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Hmm, the numbers are coming from a K-1 (1065) Line 11F, with the notes breaking it down into Short & Long term mixed straddles. I'm not sure I have the info to fill out Form 6781 from that. Ah well. Edit: I think I'm figuring it out? However, I just wanted to check: should I file my own amended return before 4/17 just to get my payment close, and then get a professional to fix it with a new amendment later on? ohgodwhat fucked around with this message at 01:41 on Mar 26, 2018 |
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Mar 26, 2018 00:28
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If I contributed to my Roth IRA in 2018 but assigned it to my 2017 limit, do I need to report it in my 2017 taxes? TurboTax seems to imply I don’t but I wanted to double check.
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Mar 26, 2018 01:38
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TheEye posted:edit: The state refund was so high because I missed checking off being a NYC resident. Now the state refund is 2.5k, with the owed federal tax still at 17k. So... much worse than I originally thought. Ur Getting Fatter posted:If I contributed to my Roth IRA in 2018 but assigned it to my 2017 limit, do I need to report it in my 2017 taxes? quote:Topic Number 451 - Individual Retirement Arrangements (IRAs) RoboCop 3 posted:Yeah, the 10% was taken out with the distribution, and my 1099-R does show the 10% as federal tax withheld. That makes a big difference in addition to entering the correct basis. The basis includes dividends that Vanguard automatically invested back into the Roth IRA, right? If you're dealing with a rollover withdraw in addition to standard contribution withdraw, let us know and we can re-assess. I think that 5yr aging period applies but I am not 100% on that. SiGmA_X fucked around with this message at 04:07 on Mar 26, 2018 |
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Mar 26, 2018 03:36
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I itemize deductions and it looks like Turbotax wants to deduct the state income taxes that I paid for the year... on my one and only state return. E.g. I had X in tax withholding for the state of Hawaii, and on my Hawaii state return Turbotax wants to include X as an itemized deduction as a type of "State and Local Taxes" deduction. The amount X appears elsewhere on the state return, as total taxes paid. This seems like blatant double-counting but maybe that's normal for the state of Hawaii? Surely the State and Local Taxes deduction should only applied to taxes paid to other states?
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Mar 26, 2018 04:45
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QuarkJets posted:I itemize deductions and it looks like Turbotax wants to deduct the state income taxes that I paid for the year... on my one and only state return. E.g. I had X in tax withholding for the state of Hawaii, and on my Hawaii state return Turbotax wants to include X as an itemized deduction as a type of "State and Local Taxes" deduction. The amount X appears elsewhere on the state return, as total taxes paid. This seems like blatant double-counting but maybe that's normal for the state of Hawaii?
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Mar 26, 2018 05:16
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SiGmA_X posted:I think that is legit, but I've never dealt with Hawaii before, see page 18 of N-11 instructions. http://files.hawaii.gov/tax/forms/2017/n11ins.pdf Yeah, a careful reading of the instructions does include the interpretation that you could deduct your state withholding. And on the list of items that you can't deduct it calls out federal income tax, but not state income tax And a Turbotax person got back to me and confirmed that that's how it works: some states let you deduct all of your state income tax from your state taxes, but those states will usually make you pay taxes on refunds (which Hawaii does) That's counterintuitive to me but okay! Cool! Thanks for your help
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Mar 26, 2018 06:12
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I went and did my taxes on Saturday. I owe because my wife is a contractor and my W-4 read 5 dependents. I know we should take out taxes out of her check but we can't afford it right now. It's something we're cleaning up. Regardless, does a family of 3 need to put down 5? I looked at changing my W-4 and the worksheet comes up with 6 (Myself, Married filing jointly, 1 child)  Beyond her contractor status, we're not doing anything other than that so I'm assuming I'm reading everything right.
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Mar 26, 2018 15:14
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ohgodwhat posted:Hmm, the numbers are coming from a K-1 (1065) Line 11F, with the notes breaking it down into Short & Long term mixed straddles. I'm not sure I have the info to fill out Form 6781 from that. Ah well. What'd you get into, a hedge fund? Man, if you've got the funds to throw into that, just pay someone to do your taxes. And if it is a hedge fund, why'd you get into one of those? Don't mess around with re-amending your amendment. Amendments are paper filed and takes MONTHS for the IRS/states to process. You amend and mail, and then promptly re-amend and mail AGAIN without waiting for the original amended return to get processed, your account is going to get FUBAR'd even worse.
