You will need to.Originally posted by: Qacer
Crap! I should have sent in my return later than expected. I got a W-2 from a company that I worked for in 2006. My last day was sometime in December 2006. I didn't realize that they paid me in 2007. I just got the W-2 ($60 in wages). So, I filled out a 1040x (?) and I'm getting ready to submit it. Then, Sharebuilder tells me that my 1099-DIV has been corrected. Good thing I didn't mail in the 1040x, yet.
Just out of curiosity, is it possible to send in another 1040x if you already sent one just a few days prior?
E-File for direct deposit of the refund usually takes 2 FridaysOriginally posted by: jds2006
I have a question about the e-file tax cycle. I'm looking at an e-file refund cycle chart right now, and it says that if I submit my refund between now and the 6th that I'll receive my refund through direct deposit by March 14th. Is this just an estimate and is it possible that it might come in later than the 14th?
Originally posted by: Caveman
3 questions:
1) At what point is a bank required to send out a 1099? I don't remember getting one...
I only had $6.85 total interest this year. Is that why? For this small amount, am I even supposed to report it?
2) I sold a house that I'd lived in for more than 5 years. Can I claim all of the seller paid closing costs such as the 6% realtors fee, builder's warranty, etc, or is that simply used to figure my cost basis for "income" on the sale of a house? My "out of pocket" expenses were about $2300, even though I actually had to ante up $13k as part of the deal.
3) Closing costs on a new home purchase were not paid out of pocket, but rather "rolled into the purchase price of the home". Can any of this be deducted or is it just "lost" as far as deductions are concerned?
Originally posted by: Exterous
Gentlemen:
First, let me thank you guys for the hard work on this wonderful resource!
Second, I have some questions about deductions
1. I use my personal cell phone for work purposes. Communication between work and me via my phone accounts for more than 50% of my minutes/txt messages used (I had to up my minutes when this started). Can I deduct part or all of my cell phone bill? (I have kept the records in case)
2. Slightly after we started doing home theater and tv installations I purchased new speakers, tools, cables and receivers for personal use. The company offered little formal education and relied on personal experience to offer their service. I have been told that since hooking up my system was more training than I got from my job (and I did actually learn useful things for work) that I could deduct the purchase from my taxes as well. Is this true?
3. Work requires a certain attire which includes dress pants. I destroy about 5 pairs of dress pants a year on the job (nail in a crawl space here, snagged on a 2x4 there). Does this count as a Work Uniform deduction?
Hopefully these questions have not been asked before (I skimmed some of the pages looking for them) and if they have been I apologize.
Thanks again guys!
Originally posted by: pinoy
First off: Kudos to you guys for all the help you give.
Situation: My mother in-law (not a US citizen) was hospitalized last year and my wife shouldered 90% of hospital bills/prescription drugs and continously support her mom for other medical expenses. The said help was given to her through my wife's sister.
Question: My wife's mom does not have SSN, so we cannot claim her as one of our dependents. Is there a way where we can claim at least a small part of the medical assistance my wife gives to her? Obtaining proofs (i.e., bank records, hospital bills, prescription medicine receipts, etc.), I'm sure won't be a problem.
What do you think? Thanks in advance.
Gary
Originally posted by: puffpio
1040-ES prepayment question
So I filed my 2007 taxes and ended up owing like $1600 federal (product of getting married in 2007). I did it with Turbotax and they said for 2008 I would need to prepay because I would prolly owe that much next year
I have since changed my exemptions to match reality, do I still need to prepay? What determines if I will get penalized for not prepaying?
I'd rather not prepay and just owe whatever I owe at the end
The SE tax is roughly 15% of the income which is ~5K difference.Originally posted by: paulney
I just finished calculating the taxes, and am looking at the bottom line review in Turbotax - comparison to previous year. The difference in taxable income is 35k, however, the income tax has jumped from 10k to 19k, and the self-employment tax has jumped from 1.3k to 6.6k!!! Doesn't look right to me: such a dramatic rise over the change of 35k. I was expecting to pay around 4-6k for the change, but TT is telling me it's going to be around 15k.
Does that seem right?
Thank you.
Originally posted by: Qacer
My cousin came over yesterday and had a curious look on his face regarding his tax deductions. I told him we can search for the answer on Google, but we still had some questions. Here's the scenario:
If someone takes home $2700 every other week, is married with no children, and with no other deduction in mind, how much taxes would come out of his paycheck?
