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Admiral101 posted:Do you both work? OK cool, I'll check the local return to see if it's on there too. Thanks! Per the second question, because we moved explicitly for her job (I didn't have anything lined up right away when we got there), should we say that she paid all of the moving expenses? By saying that we split both, it's prompting both of us to put in employer info (Married Filing Jointly) and it doesn't seem right for me to claim it as pertaining to my job, since it wasn't a factor in our decision to move. C-Euro fucked around with this message at 14:05 on Jan 28, 2016 |
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Jan 28, 2016 13:59
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While not directly tax related I figured this might be the best place to ask: At work I receive my W2 digitally and physically. Why I'm not sure but since I'm remote they mail the physical one. I already submitted my taxes and was approved when they first started accepting returns however today I received my physical copy of my w2 in the mail. Upon inspection there's a huge hole in the side of the envelope and if you crack it open you can see all the required information you would need to submit my tax return as well as obtain my social security number. Should I be concerned about placing a credit freeze or anything like that on my account? I already have credit monitoring thanks to all the gently caress ups with credit cards and major retailers but not really sure what to do in this instance.
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Jan 28, 2016 15:52
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A simple 1040X Question....... I used TurboTax and filed my fiance's taxes for him on the 20th, (Accepted, still waiting for the review and then payment phase). Last night, he got an additional W2 from a short-term part time gig he worked. Oops. Going back into Turbotax for the 1040X shows he now owes them a check for just under $100. (His initial/anticipated refund is just under $900). I realized after Turbotax allowed me to print out the 1040X, that it was the old 2014 form still, (with the 'do not file' watermark), since they won't have the updates till mid-February. Am I correct in understanding that he just needs to wait for his direct deposit refund, and then sometime after mid-February he'll go back into TurboTax to add the new W2 and print the updated 1040X, sending his check and that to them at that time?
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Jan 28, 2016 18:14
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Xenoborg posted:Anyone familar with H&R Block's filing of state returns? I have a form for a credit it says to attach, but I don't see any way to. Their help has so far been no help, but I'll try again not in the middle of the night. If you mean the online software, can't really help there, but in the office at least there are certain forms we have to scan in and attach with our software, maybe it's something similar for the software version? Failing that, if you have an option to paper file instead of e-file, you can just do that and include a copy of the form with the return you mail in. spwrozek posted:If she isn't on the mortgage she can't claim an interest deduction though. At least that is my understanding. At least before they are married. Oh, right, he said she was just on the title? Yeah, that might complicate things, though I'm not sure how not being on both works since any mortgage by definition is secured by the home she has title to. I'd think you COULDN'T have a mortgage without the owners of the securing property all being in on it, how could you set up someone else's property rights to be taken away on a default without their consent? IANAL of course, but that seems like it should be an issue. C-Euro posted:OK cool, I'll check the local return to see if it's on there too. Thanks! Sounds like a software issue, there's no "splitting" you should be worrying about with filing jointly because the whole point of that status is that you and your spouse are treated as one legal entity for tax purposes (hence why you can't amend out of that status after the filing deadline because it would be impossible to split the legal liability). But federally the rule on time merely says you need to work at a new job for 39 weeks within a year following the move, not that you have to have a job already waiting when you move. So if you got your new job shortly after the move you would still qualify for a moving expenses deduction yourself, so splitting should still be legitimate. So, pick whichever option you want, putting all the expense on her or splitting it, both should be legit by my read. flyboi posted:While not directly tax related I figured this might be the best place to ask: I would definitely contact your credit monitoring service ASAP, it could be a harmless mail tear but given this is the time of year SSNs are flying out everywhere and those envelopes tend to be all too distinctive you shouldn't take the chance it wasn't deliberate. Unfortunately this actually is a relevant tax question since one of the things people can do with a stolen SSN is file a false tax return in your name. Make sure the return you filed with both the IRS AND any state returns went through OK and didn't get a reject because "social security number already used", if that happens there's a whole thing you have to go through to fix the issue with the IRS and/or states; look up Form 14039 for the IRS version or contact your state's Revenue department for more info. Or contact a professional, sadly enough we tend to have experience dealing with these things any more.
