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Taxes

About stimulus check

The news just said that you can claim stimulus check on 2019 or 2020 taxes ? I am a little confused ..or does it mean wait and file all checks next yr ?Read More...
Did you file just in case..?Read More...
I'm not sure if anyone knows the answer to this, but I'll try anyway. I live in Maryland, and recently the state approved a stimulus package, but unlike the ones passed by Congress it didn't include people who receive SSI and/or SSDI and therefore don't usually need to file taxes. Maryland's was based on whether or not you were eligible this year or last year for the earned income tax credit (I don't even really know what that is). They also claimed that even if you don't usually file taxes...Read More...
sure is a lot of talk i would like to know also thank you for sharingRead More...
Liz Weston on AP or NextWallet just covered something on this topic Friday, Feb. 12, I think. See if you can find that, or check cnet.com. Lots of talk about this topic now.Read More...
Last Reply By l robbins · First Unread Post

Unemployed and paying taxes

Does the IRS give any options to pay taxes once you find a job if you are currently unemployed and 56yrs old? I lost my job in 2020 after working for 19 years, like so many others, the only income at this point is unemployment. I'm thinking I will owe because of a 401k loan that was being paid back while I had a job but now will be considered income since I lost that job and a withdrawal for the remaining amount that was done in Nov. 2020, under the CARES ACT that was under 40,000. All taxes...Read More...
Hi MzDez, I'm not a CFP but here's what I know. People earning under $72,000 can file Federal Taxes for free with an IRS provider. I don't know about your state taxes. https://apps.irs.gov/app/freeFile/ Congress passed the latest Covid relief act in March and part of that bill was that unemployment up to about $10,200 was to be tax-free for last year. If you had taxes taken out, you will get that refunded when you file. I don't know anything about the 401k parts of your question. Perhaps it...Read More...
Last Reply By GinaH · First Unread Post
The program is a partnership between the IRS and popular tax filing software's like TurboTax, TaxSlayer, TaxAct, etc... that allows you to file your entire return for free if you make less than the $72,000 AGI cutoff. Here's the link to IRS Free File Even if you do make more than $72,000/year the electronic forms to file are free to use and file online. Granted I would only do that if you have a pretty straightforward tax return or you really know what you're doing when it comes to taxes. If...Read More...

Need info on getting my tax refund + stimulus

awinquis
I didn't have a problem until I filed last time with paper forgot the signature so they sent it back I signed sent it back since than everything got screwed up bc my bank account on my refund is closed down. How do I change my bank account information who do I call bc I didn't get my $600 stimulus or the one coming I'm not gonna get bc bank account is closed. Please help!Read More...

W4/withholding Changes

KellyFromKeene
For years, as a single parent, I filed HH on my taxes. I was recently married and filled out a new W4, and wow- they have changed. VERY confusing. I completed it the best I could, following the instructions, and my paycheck shows a 70% reduction in federal taxes taken out. This must be wrong! Other than completing another W4 and just having them withhold extra, anyone know about these new W4's and how to know you are having the right amount taken out?? I checked with my HR, and they are...Read More...
I know what you mean, @KellyFromKeene . I had to complete a W-4 for an at-home contract recently and I was thoroughly confused. Yet, I was too lazy to read the instructions so I just added an amount for them to deduct extra from pay, just in case.Read More...
Well, HR sent me this and it was helpful. I ran all kinds of scenarios- married filing jointly, married filing separately, with my previous tax withholding, with my new withholding... https://www.irs.gov/individual...ithholding-estimatorRead More...
Last Reply By sthom · First Unread Post

How long do you keep paper records?