I was playing with this calculator: http://www.finance.cch.com/sohoApplets/Payroll.asp and it seems to give me a lower value on taxes. I just put in 7% for his 401k and zero all the other fields since Florida doesn't have any state taxes. With his gross pay of $2700, he sees about $1900 per paycheck.
Also, how can he maximize his tax deductions, so the IRS does not take more money than needed? His wife makes about $28k a year, and they're just bumming off my uncle's house, so they really don't have any mortgage payments. They still have to help out with some monthly bills, but that's about it. They don't have kids, so they can't take any deductions for that.
From NATP's weekly e-mail newsletter:
* * IRS Issues Guidance on Qualifying Relative Definition * *
The IRS has issued Notice 2008-05 clarifying the definition of a qualifying relative for purposes of claiming a dependency exemption. In general, to be considered a qualifying relative of a taxpayer, the individual cannot be a qualifying child of any other taxpayer. The IRS has clarified the definition of "any other taxpayer" (such as a parent) to exclude persons who are not required to file a tax return and do not file a tax return, or only do so to claim a refund of withheld tax.
This ruling is a major shift from what we have come to understand in the way of claiming dependency exemptions. One of the most common instances of this situation involves a taxpayer who lives with another person for the entire year and that person has a child who is not the taxpayer's child. Assume that the child's parent does not work and the taxpayer provides over half the support for both the child and the child's parent. This ruling clarifies that the taxpayer is eligible to file as head of household, claim the child tax credit, and the dependency exemption.
Prior to this clarification, it was widely understood that in this situation, the taxpayer was not entitled to the dependency exemption, the head of household filing status or the dependency exemption because the child was the qualifying child of the parent, and thus could not be the qualifying relative of the taxpayer.
Originally posted by: Ns1
Hey EK-
check this out, re: qualified relative/qualified child
From NATP's weekly e-mail newsletter:
* * IRS Issues Guidance on Qualifying Relative Definition * *
The IRS has issued Notice 2008-05 clarifying the definition of a qualifying relative for purposes of claiming a dependency exemption. In general, to be considered a qualifying relative of a taxpayer, the individual cannot be a qualifying child of any other taxpayer. The IRS has clarified the definition of "any other taxpayer" (such as a parent) to exclude persons who are not required to file a tax return and do not file a tax return, or only do so to claim a refund of withheld tax.
This ruling is a major shift from what we have come to understand in the way of claiming dependency exemptions. One of the most common instances of this situation involves a taxpayer who lives with another person for the entire year and that person has a child who is not the taxpayer's child. Assume that the child's parent does not work and the taxpayer provides over half the support for both the child and the child's parent. This ruling clarifies that the taxpayer is eligible to file as head of household, claim the child tax credit, and the dependency exemption.
Prior to this clarification, it was widely understood that in this situation, the taxpayer was not entitled to the dependency exemption, the head of household filing status or the dependency exemption because the child was the qualifying child of the parent, and thus could not be the qualifying relative of the taxpayer.
Seems like this is for EIC purposes only and not for HOH
discussion
text
Originally posted by: Schfifty Five
Simple question here:
How many exemptions should I have on my w4?
I am single, not head of household, 1 job, no kids.
I put 1 for line A - "no one can claim me as dependent" and also a 1 for line B - "single / 1 job".
Is that correct? I told this to someone and they said for my status (single, no kids, 1 job, not HofHH) I should only have 1 exemption.
Thanks.
Originally posted by: Qacer
I was reading some more about taxes and found a question that I wanted a confirmation.
If you contribute money to a 401(k), do you fill out the W-4 using your salary minus your 401(k) contributions as the basis for your wage?
Originally posted by: Linflas
If I sold a stock that after fees and commissions I come up negative do I show it as the negative amount or just 0 on my return? In otherwords the stock cost me more to sell with the fees than it was worth in total.
You are safe in mailing the 8453-OL in late.Originally posted by: episodic
Filing with free file. It says when I was done to print out form 8453-0L which I do - when I print it out the first 2 pages are stamped do not file, the next 2 pages are 2007 Federal Tax Return Filing Instructions, and the last page says US Individual Income Tax Declaration for an IRS e-file online return. Do I send ALL those pages with the money order to pay my taxes? The tax program says print it out and mail it in. It does not say to cherry pick through the docs. I'm clueless.
Finally, I just saw that you are supposed to mail the return within 48 hours of e-filing - gasp, it's been almost 2 weeks, I took a vacation since then. Is the really a problem? If so what do I do?
I owe over 1000 dollars. My wife picked up 3 money orders, 2 for 500, and the third for the balance - will this be a problem?
TIA