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Mar 26, 2018 18:45
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Irritated Goat posted:I went and did my taxes on Saturday. I owe because my wife is a contractor and my W-4 read 5 dependents. I know we should take out taxes out of her check but we can't afford it right now. It's something we're cleaning up. You can put whatever you want on your W-4. If you don't think you're withholding enough drop your number of exemptions. Don't worry about the worksheet. Hell, if you want to have the most withheld just put Single 0.
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Mar 26, 2018 22:33
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AbbiTheDog posted:What'd you get into, a hedge fund? Man, if you've got the funds to throw into that, just pay someone to do your taxes. And if it is a hedge fund, why'd you get into one of those? I am trying to pay someone to do them, they're just all busy of course. My concern is about paying penalties because I will have massively underpaid by 4/17. If I get a pro to amend it shortly afterwards, will I likely avoid such penalties? Doesn't sound like I have much of a choice... Anyway, my confusion was in being told I'd get my first K-1 for 2018, and they meant for 2017, received in 2018... Given the situation, the former seemed plausible to my clearly uneducated self.
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Mar 27, 2018 00:53
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ohgodwhat posted:I am trying to pay someone to do them, they're just all busy of course. My concern is about paying penalties because I will have massively underpaid by 4/17. If I get a pro to amend it shortly afterwards, will I likely avoid such penalties? Doesn't sound like I have much of a choice... The K-1, does to happen to have a 40/60 split on the straddles between LT/ST?
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Mar 27, 2018 17:23
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Random question that's a bit of an xpost from the Student Loans thread: Long story short, my wife and I have filed married but separate due to how our student loan payments are calculated (it looks like there's a difference in payments of about $400/month if we filed jointly.) We just found out that our servicer will not recalculate payments for previous years if you file an amended tax return. So, if we filed an amended return for say, 2016 with a new filing status of married filing jointly, we should be eligible for all the deductions and credits that we missed out on, and our servicer says they will not go back and recalculate what we should have paid in 2016 and make us pay more. Are there any restrictions to changing your filing status in an amended return? Does this raise any red flags? I think we may be able to get a lot more back since we'll be able to take a lot of deductions and credits that weren't available to us (especially since having kids.) But I don't want to raise our audit risk significantly and lose all the money we could have saved hiring representation for an audit or something. I really want to think this through before doing anything that could have consequences.
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Mar 27, 2018 18:04
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So this year I have been and plan to continue selling ISO shares that I exercised last year, once they hit the 1 year mark for a qualified disposition. Assuming the stock price stays relatively steady (which I recognize is a big assumption), I stand to end the year with gains of approx $18.3-18.6k. I want to avoid a big payment next April (or worse, an underpayment penalty), so is the move here to take 15% of that amount, divide by my number of remaining paychecks, and change my W4 to have them withhold that much more?
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Mar 27, 2018 18:42
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Pretty sure it's unethical for a preparer to tell you to do x or y to minimize your audit risk. And the IRS is real cagey about why they select returns for audits. That being said, if you think you have a way around the student loan servicers, gently caress those guys.
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Mar 27, 2018 18:43
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Lamont Cranston posted:So this year I have been and plan to continue selling ISO shares that I exercised last year, once they hit the 1 year mark for a qualified disposition. Assuming the stock price stays relatively steady (which I recognize is a big assumption), I stand to end the year with gains of approx $18.3-18.6k. I want to avoid a big payment next April (or worse, an underpayment penalty), so is the move here to take 15% of that amount, divide by my number of remaining paychecks, and change my W4 to have them withhold that much more? No, the way to do it is figure out how much the brokerage holds back for taxes on the sale and if that's not enough file and submit a quarterly estimated return.
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Mar 27, 2018 18:48
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sullat posted:Pretty sure it's unethical for a preparer to tell you to do x or y to minimize your audit risk. And the IRS is real cagey about why they select returns for audits. That being said, if you think you have a way around the student loan servicers, gently caress those guys. Not trying to be unethical - was just not sure if an amended return gets increased scrutiny to weigh the risk of paying for audit representation vs the possible increased return. Some googling says that no, it goes through the same process as the original return: https://turbotax.intuit.com/tax-tips/amend-return/video-does-amending-your-filing-status-trigger-a-tax-audit/L95C0WhLj I was allowed to file jointly at the time of filing so I don't think there's anything sketch here w/r/t the IRS.
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Mar 27, 2018 19:25
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AbbiTheDog posted:The K-1, does to happen to have a 40/60 split on the straddles between LT/ST? No, they are not split 60/40. Mixed straddles don't appear to get the same treatment as Section 1256 contracts.
