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Part year, including all the associated forms associated.
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Jun 27, 2011 04:17
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sklnd posted:Part year, including all the associated forms associated. Then it's probably just a processing error, perhaps the w-2got separated from the return. I know that ca can sometimes be dicks about giving credit for withholding if you don't provide all the information on the return that they require, even if their own systems show the withholding from the employer's payroll tax filings!
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Jun 27, 2011 04:59
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furushotakeru posted:I know that ca can sometimes be dicks That sounds like an improvement.
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Jun 27, 2011 05:37
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Missing Donut posted:You figured it out. You cracked the code. In his defense, I hear that all the time from my clients. I have quite a few that demand extensions based on this and file in October every year.
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Jun 27, 2011 17:09
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AbbiTheDog posted:In his defense, I hear that all the time from my clients. I have quite a few that demand extensions based on this and file in October every year. I'm sure the IRS doesn't mind. Gives them six extra months on the back end to audit the return and lets them space out their return processing resources some.
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Jun 27, 2011 19:20
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furushotakeru posted:I'm sure the IRS doesn't mind. Gives them six extra months on the back end to audit the return and lets them space out their return processing resources some. All the audits we see push the three year time limit. Are they faster down south?
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Jun 27, 2011 21:45
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AbbiTheDog posted:All the audits we see push the three year time limit. Are they faster down south? They typically target the middle year and then branch out if they find something. So they might pick 2009 and then expand to 2008 and 2010 if they find an error that they think might be recurring, such as lack of documentation to substantiate auto use, etc.(not that any of my clients would have any trouble documenting every business use mile they deducted of course). So if it goes back to the third year prior then yes they often push past the 3 year SOL and then they hold a gun to the taxpayer's head and make them sign consent to extend the statute.
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Jun 27, 2011 21:57
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furushotakeru posted:Then it's probably just a processing error, perhaps the w-2got separated from the return. I know that ca can sometimes be dicks about giving credit for withholding if you don't provide all the information on the return that they require, even if their own systems show the withholding from the employer's payroll tax filings! I filled out a protest via CO DOR's Revenue Online site, as my confirmation email arrived this morning. The site is actually kind of neat, except for the part where its entirely Silverlight 4 and has usability issues. It lets you look through your 'account' information and check up on filings and whatnot. I looked at the filing it has for me for 2010, and what it lists is machine filled out, differs from the return I filed by the lines that note W-2 withholding, and its missing a few forms I had to fill out. I found that pretty interesting. Anyway, I put in the protest with a scan of my W-2 which lists withheld wages, and an a few sentences noting the situation. I hope that's enough to get this settled without further hassle. My return (beyond a few extra forms thanks to being a part-year resident and having a HSA that was not contributed to while I was employed in Colorado) is very simple, so I would expect it to not be rocket surgery.
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Jun 28, 2011 03:22
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furushotakeru posted:They typically target the middle year and then branch out if they find something. So they might pick 2009 and then expand to 2008 and 2010 if they find an error that they think might be recurring, such as lack of documentation to substantiate auto use, etc.(not that any of my clients would have any trouble documenting every business use mile they deducted of course). We are told coming onboard that the quickest way out the door is to blow a statute. You generally won't see an agent pick up a tax year for exam that has less than 7-8 months (if that) on the statute due to this, unless there is going to be a substantial dollar amount or compliance effect. Also that thing about the timely filed (non-extended due date) returns is completely false. edit: \/\/\/\/ Or is it? 
heated game moment fucked around with this message at 00:15 on Jul 2, 2011 |
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Jun 30, 2011 23:34
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Cyrezar posted:Also that thing about the timely filed (non-extended due date) returns is completely false. That sounds like something we'd expect The Man to tell us.
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Jul 1, 2011 15:21
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So what's the consensus with money made from trading bitcoins for USD?
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Jul 2, 2011 21:49
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Pizer posted:So what's the consensus with money made from trading bitcoins for USD? I am eagerly waiting for this to become an audit issue. I'd imagine it would just get reported on Schedule D for most individuals. Better keep track of that basis!
