People are aware that the new ANCHOR property tax payouts are not taxed by New Jersey, but are interested in knowing whether their ANCHOR property tax payouts will be taxed on their federal tax return.
Karu explained, The ANCHOR funds are a reduction of your real estate taxes. The ANCHOR payment will not be shown as income.
Karu continued For example, if your real estate taxes are $12,500 and you received $500 as the ANCHOR payment, you would reduce the real estate tax deduction by the ANCHOR amount, resulting in $12,000, he said. Since the federal limit for SALT State and Local Taxes is limited to $10,000, in this example, it would have no effect.
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To speak with and/or set up an interview with Michael Karu, please contact Amy Delman, Amy Delman Public Relations, LLC, 201.563.4614 or amydelmanpr ( @ ) verizon dot net dot
Michael H. Karu, CPA/CFF, is a senior member of Levine, Jacobs & Company, LLC, a Livingston-based accounting and consulting firm. He is qualified by the Superior Court of New Jersey, Family Part, as an expert witness and as an authority on business valuations, specifically for closely held or family-owned businesses. Additionally, he is a Certified Divorce Mediator and is Certified in Financial Forensics.
Karu received his B.S. degree in Business Administration from The Ohio State University and holds professional memberships in the American Institute of Certified Public Accountants, the AICPA Tax Division and the AICPA Business Valuation, Forensics and Litigation Services Section, as well as the NJ State Society of CPAs. Karu is a published author of numerous articles seen in trade and consumer publications and has been a guest on radio and television shows.
Levine, Jacobs & Company, L.L.C. maintains memberships in the American Institute of Certified Public Accountants and the New Jersey Society of Certified Public Accountants. The firm prides itself on its teamwork abilities where every account receives the talent and expertise of the whole firm.
Amy Delman Public Relations, LLC
amydelmanpr ( @ ) verizon dot net