Jobelle Collie
I’m keeping three years of paid bills. Anything that seems important to proof of purchase, insurance claims, I keep those longer. If I have my bank statements, do I need to keep the carbon checks?Read More...
I like to keep my IRS returns for 7 years per their suggestion, especially if the returns tend to be complicated like ours. We receive almost all of our bills via e-statements which minimizes the amount of paper we have to dispose of.Read More...
Every year I go through important documents and shred everything after 3 years except major purchases, I keep receipts until I replace them. I just really hate clutter and unnecessary stuff hanging around.Read More...
Longer than I should. I mean from 1990, which is ridiculous. I need to purge.Read More...
i was told to keep all records for 7 years, i just started getting rid of some, being my husband passed away five years agoRead More...
Last Reply By Brigat · First Unread Post

paying taxes and social security taxes

Tammeylupie
My fiancé is on social security disability and has a side gig. The side gig is considered as self-employment (DoorDash). When we did his taxes on TurboTax it said he had to pay $257.00 to the federal government. It then asked if he wanted extension to pay the social security admiration back their share of taxes. So we said yes. It took the amount that he owed to the federal government and it applied to the social security admiration. Now it says he owes nothing to the federal government.Read More...

Eligible for stimulus check?

Hi, I'm a stay at home mom and I currently don't earn any wages. Someone told me I might be eligible to receive a stimulus check. I don't file taxes, bc I don't work. Am I able to file taxes and receive a stimulus check that way?Read More...
It is my understanding (and I am no tax expert!) that yes, if you file you should be able to get a stimulus check.Read More...
Last Reply By KellyFromKeene · First Unread Post

Claim innocent spouse with IRS after divorce

wood
My ex had BIG tax debt that he failed to disclose pre marriage. Fast forward 10+ years and 4 kids, we are now divorced yet his pre marriage tax debt is attached to my name and IRS wants payment. I have rejoined the workforce but I do not get my tax refund, the IRS keeps it and applies it to his debt! Don't worry I make him give me my refund, but I need for this cleared up. I understand, I can claim innocent spouse since debt was pre marriage and I didn't work during the 10+ years of...Read More...
@wood Have you tried filing an injured spouse claim with the IRS? It's designed exactly for situations like this. Basically, this lets people who filed a joint return with a spouse (or ex-spouse) who had their refund garnished to get their half of the return. It's common when one spouse had unpaid child support, back taxes or federal student loans. You file Form 8379 with the IRS (available here: https://www.irs.gov/forms-pubs/about-form-8379 ) If your joint stimulus check was seized, I...Read More...
If you can afford it, a tax lawyer should help.Read More...
Last Reply By Dear Penny · First Unread Post

Never received my returns

Rachel Sciuto
I haven't received my returns for last 3 years and keep getting told it is on its way.Read More...
Have you attempted to obtain a copy of your tax returns from the IRS website? The site seems to be working correctly again as I helped a friend obtain theirs.Read More...
Now the same thing is happening with unemployment. I'm approved. Then asked to provide documentation to prove my identity. I provide everything and once again get ignored and never paid my money.Read More...
Last Reply By Shannon H · First Unread Post

I forgot

Chance Olwen
Value is nullRead More...
Yes- I am glad my bank job decided not to do it I would go by their decision. Banks don’t play SharonRead More...
This tax cut for the end of 2020 has to be paid back during the first months of 2021. People will be sorry in 2021 when double taxes are coming out of their checks.Read More...
Hi They are trying to get rid of Social Security by sleight of hand. One way is to weaken it - a payroll tax break takes money from SS. Once they weaken it they will say ‘oh Look SS doesn’t work’. Keep an eye out - one way They are trying to outsmart seniors is to say ‘oh you can invest your SS in the stock market’. But where do you think that ‘profit’ is coming from? Other old people! For you to make a profit some old people have to starve. All it is is gambling pure and simple. Right now...Read More...
Every bit definitely counts but by the time the Government sends everyone a ckeck and pays a staff to do so, the government will be further behind. They may as well pay off some of the deficit or put it into the Social Security fund they keep saying is going to run out of moneyRead More...
Last Reply By SHurley · First Unread Post

Do You Ask for a Receipt When Donating?