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Jan 28, 2016 19:15
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Madbullogna posted:A simple 1040X Question....... Honestly since you have to mail in a 1040X anyway, just get a copy of the current pdf from the IRS website and transfer your numbers/info over from the TurboTax form and mail that one without the watermark. Hell, I'm not entirely sure anybody actually cares about those watermarks with a mail in return anyway.
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Jan 28, 2016 19:19
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MadDogMike posted:Honestly since you have to mail in a 1040X anyway, just get a copy of the current pdf from the IRS website and transfer your numbers/info over from the TurboTax form and mail that one without the watermark. Hell, I'm not entirely sure anybody actually cares about those watermarks with a mail in return anyway. Makes sense, awesome. I'm assuming we should still wait to pop it in the mail until his refund is direct deposited though so as not to through a kink in anything?
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Jan 28, 2016 20:46
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MadDogMike posted:I would definitely contact your credit monitoring service ASAP, it could be a harmless mail tear but given this is the time of year SSNs are flying out everywhere and those envelopes tend to be all too distinctive you shouldn't take the chance it wasn't deliberate. Unfortunately this actually is a relevant tax question since one of the things people can do with a stolen SSN is file a false tax return in your name. Make sure the return you filed with both the IRS AND any state returns went through OK and didn't get a reject because "social security number already used", if that happens there's a whole thing you have to go through to fix the issue with the IRS and/or states; look up Form 14039 for the IRS version or contact your state's Revenue department for more info. Or contact a professional, sadly enough we tend to have experience dealing with these things any more. I only have to do federal return as there is no tax at the state level where I live. According to Turbo Tax the status says "Approved" and next step is to transfer to my bank account. Does that mean I'm in the clear or should I still be looking into this Form 14039?
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Jan 28, 2016 21:26
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C-Euro posted:OK cool, I'll check the local return to see if it's on there too. Thanks! You're filing MFJ. You are one taxpayer, not two. You as a married couple decided to move due to her work. You do not have the split the expenses. Tax authorities generally don't distinguish between spouses in that fashion.
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Jan 29, 2016 00:00
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Quick question about filing status. I am married, but my spouse and I have been separated for nearly 4 years. I don't know if that qualifies for "legally" separated or not (I'm in Maryland, he's in Texas), should I just play it safe and still file as MFS?
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Jan 29, 2016 01:19
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Night Danger Moose posted:Quick question about filing status. You are considered married even if you are living apart if you are not legally separated under a divorce decree. Do you have any dependents? You may be able to file as HoH instead of MFS if you meet certain tests.
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Jan 29, 2016 01:23
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sullat posted:You are considered married even if you are living apart if you are not legally separated under a divorce decree. Do you have any dependents? You may be able to file as HoH instead of MFS if you meet certain tests.
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Jan 29, 2016 01:26
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We are trying to close out our tax return (thanks for the moving expense advice) and run into one last snag- my wife's W-2 for her PA job (university postdoc) has no information in Boxes 1-11, but has info in 12 and 14-20. The fact that she has no reported Wages, Tips, other comp. in Box 1 is making TaxAct freak out and not let us file our return unless we delete that W-2. She is here on a F1 Visa, and a few minutes of searching say that her university is withholding a certain % automatically, but I don't think this precludes her from filing a tax return with her W-2 either. I feel like on a larger level (beyond simple software quirks) that simply not reporting this W-2 would be a huge no-no for a number of reasons. There are the aforementioned moving expenses (which require us to both be working here) and there's also the fact that there is actual printed information on her W-2, information that gets thrown out when TaxAct tells us to enter a number for Box 1 or delete the W-2 entirely. And making up a number to put in Box 1 seems like an even worse idea, unless I can Price Is Right it and record $1 there as a way of saying "this should actually be $0". Have any of you tax experts ever come across a W-2 with nothing in Box 1?
