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The Lays, therefore, properly reported the transaction on their Federal income tax return as a sale of the two annuity contracts.
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Prosecutors say they found a memo showing that in 2008, the Marzotto family members sought the advice of a tax lawyer, who advised them to file an Italian tax return on the sale, which they didn't do.
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In the present case, Allen County sent both of the tax sale notices at issue by certified mail, return receipt requested, to the address listed in the mortgage document and to another local address.
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To claim the benefit of his cost basis in the securities sold and the foreign tax credit, he will have to prepare and file a U.S. income tax return for the year of the sale.
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If the expatriate does not file a U.S. income tax return for the year of the sale, the IRS will issue a notice of deficiency to him at his last known address for income tax on the gross sale proceeds.
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Self-assessment involves completing a tax return in order to tell the HMRC about income and capital gains - profits on the sale of certain assets - or to claim tax allowances or reliefs against your tax bill.
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