decided that ITB's best plan was to continue to operate the race track, develop unused portions of the property and reorganize the company in such a way that its economic advantages, such as an approximately $155 million carry-forward tax loss, are best utilized.