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Mar 27, 2018 20:04
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sullat posted:Pretty sure it's unethical for a preparer to tell you to do x or y to minimize your audit risk. And the IRS is real cagey about why they select returns for audits. That being said, if you think you have a way around the student loan servicers, gently caress those guys. To my knowledge there’s nothing inherently unethical about saying “X item is more likely to get you flagged for review” (hell, I’ve seen public articles listing those items), but of course no lying to get around it. As for this, you are allowed to go MFS to MFJ, it’s only the other way around that you can’t do since that would involve splitting the legal responsibility for the return after the fact (so it can’t be done after the original due date). Not especially likely to flag you to my knowledge, I would even expect it to be a relatively common amendment considering how many people file “single” without knowing the issues involved.
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Mar 28, 2018 06:21
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If I'm amending a previous year to change from MFS to MFJ (along with my wife) do we need to file one amended return or two? Do i need to mail them together, or separately? Edit: IRS says you file 1 1040x in this circumstance. E-Money fucked around with this message at 17:56 on Mar 28, 2018 |
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Mar 28, 2018 16:49
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E-Money posted:If I'm amending a previous year to change from MFS to MFJ (along with my wife) do we need to file one amended return or two? Do i need to mail them together, or separately? Yeah, it's one.
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Mar 29, 2018 16:27
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MadDogMike posted:To my knowledge there’s nothing inherently unethical about saying “X item is more likely to get you flagged for review” (hell, I’ve seen public articles listing those items), but of course no lying to get around it. IRS circular 230 prohibits giving tax advice based upon audit risk is the ethical standard. https://www.cpajournal.com/2017/03/20/applying-aicpas-professional-standards-tax-practice/ I make my staff read the circular 230, AICPA ethical standards, and the SSTS every year and signoff on it.
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Mar 29, 2018 22:06
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Situation: I am preparing the partnership return for a multi-member LLC incorporated in Delaware. 100% of the money earned by this partnership was earned in a different state (NJ). I’m all but certain I need to file a state return for NJ; am I obliged to file one for DE, too, simply because the entity is incorporated there, even if none of its income was earned there? (The entity has timely paid the DE franchise tax.)
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Mar 31, 2018 03:26
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Actie posted:Situation: I am preparing the partnership return for a multi-member LLC incorporated in Delaware. 100% of the money earned by this partnership was earned in a different state (NJ). I’m all but certain I need to file a state return for NJ; am I obliged to file one for DE, too, simply because the entity is incorporated there, even if none of its income was earned there? Per the instructions for the DE 300 partnership form, you only file a DE tax return for a partnership that has income or loss connected to a Delaware source. You don’t need an annual report for Delaware either, just that $300 franchise tax you already paid.
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Mar 31, 2018 20:30
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Situation: I'm Canadian looking to join my (also Canadian) partner in the Bay Area and entertaining a job offer from a startup. Because they're not big tech, I'm not getting an all-inclusive relocation package and am doing the legwork myself. I'm used to doing my own taxes in Canada, but evidently all of that doesn't apply to the US... Is there a good resource for summaries of tax credits and deductions I can expect that I might want to factor in making the decision? For instance, I discovered that relocation expenses are no longer deductible for 2018, so suddenly the relocation package (taxable lump sum on first paycheque) seems even smaller than it was. Also, although we were qualifying for common-law partners in Canada, I don't think this would be a strong enough test for the IRS in order for us to file jointly? Would getting a simple civil union in Canada before I move to the US be enough to qualify for domestic partnership, or are there minimum time periods and other such hurdles as is the case for spousal visas? Jan fucked around with this message at 21:38 on Apr 1, 2018 |
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Apr 1, 2018 21:35
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I’m going to start delivering Order Up for some extra money, since it has a flexible schedule, my insurance already covers it unlike Uber, and I don’t have to deal with passengers barfing all over the upholstery. I’ve worked out the break even point an I’ll easily hit it. Post-tax, gas, and maintenance I estimate about $7.50 per hour, which should be right around minimum wage post-tax, probably better since minimum wage isn’t considering vehicle wear and tear. I also really enjoyed my old delivery job, which is a plus. That justification aside, I’m wondering if I should set up a sole proprietorship to split up tax burden. I’m not sure exactly how it works. I would be using a personally owned vehicle, which muddies things for me further. Basically my thought is that there’s no way my deductible expenses will get above the standard deduction. If I had it as a sole proprietorship could I pay for gas/maintenance costs associated with the business use out of the proprietorship before paying myself out of it? That way effectively having some expenses full-on pretax? Or would the business be taxed the same as if it were coming straight to me as an individual? It’s a complicated question, so if it’s too complex for a post, could you recommend some reading to help me understand? I might also use the proprietorship for other side work, but those ideas need to be thought through more thoroughly to figure out financial and time viability.