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Jan 29, 2016 05:02
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I had a retirement account from my previous job before I went back to school. They were going to roll it over into an IRA from at Millennium Trust, but I elected instead to roll it over into a Roth IRA at Vanguard. I got a check from them for the full vested amount, ~1.5k, made out to Vanguard. Mailed the check to Vanguard. Vanguard put it in a rollover traditional IRA, and then I re characterized it as a Roth IRA. The entire amount that was in the retirement account was paid out, nothing withheld, transferred to the traditionally IRA, then recharacterized to the Roth IRA. I got the check late last year, it cleared Vanguard early this year. TurboTax is asking how much I put into a traditional IRA, and how much I contributed this year . It says not to include roth contributions or roll overs. So I put the amount of the check from how much I contributed and that it was all this year. TurboTax then tells me this must be an error: "IRA Contributions Worksheet: Line 12 - Taxpayer's traditional IRA contributions for 2015 made in 2016 should not be more than zero." Basically, my questions are: Do I owe taxes on this? I thought I would based on it being a Roth IRA. Do I need to include the rollover from this previous retirement account into the ira? Can someone just recommend me a primer on retirement rollover / ira rollover tax consequences, etc? Been trying to figure out this out for a while now and just getting more lost.
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Jan 29, 2016 05:56
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Grem posted:Box 1 is empty, box 2 is 12,198, and box 7 is checked. The 20k would probably be for Pell grants and student loans, I suppose? Box 5 should include Pell grants and other grants and scholarships-it should NOT include student loans. Loans don't get reported because you have to pay them back. You'll need to get a copy of the student account statement to make sure that those numbers are accurate, and to see which expenses were actually paid in 2015. If the $20k doesn't include the GI benefit, then most of that is probably taxable income and you'd have to file. If it does include the GI benefit, then you'll have to compare the amounts to see what, if any of the $20k should be included on your return. Publication 970 explains that process.
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Jan 29, 2016 15:02
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alnilam posted:I'm soon going to buy a house for the first time. The mortgage will be in my name only, but the title will likely include my fiancee too. My question here is about splitting mortgage payments. Suppose the monthly payment is $1200, for this example. MadDogMike posted:Oh, right, he said she was just on the title? Yeah, that might complicate things, though I'm not sure how not being on both works since any mortgage by definition is secured by the home she has title to. I'd think you COULDN'T have a mortgage without the owners of the securing property all being in on it, how could you set up someone else's property rights to be taken away on a default without their consent? IANAL of course, but that seems like it should be an issue. In my state, and I suspect elsewhere as well, you definitely can have someone on the title but not on the mortgage-this commonly happens where one part of the couple has either a poor credit history or a large amount of debt and the other has income sufficient to support the loan. For mortgage interest deduction, if you itemize you can deduct the interest you pay on a loan secured by a house you have an ownership interest in. You don't have to be on the mortgage, you just have to be an owner of the property and pay the interest. The bank likely won't care whose checks they get as long as it's clearly marked which loan you are paying and the money is there. Check out Publication 17, starting around page 152. You can split the interest between you by each paying part of the mortgage. However, if the mortgage interest is there only reason one of you would itemize, you might find that it's better for one of you to deduct all the interest and itemize, while the other takes the standard deduction for their filing status.
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Jan 29, 2016 15:32
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flyboi posted:I only have to do federal return as there is no tax at the state level where I live. According to Turbo Tax the status says "Approved" and next step is to transfer to my bank account. Does that mean I'm in the clear or should I still be looking into this Form 14039? Nope, "Approved" in most e-file software I know means the IRS accepted the return OK, which wouldn't happen if they had a fake one. You're fine then, any fake returns filed will just bounce now since you have your real return taken by the IRS.
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Jan 29, 2016 17:35
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Madbullogna posted:Makes sense, awesome. I'm assuming we should still wait to pop it in the mail until his refund is direct deposited though so as not to through a kink in anything? Shouldn't matter honestly, if they get it processed before the original refund they'll just reduce the refund check by the appropriate amount, otherwise they'll send the full wrong amount and you just send a check for the excess back (or pay online at the IRS website). You're hardly the first to have to suddenly file an oops amendment immediately after filing, so if you beat when the refund will be deposited I imagine they should be able to update your account correctly. You don't have to send the actual payment in with the amendment form so long as you are paid up in full by April 15th (and trust me, the IRS is very good about taking payment  ).
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Jan 29, 2016 18:11
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I will probably be the umpteenth person to ask, but none of my friends or family are able to give me a good answer. When is it worthwhile to hire a tax guy instead of just using TurboTax? In 2015, my fiance and I purchased a house. We then got married a few months later. She switched jobs around the same time. We both have separate student loans, and I have an inordinate amount of debt (hooray being a doctor). I also have to pay Detroit city taxes; however, for four months out of the year, I did not work in Detroit. My wife and I will be filing separately.