ERoberts
I have done my own taxes for two years now and it's been a painless process. I did, however, make the mistake last year of claiming too many allowances and ended up owing a couple hundred bucks from those larger paychecks. I also moved, and although I was able to sell everything I was looking to get rid of I was wondering about the process of donating those items to Goodwill or Salvation Army and getting a receipt to apply to my taxes instead. Is it worth it to keep those receipts hanging...Read More...
Always! Many organizations have them printed out and you fill in amount and items. Any charitable organization that accepts donations is used to people asking for a receipt- so always ask!Read More...
I do ask for a receipt.Read More...
Hmmm, you are right you really don't get that many cookies with the GS and of course a better deal with the in-store products. I would rather just make a donation than to deal with subtraction and documentation of the subtraction and the purchase of like cookies. Too much hassle and store receipts fade. How many GS cookies would you have to buy to make this worth while for taxes?Read More...
I didn't know that @dboothe about subtracting the amount you would pay for a like product (good info to know). But with GS cookies, you get so few cookies for the price you pay, so I'm thinking you pay more for them than like kind cookies, don't you think?Read More...
Last Reply By Barbara Marzolf · First Unread Post

Is Your Life Taxing?

One of my neighbors was heading out last year to drop off a folder with his taxes at a Tax Prep office when I asked why he didn't do his own. "Well, I have the condo mortgage to claim," he said as though that made a difference. I explained that I, too, have a mortgage although the interest does not even make a dent in the standard deductions for our property values. He was intrigued. "I can show you how to do your own and save that hundred or so dollars." He was even MORE intrigued. :) There...Read More...
Usually, I would agree. I have an Accounting degree and used to do other people's taxes as a side gig. The Deluxe versions of tax programs walk you thru everything with options and explanations. I buy the Premium by Intuit when working with others' returns. It's worth the $129. However, 2020 will be a different beast as so many laws and credits and interest due. This will make it a bear and I would recommend not going it alone for Trump's surprises that are coming upon us. Taxes should not...Read More...
thank you for the infoRead More...
I have only ever done my own taxes. IRS website has great resources if you need assistance and I pay a minimal fee for Turbotax for extra guidance.Read More...
In Florida and maybe other states AARP offers free tax prep/filing for anyone in the community. We have used this service for years.Read More...
Last Reply By Leslie Kay · First Unread Post

Taxes garnished by The Franchise Tax Board

Steve Hofmeister
I just received a letter from Wells Fargo that they have been requested to withdraw money from my account ($22,000). What is the best way 1. to reduce the the payment ( a settlement) with The FTB and work on a payment plan. This is going to happen immediately. Thank you for any advice. SteveRead More...
A franchise tax is a state tax levied on certain businesses for the right to exist as a legal entity and to do business within a particular jurisdiction. As of 2020, these states included Alabama, Arkansas, California, Delaware, Georgia, Illinois, Louisiana, Mississippi, New York, North Carolina, Oklahoma, Tennessee, and Texas . It is also called a "privilege"tax. Here's a link that might help you, looks like you can make payments: https://www.ftb.ca.gov/pay/payment-options.html Best to you.Read More...
Last Reply By redcatcec · First Unread Post

Tax Settlement Firms - Legit?

Hi - I owe back federal taxes and have heard of offer in compromise as well as tax settlement firms. However by the way they are advertised and what I have read from random searches it seems a little sleazy! Has anyone had any luck with such firms or a settlement on their own? Thanks!Read More...
Depends on your situation, hiring a tax attorney has a lot of benefits..much like representing yourself in court or hiring an attorney. The IRS may ask you to disclose all your financial info... and once they have that you're under their mercy of whatever payment plan they come up with based on your financials. However you don't always have to show them financials, like if you owe less than 25k. If you want offer in compromise you have to disclose all your financials and prove you have no...Read More...
Thanks... I was hoping to hear from someone who had experience with one, but all good.Read More...
I have heard some good and some bad things about them. Just like debt consolidation firms. I would personally just set up a payment plan through the IRS and pay that way, but that is just me and I don't know your entire situation.Read More...
This is something I have not previously heard of. I personally would be cautious about this. @Lisa Eichinger is this something you have heard of?Read More...
Last Reply By Alex Tucker · First Unread Post