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Apr 3, 2018 18:03
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22 Eargesplitten posted:, I’m wondering if I should set up a sole proprietorship Congratulations you just set up a sole proprietorship! Welcome to the world of small business owners.
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Apr 3, 2018 18:11
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Sole proprietorship just means you and the business are one and the same. There's nothing to set up. You can deduct the business expenses against the business income on Schedule C. Standard/itemized deductions don't come into play. Perhaps you meant LLC or S-Corp? No, there's not much sense in doing that for your situation. E: vvvvv If you're going to make up a name, you should get a DBA, but in this case why bother? Just use your real name. SlapActionJackson fucked around with this message at 18:23 on Apr 3, 2018 |
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Apr 3, 2018 18:15
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Lol, that was easy. So just make up a name and declare that to Order Up? FWIW I can get tax advice from my W2 job’s EAP, I just want to get a basic idea so I know the questions to ask.
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Apr 3, 2018 18:15
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22 Eargesplitten posted:Lol, that was easy. So just make up a name and declare that to Order Up? Hang on a minute there. If you aren't using your own name you need to file a DBA (varies by state) - "doing business as". Otherwise you won't be able to open a checking account/deposit checks in an existing one with your made up name.
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Apr 3, 2018 18:35
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Okay. Maybe I’ll call the EAP after work to get some advice on this ASAP. 22 Eargesplitten DBA Rusty Shackleford is in sight.
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Apr 3, 2018 18:39
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You don't need a DBA for your pseudo uber driver "business." You don't really need an EIN either, but at least those are free.
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Apr 3, 2018 19:14
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That’s so weird, I always assumed that I had to give my business a name. Pretty excited right now.
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Apr 3, 2018 19:21
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22 Eargesplitten posted:That’s so weird, I always assumed that I had to give my business a name. No, you don't. You can simply use your own name and then none of the other stuff is required.
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Apr 3, 2018 20:27
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I have a bunch of income that is excluded under the FEIE since it is generated abroad. I still have to pay self-employment tax on that income in the US. I also pay a self-employment tax analogue in the country where that income originated. It is my understanding that I can't take the Foreign Tax Credit or Deduction on any income that's covered by the FEIE (which makes sense because I'm not paying any income tax on it). But can I include the local tax as a deductible expense, thus reducing my self-employment tax?
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Apr 5, 2018 01:02
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There are tax treaty arrangements with many countries that excuse you from self-employment tax if you can prove coverage under the social insurance of your country of residence. From the Schedule SE instructions: quote:The United States has social security agreements with many countries to eliminate dual taxes under two social security systems. Under these agreements, you generally must pay social security and Medicare taxes to only the country in which you live. The United States now has social security agreements with the following countries: Australia, Austria, Belgium, Canada, Chile, Czech Republic, Denmark, Finland, France, Germany, Greece, Hungary, Ireland, Italy, Japan, Luxembourg, the Netherlands, Norway, Poland, Portugal, South Korea, Spain, Slovak Republic, Sweden, Switzerland, and the United Kingdom.
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Apr 5, 2018 02:04
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Unfortunately there's no treaty for my country.
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Apr 5, 2018 02:27
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It sounds like you may want to consider incorporating in the foreign country, however that opens its own can of worms.
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Apr 5, 2018 02:50
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sale on Banksy art posted:It sounds like you may want to consider incorporating in the foreign country, however that opens its own can of worms. I've already looked into this, and it's just way more expensive and complicated all around. I'll just eat the tax then, it's not a huge deal.
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Apr 5, 2018 02:54
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So I asked a while back about a company that was being sold and thus my stock was being liquidated/sold off. I haven't claimed the money yet but this event occurred back in 2017. I am now trying to talk to the company that is reclaiming the old stock certs so that I can get paid (whatever is left of what I put in). My quick question is since I'm getting the money in 2018 but the event where my company was sold occurred in 2017, do I file the capital gains/losses for 2017 or 2018? Also this company that is accepting my company's old stock certs is making me fill out a W-9 form and not the 1099 I was expecting. Does that make sense?
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Apr 5, 2018 22:29
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* Not an expert or professional W9 sounds right, that's what you would provide to someone who will issue a 1099. Have you realized a gain yet? When were your shares cashed out? I don't think the transaction with you has occurred yet. SiGmA_X fucked around with this message at 00:02 on Apr 6, 2018 |
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Apr 5, 2018 22:43
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