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Jan 30, 2016 18:44
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Probably just use turbo tax. Fill it out MFS and MFJ to actually see what makes the most sense. Nothing you posted is at all complicated as far as taxes go.
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Jan 31, 2016 00:00
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I screwed up and put my mortgage interest under the personal property tax line instead of the mortgage interest line. It does not change my refund amount as they are both itemized deductions. Should I just wait and see if they care or submit a 1040x?
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Jan 31, 2016 14:58
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I can't seem to easily find info on this, which is probably just me being bad at searching. I remember for taxable investment accounts, there was a bunch of stuff I had to enter in come tax time. As of last year, all I have in investments is sitting in a Roth 403b account. I don't appear to have been sent information for taxes. Is this because these are tax-sheltered accounts and so I don't have to mark off gains/losses? Anything special I need to do on my taxes vs a basic no retirement account tax return? Or do I need to go track down additional documentation?
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Jan 31, 2016 16:41
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Amara posted:I can't seem to easily find info on this, which is probably just me being bad at searching. Aside from the tax software/tax form having a line for your total contributions for IRA or other retirement accounts, and yes or no to whether or not you have access to an employer sponsored plan, there is nothing special to do. Your W2 has everything you need.
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Jan 31, 2016 18:43
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Hi, I'm in a completely different tax situation than in previous years, so I'm kinda confused about some things. 1. I received a 1099-C from my old credit card company, discharging me from about $12,500 in credit card debt from my 20's when I was a financial disaster and was trying to keep up with medical debt and told them to gently caress off. Anyway, according to various articles/IRS pubs I have to claim this as income on my federal return. The only exclusion, from what I've read, are from a bankruptcy (never did one), you're home was foreclosed, etc... Is it true that I have to claim this as taxable income? Per the Exclusion insolvency worksheet here: https://www.irs.gov/publications/p4681/index.html#en_US_2015_publink100024659 I am not insolvent, so am I screwed? Having this on my income means I owe $950, not having it means I get a $900ish return because when I did the math on the federal withholding I didn't see this coming. 2. In 2015 I did a rollover from my old work 401K to a traditional IRA. I can't deduct that as an IRA contribution right? I also don't need to claim that as an IRA distribution, right? 3. I usually use HR Block's site to file, because I could file federal and state for free given my AGI was below their max, but I made more money this year than their limits. My return is pretty simple because I don't have enough to itemize, is there anywhere to file for free with an AGI of $95000ish? Thank you.
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Jan 31, 2016 20:43
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balancedbias posted:Aside from the tax software/tax form having a line for your total contributions for IRA or other retirement accounts, and yes or no to whether or not you have access to an employer sponsored plan, there is nothing special to do. Your W2 has everything you need. Awesome, thanks!
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Jan 31, 2016 20:54
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Risket posted:Hi, I'm in a completely different tax situation than in previous years, so I'm kinda confused about some things. 1. Yes, it is taxable income. You got $12500 in "stuff" (mostly interest and penalties, probably) and so it counts as income. 2. Rollover? It isn't a taxable event. 3. https://www.freefilefillableforms.com/#/fd
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Feb 1, 2016 01:40
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I've skimmed the past five-ish pages and can't find any info on this - any help would be very, very appreciated! For 2015 I have a month and a bit of income from when I was living in NZ at the start of the year, and four months of income for the US. My husband doesn't technically have any income. So my question is, how the hell do we file for this? As far as I can tell (I am so lost), my options are: 1. Married filing jointly, as a "Non Resident Spouse Treated as a Resident", and also filling in 2555 (Foreign Earned Income Exclusion) 2. Married filing separately (him not at all, I guess), as a "Dual Status Alien", not filling in the exclusion (or maybe?) It seems like filing jointly would be best, because we will get most of our tax back since I didn't work for half the year. But I've read some things that make it seem like I will be taxed on my NZ income if I do so? This isn't a whole lot of money or anything, so I don't think it is worth hiring an accountant for. I used to just log into the tax website and hit "okay" enough times until I got money in my bank account, it was so easy 
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Feb 1, 2016 03:16
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Residency Evil posted:Quick question: I have income from 3 jobs this year, one is 60k, one is 10k, and one is going to be about 25k, all with 1 exemption listed on my W4. On the bright side, I finally earned over $100k/year for the first time in my life. On the downside, I owe $4500 in taxes. There's no point in taking this to an accountant over using taxact right?