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Jul 3, 2011 01:36
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Cyrezar posted:I am eagerly waiting for this to become an audit issue. I'd imagine it would just get reported on Schedule D for most individuals. Better keep track of that basis! I guess people who got in early and cashed out thousands are going to be obvious targets though
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Jul 3, 2011 21:27
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An English relative left money for me in a fund to which I gained access on my 25th birthday. It's about 7,100 pounds, roughly $11,000 right now according to google. * If I withdraw the money from that account and have it sent to a US account, what can I expect on my taxes this year? Will it result in UK taxes as well? I can do it in separate installments over a couple of years if that would help. * If I don't withdraw it and leave it where it is, will it affect my US taxes at all? * If I withdraw it and put it in another UK fund (I'm a dual citizen so I can probably do this), will it affect my US taxes? Will I be responsible for UK taxes? The account is tax free in the UK I think, but I don't know if that counts for withdrawal. (This isn't the thread for this part, but I'm also not sure what makes the most financial sense. I don't have any plans to live in England so my only reasons to keep it there would be taxes, investment possibilities, conversion rates, or some combination of those. Oh, and about the US' future. But even if we plunge into dystopia, the UK probably wouldn't be much better off.)
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Jul 5, 2011 16:47
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Eggplant Wizard posted:An English relative left money for me in a fund to which I gained access on my 25th birthday. It's about 7,100 pounds, roughly $11,000 right now according to google. Maybe someone else can take a crack at it, but your questions are probably outside the scope of what is possible in this thread. You may owe taxes on some of this £7100. It depends what assets it is invested in, and if it has gone up or down since the death of your relative. Generally you owe taxes only on the profit and if it has gone down in value you may get tax benefits from the loss. I have zero knowledge of how this will be treated according to the UK tax code, but you may get a credit on your US taxes if some of this is taxed in the UK. As for what to do with it, I would say it largely depends on where you are now. If you have any debt, I would put it towards that first, and if anything is left over add it to your emergency fund so you have 3 to 6 months of expenses set aside. Anything over that I would put into a Roth IRA assuming you have wage income. Either way I would convert it to $ because overall it will way simplify your tax situation not to have foreign bank accounts and since all your expenses are in dollars, you want to have your assets in $.
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Jul 5, 2011 17:28
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Eggplant Wizard posted:An English relative left money for me in a fund to which I gained access on my 25th birthday. It's about 7,100 pounds, roughly $11,000 right now according to google. The inheritance itself is not taxable, but any income earned on the funds is taxable to the US, with proper credit given for any income taxes paid to the UK government. Whether you take it out of the account and repatriate the money to the US or not is not relevant. You do need to make sure to send in a TDF 90-22.1 each year though to report the foreign account since it has more than $10K USD in it. The report is due by June 30 each year.
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Jul 5, 2011 17:40
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furushotakeru posted:The inheritance itself is not taxable, but any income earned on the funds is taxable to the US, with proper credit given for any income taxes paid to the UK government. Whether you take it out of the account and repatriate the money to the US or not is not relevant. Thank you. I called the IRS helpline to confirm and they said pretty much the same thing (but less clearly). As for the TDF form... I was barely 25 by June 30, and now I am planning to close out the account, so I think I probably won't worry about it. Thanks to you & Zeta both 
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Jul 5, 2011 19:20
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Penalties for willful failure to file an FBAR start at the greater of $10k or half the account balance. Enforcement actions in this area have been aggressive. This is not one to blow off, I assure you. http://blog.pappastax.com/index.php/2010/10/20/19508/
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Jul 5, 2011 21:02
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scribe jones posted:Penalties for willful failure to file an FBAR start at the greater of $10k or half the account balance. Enforcement actions in this area have been aggressive. This is not one to blow off, I assure you. http://blog.pappastax.com/index.php/2010/10/20/19508/ Okay, then, what do I do? I wasn't in possession of it till my birthday in mid-June, so I kinda missed that deadline. Just fill it out and turn it in late? According to the blog you linked, that's inviting a late penalty. What the hell. edit: Okay, nevermind, looks like it's due by June 30 of the year following my gaining access to it. Guess I can put it off till I actually get the account info (which will also be when I close it. Bah.). Thanks for the kick in the rear end.