Should I file Taxes

LatinLaydie
Dear Penny, I am 53 yrs old and I am being claimed as a dependent on my parents return. The last time I filed taxes was in 2016 and since then I have'nt worked and receive food stamps also. Should I file taxes for 2019 to get a stimulus check? Thank You for any help you can provide.Read More...
@Sasha L. Sallie - Respectfully disagree. Your situations are not similar, unless OP is leaving out information. She states she hasn't worked in 4 years and is collecting food benefits. She has no income, therefore she has no benefits from not being claimed as a dependent. She would not get a tax refund if she filed on her own. The ONLY situation this would have been beneficial is the stimulus checks, of which NO ONE knew was going to happen. At this point, even if they haven't filed their...Read More...
Hey Latin Laydie- I too used to be in your exact situation...I'm 56 and live with my elderly mother who has Alzheimers disease and I'm her care taker. My dad used to claim me as a dependent until I sat him down and we discussed the situation, I just explained that I really need and deserve all of the benefits that I'm entitled to. My parents agreed with me after I spoke up and was honest with them about how I felt! So now I get all those life saving benefits that I'm entitled to. It's worth...Read More...
I'm kind of in that situation myself, I'm 56 yes. Old and live with my mom who has alzheimers and I take care of her. The difference is my parents don't claim me on their taxes(THANK GOD) Maybe you could just talk to your parents and explain that you really are loosing out on alot of benefits-($) by them claiming you as a dependent. It's worth a shot, you deserve that stimulus money and your entitled to it. Tell your parents to just do the math- $1,200 or $500!! Maybe you could strike a deal...Read More...
@LatinLaydie Unfortunately, what everyone else has said is right here: If you're being claimed as a dependent, you won't qualify for a check of your own. The only suggestion I can offer is: Check with your parents to see if they've already filed their 2019 return. The deadline was pushed back from April 15 to July 15, so there's a chance they haven't. In the event that they haven't filed for 2019, you may want to discuss whether you could file your own tax return instead of having them claim...Read More...
Last Reply By JeremyM · First Unread Post

Help! I need to amend my taxes!

Sexy Star Locke
I claimed my uncle as a dependent and now he is upset that he won't be getting a stimulus check. Is there any way possible for me to amend my taxes so that he'll be eligible for a stimulus check? He did live with me for 6 months and I supported him during this time but for the rest of the year he lived and supported himself. Exactly what are my options?Read More...
My daughter claimed me. I filed also irs rejected told me to check box that I could be claimed. Sent it back and they sent me the taxes I paid on my casino win. Im on SSD.Read More...
Last Reply By Karol Galatioto · First Unread Post

Capital Gains for Selling property

I asked our cpa how our taxes will be affected if we sell our rental property. Most of the funds of the sale will be going to the mortgage company and we’ll pocket about $20,000. That $20,000 will go to pay down my husbands stock plan loans (he can borrow against it). Our cpa said we’ll pay capital gains on the total gain. In my understanding, that means that the difference in what we are getting ready to sell it for minus what we paid for it, is what we have to pay taxes on. If that is...Read More...

First year as a Small Business - What can I expect this Tax Season?

Are there any Small Business owners or people that work out of their homes? What are some things you can help me prepare for as we start digging into our taxes? We made an account just to put back the expected amount we would have to pay in taxes and we hired a professional CPA. But what does that all really mean for us? What are some tips or tricks or advice you can give me?Read More...
This info may be too basic for you, but they're things I learned in the beginning. Your CPA should advise you what items are deductible for business purposes, some of these may have changed over the years. I'm assuming you saved your documentation. That was the biggest surprise when I started freelancing. Professional organisation fees, subscriptions to professional publications, training seminars, office space in my home, and of course tools, were all deductible. If you entertain clients or...Read More...
To remember that the IRS does accept "digital copies"... So scanning receipts and documents to easily find in a years time, when needed, should be flawless... hope this helps :-)Read More...
Oh, sorry, meant to add. Make sure you account for EVERYTHING you’ve spent on business and back it up with proof of receipts. Scan them, make a digital file.Read More...
Hi! I’ve personally owned a s-corporation, a c-corporation and several sole proprietorships and a few partnerships. The BEST advice I can give you is this. Having good professionals doing what your CPA does, (lawyers,etc) is a fantastic support team. Do not let that keep you out of the “numbers”. Let them be a support team and do not rely on them to to just “do it all” and give you reports and returns. Learn as much as you can. If your accountant or CPA or anyone will not take the time to...Read More...
Last Reply By Olivia · First Unread Post