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Feb 2, 2016 01:32
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Risket posted:Hi, I'm in a completely different tax situation than in previous years, so I'm kinda confused about some things. Yep, if you aren't insolvent (i.e. have more debt than you have assets) the whole thing counts as income. Sucks, I know, but A. still beats paying $12,500 off and B. if they didn't write it that way people would likely cheese things by giving "loans" to people then canceling them so they didn't "count". Note insolvency applies for what your resources were ON THE DATE the debt was cancelled as listed on the 1099-C, so be sure you're using the numbers from that timeframe. Helped someone clear a lot of cancelled debt once because it happened right after a house fire, which obviously left them with about zero physical assets and a mortgage still on the place so they were WAY insolvent on that date. If you're uncertain this is one of the things worth bugging an accountant over. Residency Evil posted:On the bright side, I finally earned over $100k/year for the first time in my life. On the downside, I owe $4500 in taxes. Main reason to consider an accountant is if you think you might have missed something that would reduce your taxes, (as always I find the main flaw of self-prep tax software is the issue of thinking of everything to check by yourself), but you didn't mention much here that suggests such to me off-hand. Also, $100k+ income when single tends to put you over the limit of many credits anyway. On the other hand, depending on your state taxes it may be worth itemizing so look into that just in case (check the instructions for Schedule A for details what can be itemized there). The state taxes on that much money would be at least a good chunk of the filing single standard deduction in a lot of places. Also, reason for your 10k job withholding less is because the usual design is for the job to withhold as if it was your only job. Were you only working the 10k job you obviously would be dealing with much less tax. The whole drat system breaks down with multiple W-2s, which is why you had everybody trying to work out the math and why I utterly despise trying to play with W-4s to get withholding right in these cases honestly, it's never very intuitive.
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Feb 2, 2016 05:42
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Hey, I had two quick questions, one of which was answered by the first post, so good work with that. The question I have left concerns 401ks and IRAs. I put about 9k into my 401k last year, and was looking at contributing to an IRA to increase retirement savings/bump up my refund (which I would then use to partially fund the IRA contribution). Playing around with HR Block online, and throwing numbers at it, my refund amount doesn't change, and whatever the IRA amount is, the software says is nondeductible. Is this because I needed to have an IRA established prior to Dec. 31st, is it because I already put over $5500 into a (seperate) retirement account? Can anyone tell me what's going on and point out some information on it? Ideally I'd like to continue putting 9-10k a year into my 401k, and max out an IRA as well, if that doesn't work, is my only option putting ~$15k a year into my 401k?
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Feb 3, 2016 19:31
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My grandfather gave me $10k to help with student loans. I never had the money, it was paid directly to the loan institution by him via check and applied to my account. Do I need to claim this and if so, how? As income?
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Feb 3, 2016 20:24
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Wild Bill posted:Hey, I had two quick questions, one of which was answered by the first post, so good work with that. The question I have left concerns 401ks and IRAs. I put about 9k into my 401k last year, and was looking at contributing to an IRA to increase retirement savings/bump up my refund (which I would then use to partially fund the IRA contribution). The deduction starts to decrease when your income is over $116k as single and $183k as MFJ. Assuming you don't have any other assets in an IRA, you can still get tax advantaged money into a retirement account by using the backdoor ROTH IRA strategy though the tax advatange moves from the start to the end. Just to make this perfectly clear, contributing to a 401k has no effect on the amount you can contribute to an IRA.
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Feb 3, 2016 20:38
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asur posted:The deduction starts to decrease when your income is over $116k as single and $183k as MFJ. Assuming you don't have any other assets in an IRA, you can still get tax advantaged money into a retirement account by using the backdoor ROTH IRA strategy though the tax advatange moves from the start to the end. I did some googling, and this is what I turned up: https://www.irs.gov/Retirement-Plan...nt-Plan-at-Work so while it looks like I can still donate up to the maximum, but I don't get any tax benefits because my AGI is over $71k. A further question I guess, if there's no tax break now, is there any reason to go with a traditional IRA, or should I go with a Roth IRA if I save outside of my company plan?