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Jul 5, 2011 23:12
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Yeah you'll file in 2012 since you had the account in 2011. Glad to help
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Jul 5, 2011 23:59
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Missing Donut posted:You figured it out. You cracked the code. Thank you for your kind advice. You help was worth every penny. (USER WAS PUT ON PROBATION FOR THIS POST)
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Jul 6, 2011 16:51
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If i was getting paid under the table could i fill out a replacement w2 with my earnings and file a tax return for 2009? Im getting requests for it because the BSIS in California says i was self employed and estimated i earned 28k in 09 when i only made around 5k. I was mostly unemployed and moved back home with my mother and would only work around 12 hours a week for a security company.
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Jul 8, 2011 05:28
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sklnd posted:Anyway, I put in the protest with a scan of my W-2 which lists withheld wages, and an a few sentences noting the situation. I hope that's enough to get this settled without further hassle. The online protest fixed things already. A direct deposit of the amount I was due on my return showed up, and the web portal shows my account with the state has a balance of $0.00. The system works?! That also proves they had my return, since it direct deposited. Guess either somebody messed up or my W-2 got separated.
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Jul 9, 2011 19:41
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Pfffffffffft posted:If i was getting paid under the table could i fill out a replacement w2 with my earnings and file a tax return for 2009? Im getting requests for it because the BSIS in California says i was self employed and estimated i earned 28k in 09 when i only made around 5k. I was mostly unemployed and moved back home with my mother and would only work around 12 hours a week for a security company. No need to do a W-2, just fill out schedules C/SE on your 1040 and file it with your income/expenses.
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Jul 11, 2011 16:39
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Now that it is no longer tax season, I hope this question isn't too broad: I just got married, and my wife is a student making nearly nothing. There are some tax credits (savers credit) that reward you for contributing to an IRA or retirement fund BUT they require that you not be a student. If one of us is a student and the other is not, how does this work? Also, any tax credits or benefits of being married that I would need to watch out for? Thanks!
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Jul 11, 2011 21:53
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AbbiTheDog posted:No need to do a W-2, just fill out schedules C/SE on your 1040 and file it with your income/expenses. It's a state not federal request, would it be the same on a 540?
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Jul 11, 2011 21:56
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Pfffffffffft posted:It's a state not federal request, would it be the same on a 540? If you file a state return like that they will require that you attach a copy of your federal return, so yes.
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Jul 11, 2011 21:57
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kaishek posted:Now that it is no longer tax season, I hope this question isn't too broad: You should be able to claim the saver's credit if you otherwise qualify, but your wife cannot. You can still elect to make a spousal IRA contribution if you have enough earned income to qualify, but she cannot claim the saver's credit. If you are working and she is not, you should see a big tax break by filing jointly since the lower tax brackets (10, 15, and I think 25%) are doubled up for joint filers. That means that if a single person would pay 10% on the first $10,000 they earn, a joint return will charge 10% on the first $20,000, etc. I am just making numbers up to illustrate, you can look up tax brackets on your own if you are interested in the specifics. You will also get to claim her exemption deduction and the standard deduction for a joint return is twice that of a single one.
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Jul 11, 2011 22:04
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Nice, thanks Furo. Lick my married balls, government (just kidding, I love you government).
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Jul 12, 2011 01:32
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This just in, Cyrezar nonchalantly and completely coincidentally pays a visit to Kaishek's house. Leaves a business card and an IDR.
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Jul 12, 2011 06:16
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furushotakeru posted:If you file a state return like that they will require that you attach a copy of your federal return, so yes. It's California, so prepare yourself for three years of letter writing, levy threats, and hassle.
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Jul 12, 2011 16:40
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furushotakeru posted:and an IDR.
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Jul 13, 2011 13:58
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Small White Dragon posted:Should us lowly folks recognize this term? I didn't but from his (har har) joke I get that it is an audit document =P.