This week in... The Penny Hoarder Community

Ashlee
Happy Friday! Whew! Where has this week gone? Here’s your weekly round up of announcements to get you through today and into the weekend... We’ve crowned our November Member of the Month. Join me in congratulating Lisa Acu ñ a (@lismox) for being selected this month’s winner! We all appreciate your help around here, Lisa. Each month we look to crown a new winner. We’re looking for someone who is super helpful and active in the community. Each winner receives a $25 gift...Read More...
Not a problem, @Lesley Michele .Read More...
Thanks Average Joe😁😁😁😁Read More...
@Lesley Michele , Whoo-hoo to you as well my friend! I hope you're enjoying this fine Friday morning! We look forward to more posts from you here in the Penny Hoarder Community! AverageJoeRead More...
Whoo hoo Everyone!!!Read More...
Last Reply By AverageJoe · First Unread Post

Happy November!

Ashlee
We’ve made it to the end of the week and the start of a new month Penny Hoarders! Who here can’t believe it’s already November? 😳 This week I want to know if you’re a planner or a procrastinator… Do you start planning and budgeting now for holiday purchases or wait until the last minute? What about your New Year’s resolutions? And now for this week’s announcements… We just hit a HUGE milestone Penny Hoarders… 10,000 community members! Join us in a celebratory happy dance, then go check out...Read More...
@Susan L. Miller We have used Freecycle off and on for years. We got the foot and headboards for our queen-sized bed through the program. We have seen many items we no longer use go to other homes that would use them and recommend it heartily! We have also used our "Marketplace" here in our area on Facebook to buy and sell things. There are so many ways to go and programs to use! Happy selling...and as one of our mentors says "Think..and grow RICH!"Read More...
I'm not sure how many were here when I joined the Penny Hoarder Community, but I do know that it seems as if we've grown by leaps and bounds. I've met some interesting people and like having information and ideas coming in! May we continue to grow in numbers as well as in wealth.Read More...
Hello Dear, Thank you very much for your greetings email. Sincerely, Reboti On Mon, Nov 4, 2019 at 9:21 AM The Penny Hoarder Community < [email protected]> wrote:Read More...
Happy November- though it is 78% in San Francisco right now. I love the Fall smells and saving money. I belong to a few local Facebook groups where I often sell or buy things that are not needed and pay very little. Marin Fleamarket, Sam's Closet, or even Freecycle. It feels good to let go of the energy in stuff and also be able to make a little money doing it. If you post regularly, with clear pics and description, your chances are excellent that your trash will be someone else's treasure!Read More...
Last Reply By AverageJoe · First Unread Post

401k contribution

Can increasing your 401k contribution decrease the amount of federal taxes and state taxes that you should pay for the year?Read More...
I know for a fact there is a savers credit for contributing to a ROTH IRA. My tax preparer was saying it only was for contributing to a traditional IRA but I did my research and was able to take advantage of it to not have to pay in at all to federal taxes. (I even got a few bucks back!) It depends on your income situation for the savers credit. For a traditional IRA, there is something but I am not well versed on exactly how that works. I would just recommend doing a little research to see...Read More...
Last Reply By Moore Income · First Unread Post

Disability

Lynn Rosenfeld
Can a disabled low income person receive anything back from the government besides income adjustments IF they give one thar year? A friend in Jersey told me to make sure I file to get mo ey to cover some costs for cloyhes, rx's, etc. Ixm in GA and haven't filed since I've been on it.Read More...
@Lynn Rosenfeld I asked a few Penny Hoarder writers for help here and assuming you mean if you file a tax return with the IRS, can you file for additional tax relief besides income adjustments, this is a possible resource: https://www.benefits.gov/benefit/945 You can check out this article as well: https://www.thepennyhoarder.co...le-accounts-savings/ Let me know if this helps at all!Read More...
LYNN ROSENFELD thats a good questions. thanks for asking.Read More...
Hmm good question - @Ray Taylor Tetreault may have some advice!Read More...
@Briana do you know of any Penny Hoarder members who might have some info on this topic?Read More...
Last Reply By Briana · First Unread Post
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