Official Tax Season Thread? vol Splash Out m8

[Beruseruku Desu]

Why do i get less and less on my tax return every year when i havent changed my w-4?

im assuming its just tax laws thats causing this?

 

[wallyhopp]

nydunkhead You got any Thoughts on the new withholding allowances calculations for 2020? It feels like the government is finally cracking down on excessive 'refunds'.

 

[augbaby98]

The NikeTalk CPA is reporting for duty, feel free to PM me any tax/accounting questions. I’ve helped a couple of NT bro’s if anybody doesn’t want to do it themselves or has a complicated situation I have my own firm

I have a friend who waits every year a couple month to her taxes. She gets about 14k back with no dependants making 120k per year (no side business). She says something like "when you wait longer more tax codes are unlocked" (her mom does her taxes). Does this sound accurate?

 

[alchemist iq]

Why do i get less and less on my tax return every year when i havent changed my w-4?

im assuming its just tax laws thats causing this?

Shouldn't have voted for trump.

 

[Beruseruku Desu]

Shouldn't have voted for trump.

never voted in my life

 

[jrod54life]

I have a friend who waits every year a couple month to her taxes. She gets about 14k back with no dependants making 120k per year (no side business). She says something like "when you wait longer more tax codes are unlocked" (her mom does her taxes). Does this sound accurate?

i work during tax season and i aint no professional but never heard of this

 

[alchemist iq]

never voted in my life

Then why you complaing about your taxes being low?
Should've voted for the person who has your best interest, not sit on the sidelines and then complain.

 

[wallyhopp]

I have a friend who waits every year a couple month to her taxes. She gets about 14k back with no dependants making 120k per year (no side business). She says something like "when you wait longer more tax codes are unlocked" (her mom does her taxes). Does this sound accurate?

Unless it’s a child type credit (worth thousands), most get back what was withheld during the year (at most). It’s not free money. To me the only plausible answer is that she’s lying or somehow had $40k withheld and she’s getting back the difference.

she likely could have itemized down to having an agi below $20k, and she’s getting back what was withheld throughout the year

 

[Beruseruku Desu]

Then why you complaing about your taxes being low?
Should've voted for the person who has your best interest, not sit on the sidelines and then complain.

please show me exactly where I complained.

I asked why my tax return gets lower every year and asked if tax laws had something to do with it.

If i was complaining i'd be cursing and making a fuss about it in this thread.

stop tryna start something out of nothing. I will humble you.

 

[heelsandeers]

Why do i get less and less on my tax return every year when i havent changed my w-4?

im assuming its just tax laws thats causing this?

you're getting a smaller return because you owed (and thus paid) less taxes throughout the year after the trump tax cut went into place in 2018

not sure if there was anything new for 2019 or not. should be about the same as last year

taxes owed for the year is the number you want to look at, not what you get back on the return

 

[a blinkin]

Quick question about my w4.


If I’m working full time, am single, make upward of $60k, and live on my own, should I be filing single or head of household? I used to be under the impression that you could claim both as allowances, but it seems as the the 2020 w4 makes you choose one or the other.

I’m trying to make it so the govt takes out the most accurate amount of money from my checks; not worried so much about tax returns as I am what I’m being taxed monthly.

Any thoughts?

 

[jrod54life]

Quick question about my w4.


If I’m working full time, am single, make upward of $60k, and live on my own, should I be filing single or head of household? I used to be under the impression that you could claim both as allowances, but it seems as the the 2020 w4 makes you choose one or the other.

I’m trying to make it so the govt takes out the most accurate amount of money from my checks; not worried so much about tax returns as I am what I’m being taxed monthly.

Any thoughts?

to claim HOH u need to have a qualifying dependant or else u gotta file single
qualifying dependant
1. live with u atleat have the yr if didnt live with u did u provide more than half of their expense
2. has to be a citizen the dependant
has to be under 24 or younger than u. can u ur parents for qualifying relative but not qualifying child

 

[ninjahood]

you're getting a smaller return because you owed (and thus paid) less taxes throughout the year after the trump tax cut went into place in 2018

bingo.