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Jul 13, 2011 14:21
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It was meant as a sort of inside joke for the professionals in the thread. IDR = Information Document Request, which is, as Kaishek surmised, an audit document. It's what auditors use to let taxpayers know what records are being
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Jul 13, 2011 15:54
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(Apologies for my sheer ignorance - I've read quite a bit of the thread and looked things up on my own, and I'm not expecting to be spoon-fed an answer, but if anyone can point me in the right direction so I can better help myself, I'd appreciate it. I'll pay someone to figure this out if I have to, but it really seems like something I should be able to sort out myself.) I just got my first salaried job, hooray. I am single, this is my only job, and I have no dependents, and I indicated as much when I filled out paperwork with HR - no extra exemptions. Now, what's being withheld seems excessive, and I don't understand why or how to adjust it without being stuck owing money later on. The FIT taken out this pay period was 24.8% of my gross (excluding the amount deducted for Med./SS). According to the tax tables (or what I can make of them), annually, I should be paying closer to 14% (that's for a full year at my salary - I started the job mid-year, though I don't know whether that makes a difference here). Ran my information through the IRS withholding calculator, which said I should be claiming 6 exemptions and paying next to nothing this year, which doesn't seem anywhere close to right either, though on the opposite end of the spectrum. Any suggestions on how to fix this - if it indeed needs fixing - would be hugely appreciated. Obviously, I have a poor understanding of exemptions and who can claim them and how many and why. (Prior to asking a friend about this I honestly didn't know that it was possible for me to claim additional ones without having proof of a "legitimate" reason to do so.) But it seems that if the current withholding is going to come out to so much more than I'll actually have to pay, it would be fairly safe to add a few exemptions to even things out... I really don't want to owe later on, which is why I'm being so cautions. For the record, I'm only sweating this because the salary is very small, and it's not going far with so much taken out for taxes and my fiance still job-hunting since we moved out of state so I could take this job. We can use every extra cent we can get right now, so I don't want to pay more than I need to in order to avoid owing.
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Jul 14, 2011 20:51
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How are you possibly claiming six exemptions when you're single with no dependents? What is the IRS calculator listing as your six exemptions? That said, 25% FIT is excessive for a half year job with a salary that is 'very small'. 5-10% is likely more realistic, if that, but it's hard to say without actual numbers.
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Jul 14, 2011 21:05
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I don't have a very high opinion of the IRS withholding calculator tool, but it may not be as far off as you think. The withholding tables assume a full year of earnings but this year you will only have income for 1/2 year from this job. If you did not have much income for the rest of the year you may not need a lot of withholding. Example, if your salary is $24,000 per year, your taxable income would be $24K - $5,700 standard deduction - $3,750 exemptions = $14,550 and your tax would be $1,758. If you worked that same salary for only 1/2 the year your taxable income would be $2,550 and your income tax would be $255. 50% of the income but only 15% of the tax! The withholding tables are quite dumb and don't have any mechanism to factor in when in the year the paycheck is being issued or what your year to date income is. The main thing to remember is to change your withholding rate back to Single with 1 or 2 exemptions next January so you don't end up under-withholding for 2012.
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Jul 14, 2011 21:13
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Admiral101 posted:How are you possibly claiming six exemptions when you're single with no dependents? What is the IRS calculator listing as your six exemptions? That's exactly what I was wondering! Unfortunately I can't answer your question since I closed the window and gave up, sorry. But yeah, I did not recall putting anything in that would have made it spit out any 6 exemptions. Furushotakeru - thanks very much. My salary is around $35,000 and I was doing temp work for about half my current income for first 5 months of this year, so, yes, hopefully the tax shouldn't come out to what it would for a full year at my current salary. The breakdown for my last check, since Admiral asked about numbers, was: $1,644.80 gross $92.93 = FICA (Med = $24.85, SS = $69.08) $409.82 = FIT $131.00 = Maine state tax (which also seems crazy high) $109.37 = Deductions for retirement, eye care - those are fine, I like those. ...okay, that's all I've got! Many thanks, I can't tell you how (obviously) confusing this is for me. (edit: it's a 10-month/year job, for anyone who picked up on the fact that 2x$1600 x 12 does not come out to 35k.) VVV Admiral101 that makes so much more sense. Thank you! Time to go look at some pay stubs... Ionic fucked around with this message at 21:36 on Jul 14, 2011 |
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Jul 14, 2011 21:21
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Assuming you earn 17,500 for the second half of 2011, and you earned 8,750 through temp work in the first 5 months: Your taxable income = 8750+17500-5700-3750 = 16800 If this is your only income, and you won't be officially married before the end of the year (you mentioned a fiance), you will have roughly $2100 in tax liability. How much you should have withheld in your new job depends on how much was withheld from your previous temp job.
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Jul 14, 2011 21:30
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furushotakeru posted:It was meant as a sort of inside joke for the professionals in the thread. IDR = Information Document Request, which is, as Kaishek surmised, an audit document. It's what auditors use to let taxpayers know what records are being Only the nerds snickered at that one.
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Jul 14, 2011 23:21
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