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Feb 3, 2016 20:51
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Wild Bill posted:I did some googling, and this is what I turned up: https://www.irs.gov/Retirement-Plan...nt-Plan-at-Work so while it looks like I can still donate up to the maximum, but I don't get any tax benefits because my AGI is over $71k. There's no reason to go with a non-deductible traditional IRA over a Roth. With the former, you don't get a tax deduction now and while the money grows without taxes, your gains are taxed upon withdrawal in retirement. With a Roth, you don't get a tax deduction now, your money grows tax free, and when you take the money out in retirement you don't owe tax on the gains.
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Feb 3, 2016 21:47
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Ancillary Character posted:There's no reason to go with a non-deductible traditional IRA over a Roth. With the former, you don't get a tax deduction now and while the money grows without taxes, your gains are taxed upon withdrawal in retirement. With a Roth, you don't get a tax deduction now, your money grows tax free, and when you take the money out in retirement you don't owe tax on the gains. Yep, asur's response assumed he was making much more than he actually was, and that "IRA" meant "Roth IRA". I blame the tech sector.
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Feb 3, 2016 23:49
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Ancillary Character posted:There's no reason to go with a non-deductible traditional IRA over a Roth. With the former, you don't get a tax deduction now and while the money grows without taxes, your gains are taxed upon withdrawal in retirement. With a Roth, you don't get a tax deduction now, your money grows tax free, and when you take the money out in retirement you don't owe tax on the gains. Excellent, thanks for the help, that's what I thought.
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Feb 4, 2016 00:32
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Nondescript Van posted:My grandfather gave me $10k to help with student loans. I never had the money, it was paid directly to the loan institution by him via check and applied to my account. Do I need to claim this and if so, how? As income? The $10k was a gift, so it is not counted as income. Even if the money didn't go straight to the lender, you wouldn't need to claim anything.
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Feb 4, 2016 03:18
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So I maxxed my Roth IRA last year with Vanguard, but I haven't received any tax forms, and there are none available for download...is something screwed up? Should I call them?
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Feb 4, 2016 16:01
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You don't need a form to file your taxes. You just need to know how much you contributed (or will have contributed by April 15). You will get a From 5498 some time in May, but it's just for your records, no need to file it.
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Feb 4, 2016 16:32
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Ancillary Character posted:There's no reason to go with a non-deductible traditional IRA over a Roth. With the former, you don't get a tax deduction now and while the money grows without taxes, your gains are taxed upon withdrawal in retirement. With a Roth, you don't get a tax deduction now, your money grows tax free, and when you take the money out in retirement you don't owe tax on the gains. The general rule of thumb I've heard for Roth vs. traditional is when do you think you will be earning more money, now or when the money comes out? If you expect to have less income reported on your taxes when you retire/hit age 59 1/2+, then a traditional IRA works better because you are going to be in a lower bracket when the money distributes and you have to pay taxes on it. But if you're very low income now but might have higher retirement income like in my case (as a new-ish preparer I don't earn much now at it, but if I work into retirement age (a lot of preparers often are retired since it's just four months of desk work) I would undoubtedly earn far more with several decades of experience under my belt) then a Roth works better since my taxable income when I'm older is quite likely to exceed what I'm earning (and paying minimal taxes on) now. Barring special circumstances like that though, most people have lower taxable income at retirement (especially given how social security has favorable tax treatment) so a traditional tends to be better for most, Roth is more for said rarer situations or personal preference of not wanting to screw with taxes later on or expecting to take the whole thing as a lump sum or similar.
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Feb 5, 2016 21:40
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MadDogMike posted:The general rule of thumb I've heard for Roth vs. traditional is when do you think you will be earning more money, now or when the money comes out? If you expect to have less income reported on your taxes when you retire/hit age 59 1/2+, then a traditional IRA works better because you are going to be in a lower bracket when the money distributes and you have to pay taxes on it. That rule of thumb is between a deductible traditional IRA and a Roth IRA. A non-deductible traditional IRA has absolutely no advantage over a Roth IRA.
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Feb 5, 2016 22:31
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