 

[heelsandeers]

bingo.

let's not get it twisted though. that tax cut was mostly trash
most people didn't realize they paid less throughout the year because it was so minor

if you're making < $100K you probably paid $2.5K or less, less in taxes in '18
could've been structured SO much better

 

[lamont614]

I have 4 w-2 only gotten 3 I think one of my w-2 is wrong should I just file the 2 and see if they get accepted?

 

[MetalMario]

I have 4 w-2 only gotten 3 I think one of my w-2 is wrong should I just file the 2 and see if they get accepted?

no. wait until you have all of them together then file. if you wait then go back to re-file you'll have to file an amended return and that's another cost

 

[ninjahood]

let's not get it twisted though. that tax cut was mostly trash
most people didn't realize they paid less throughout the year because it was so minor

standard tax deduction was double it was before...i say it was good, and if you run a small business it was greaaat.

 

[heelsandeers]

and if you run a small business it was greaaat.

perhaps. still poorly structured imo

could've reaped these benefits to small business owners without racking up trillion dollar deficits

or could've given a trillion to small businesses and wager earners which would've looked A LOT different than the BS we ended up with

 

[forgotmyoldname]

I had a kid last year and I'm claiming him this year. Would me not living with them affect my filing? I've done my taxes through turbotax for last 9 yrs but with my boy in the mix isk if I should continue or go to an h nd r block..

 

[wallyhopp]

I believe as long as only one parent claims the child, there really isn't issues on residency.

Child credit varies with income levels too. I'd put the child into both of your tax situations and see where it benefits both of you, and split the difference. Child credits tend to help those making less money. If you make too much, the credit maxes out at $2,000. If you make too little, you can be credited up to $5k

 

[ballinsam23]

I paid more than 30k in student loan interest this year and didnt get **** back.

This is insane.

 

[biggie62]

I paid more than 30k in student loan interest this year and didnt get **** back.

This is insane.

A. Did you pay off 30k of actual interest built up on those loans or was a majority of it principle.? Big difference my friend, they are not the same.

B. Is your adjusted gross income above 80k? If so then we’ll you get zero benefit since you are above the threshold cutoff.

Remember this is a deduction which means it’s not a one for one credit. If you paid the maximum in interest off which is deductible, say 2,500 and are in the 22% income tax bracket, you’ll only save about 550 or so in tax savings.

credits are one for one reduction. Deductions are take the amount of the ALLOWED deduction and then multiply it by the tax bracket you fall in and that’s how much you save.

It may seem confusing but it’s really not. Granted I am a tax accountant but not for individuals, I deal with large corporate businesses only. Bu I do know enough about individual returns to hold my own on basics.

 

[ballinsam23]

1. Actual interest built up. I have 3 1040Es all combining to near 30k in interest paid.
2. Yes

I file single with 0 dependants. Last year refund was close to 4k. This year my same per diem job dropped my pending refund from 3k to $500. Even though everything is damn near identical.

 

[biggie62]

The amount which was withheld by your employer or the amount you pay in quarterly drives your refund. Nothing more nothing less from what you have said. Like if all things didn’t change much that’s the only thing that will cause you to receive less of a refund. If you make say 65k this year and 65k last year there isn’t going to be much which changed. Maybe your standard deduction is 200 higher this year. The tax will be damn near identical.

I mean the if you have 3 jobs or hustles more than likely you are under withheld because your other jobs won’t know what the first one was withholding. They are only considering what you would make if you annualized what they are paying you. They don’t know that you are doing other things.

overall the W-4 now is more of an algebra problem than anything that a normal person understands. For one thing it’s actually good because it creates a more accurate withholding table which results in a lower return but more money in your paycheck. But it’s up to YOU to understand what is going in and out and part of it is planning your year ahead in February and or January and potentially changing it once you get a raise mid year etc.

 

[nydunkhead]

To answer the question above Student Loan interest is capped at $2500 per year for the deduction. If you paid 30k in interest you will not be able to deduct most of that. But I hope you paid most of that loan off because that is an insane amount of money to pay for a student loan interest