Looks like I'm owing this year...

AoTFan · February 27, 2018, 05:01:55 PM

So, I started to file my taxes for Federal Income and it looks like I'm gonna owe the IRS $210. Not much for some, I'm sure, but that's a good chunk of a pocket for me.

I really can't believe they'd want anything from me, considering how little I made this year (I'm talking like less than $3,200), but I guess they gotta have their due.

Dunno, holding off on the final filing to do some research to see if there's something, somewhere I haven't thought of, buuut... (shrugs)

Went through some deductions ideas, but don't think any of them apply...

Just wish my at home work would pick up, lately all the guy giving out the good assignments have been gone.

Alex · February 27, 2018, 05:23:08 PM

Hope you keep plugging away and things get back on an even keel mate.

Svengoolie 3 · February 27, 2018, 05:49:46 PM

The new republican tax bill raises rates on everyone who isnct rich thru a lot of sneaky Pete measures.

ER · February 27, 2018, 06:46:48 PM

Take heart, AOT, under the new tax plan I'm told an income as low as yours won't be federally taxed at all next year.

And when the working poor are spared the Obamacare penalty, well, plus on top of plus.

Rev. Powell · February 28, 2018, 09:12:54 AM

****This is not legal tax advice, just information.*****

If you made under $3200 you should not owe any INCOME tax (unless the income was from capital gains or dividends or something like that). If you make under 10,000, you don't even have to FILE income tax, much less pay it. If no one can claim you as a dependent your personal exemption is $4050. That's before applying your standard deduction of $6,350. (This is not new, it's been this way for years).

https://turbotax.intuit.com/tax-tips/irs-tax-return/does-everyone-need-to-file-an-income-tax-return/L7pluHkoW

However, you're probably filing a Schedule C as an independent contractor. You are probably required to pay your self-employed Social Security tax. This may be where you get your $210 figure.

The new tax bill may change your SS self-employment tax next year---I haven't looked into it.

Also you should not owe any "Obamacare penalty" as at your income you should be receiving free health care from Medicare (for another year, at least). If for some reason you chose to opt out of Medicare, you would owe the penalty.

ER · February 28, 2018, 11:08:02 AM

Since 2001 I've been audited at the state level every year save three. My cousins' father holds grudges and has connections. I tried filing a grievance but was told I/we do fit the parameters for justifying these audits, since not all are randomly chosen. They haven't been as terrible as they're made out to be, and when you expect them you can be ready for them and have everything that might be asked for. The IRS has only audited us twice in that same space of time, once supposedly randomly, and once for reason but the state seems out to get us.

AoTFan · February 28, 2018, 07:59:52 PM

Quote from: Rev. Powell on February 28, 2018, 09:12:54 AM
However, you're probably filing a Schedule C as an independent contractor. You are probably required to pay your self-employed Social Security tax. This may be where you get your $210 figure.

Yeah, that's where it is. All my income has been from self-employment this year.

Thought about trying to put down my hamster as a dependent, but that didn't go over so well five years ago (different hamster) and I doubt it'd work this time around either...

AoTFan · March 22, 2018, 06:02:34 PM

So... dunno.. guess I'm STILL owing. Thought maybe I had an out as I was doing some digging on the H&R site and it said I could deduct medical expenses if they came out to over "7.5 % of my AGI". So, I did some checking and it turns out all the prescription meds I bought (some in the few months before I had insurance), comes out to what should be over that amount. Plugged it in, but it STILL tells me that I owe $210. So... dunno... guess I didn't read it right. That or maybe AGI doesn't mean what I thought it meant.

Well, anyway... least I did get SOME credit. The original amount owed would have been $400 something..

kakihara · March 23, 2018, 04:55:06 PM

I would suggest finding a good tax person with good reviews to do your taxes and stay away from things like turbotax or chains like HR Block, they dont care about you and will screw you.

Do not play with the irs, if they come after you they will take everything, and then they will make you pay interest on top of interest. Ive been there. Its better to pay then too much than to owe them.

As for the "republican tax bill", I now have more take home pay and will recieve more on my next tax return, enough to make a real difference in my life. I am far from rich.