Q. My husband and I want to remodel our kitchen and would like to plan for the time and costs. How long did your kitchen remodel take and were there unexpected expenses you hadn't counted for that came up? Were you happy with the outcome of the kitchen based on what you spent?
A. It took 3 months..... we did it ourselves and it cost 27,000$ Canadian....
Unexpected expenses: wiring that was no longer any good, having to buy more tiles, redoing the floor base to make it smooth for the new tiles (because pulling up the old ones ruined the floor underneath) and having to make a new countertop instead of just being able to relaminate the old one (the wood underneath the old laminate was rotting).
Yes... very happy with the outcome! We have just sold the house... paid it 133 500.00$ just over 5 years ago.... just sold it for 279 500.00$... I'd say that definitely covers the cost of the kitchen renovation!
Unexpected expenses: wiring that was no longer any good, having to buy more tiles, redoing the floor base to make it smooth for the new tiles (because pulling up the old ones ruined the floor underneath) and having to make a new countertop instead of just being able to relaminate the old one (the wood underneath the old laminate was rotting).
Yes... very happy with the outcome! We have just sold the house... paid it 133 500.00$ just over 5 years ago.... just sold it for 279 500.00$... I'd say that definitely covers the cost of the kitchen renovation!
Would white appliances go with dark kitchen cabinets (cherry color) and mahogany flooring?
Q. Kitchen remodel
A. Stainless steel is the best...i sell alot of those at work and when you try to sell your home it would sell faster because of the finish of your appliances.
We may be on a home remodelling show. Will we have to pay gift tax?
Q. Our family may be appearing on a kitchen remodelling show in the near future. Are we going to have to pay a gift tax on the portion of the remodelling we do not contribute financially to? For example, we contribute $5,000 towards a kitchen, and the TV network creates a kitchen worth $20,000. Will we owe taxes on the difference?
If it is claimed as income, is it claimed at the same percentage as my fulltime job?
If it is claimed as income, is it claimed at the same percentage as my fulltime job?
A. First of all, ignore the "rent" answer entirely....way off the mark.
Second, the recipient of a gift NEVER pays tax on the gift for federal income tax purposes. Allow me to repeat...NEVER! If Bill Gates gave you a billion dollars, you would owe the IRS zero dollars and zero cents income tax. Your state may be different.
So, you are probably thinking why people who were given cars on the Oprah Winfrey show had to pay tax. It is because they officially "won" the car. They were not given cars, they won cars. I am not very well versed on when exactly something is given or won, but I bet it has something to do with General Motors or someone who wanted to write-off the cost of the cars instead of eating them. You see, sometimes the giver of a gift pays a tax even if the recipient does not. If Bill Gates gave you $1 billion, he would end up paying an additional amount (nearly $500 million) in gift taxes to the IRS. This is different than income tax and has something to do with estate tax. Only the payer pays a gift tax (when the gift is excessive)*. The recipient of a gift never pays any federal tax. So, maybe to avoid a gift tax, or maybe to be able to write off the cars, they called them all prizes and not gifts.
Therefore, ask the show if the kitchen improvements are a gift or a prize. Believe me, the show knows more about this than I or anyone else on this board does. They've answered your question a million times before for other people.
Finally, if it turns out that you have to claim the "winnings", it is added to your income just as if you made that much in interest. Exactly what rate you will pay on that amount depends on how much other taxable income you have. If you are in the 25% marginal tax bracket already, then you will pay 25% of the winnings in federal income taxes. Of course, if the winnings cause your new, total, taxable income to go over into the next tax bracket, then the amount of winnings to get you to the threshold will be taxed at your marginal tax rate (25%) and the remainder will be taxed at your new tax rate (33%).
OK?
* Anytime someone gives more than $12,000 ($11,000 for 2005 and earlier) to a single person, they have to file a gift tax return. It is only after that person gives more than $1 million total to all recipients do they start to owe taxes. Therefore, if you gave me $12,000, you would not have to fill out any extra forms. If you gave me $13,000, even though you would have to file a gift tax return showing a gift of $1,000 ($13,000 - $12,000), you would owe nothing. Once your gift tax return lifetime total exceeded $1 million will you start to pay tax on your gifts. Of course, gifts to charitable organization are exempt from gift tax.
Second, the recipient of a gift NEVER pays tax on the gift for federal income tax purposes. Allow me to repeat...NEVER! If Bill Gates gave you a billion dollars, you would owe the IRS zero dollars and zero cents income tax. Your state may be different.
So, you are probably thinking why people who were given cars on the Oprah Winfrey show had to pay tax. It is because they officially "won" the car. They were not given cars, they won cars. I am not very well versed on when exactly something is given or won, but I bet it has something to do with General Motors or someone who wanted to write-off the cost of the cars instead of eating them. You see, sometimes the giver of a gift pays a tax even if the recipient does not. If Bill Gates gave you $1 billion, he would end up paying an additional amount (nearly $500 million) in gift taxes to the IRS. This is different than income tax and has something to do with estate tax. Only the payer pays a gift tax (when the gift is excessive)*. The recipient of a gift never pays any federal tax. So, maybe to avoid a gift tax, or maybe to be able to write off the cars, they called them all prizes and not gifts.
Therefore, ask the show if the kitchen improvements are a gift or a prize. Believe me, the show knows more about this than I or anyone else on this board does. They've answered your question a million times before for other people.
Finally, if it turns out that you have to claim the "winnings", it is added to your income just as if you made that much in interest. Exactly what rate you will pay on that amount depends on how much other taxable income you have. If you are in the 25% marginal tax bracket already, then you will pay 25% of the winnings in federal income taxes. Of course, if the winnings cause your new, total, taxable income to go over into the next tax bracket, then the amount of winnings to get you to the threshold will be taxed at your marginal tax rate (25%) and the remainder will be taxed at your new tax rate (33%).
OK?
* Anytime someone gives more than $12,000 ($11,000 for 2005 and earlier) to a single person, they have to file a gift tax return. It is only after that person gives more than $1 million total to all recipients do they start to owe taxes. Therefore, if you gave me $12,000, you would not have to fill out any extra forms. If you gave me $13,000, even though you would have to file a gift tax return showing a gift of $1,000 ($13,000 - $12,000), you would owe nothing. Once your gift tax return lifetime total exceeded $1 million will you start to pay tax on your gifts. Of course, gifts to charitable organization are exempt from gift tax.
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