Taxes-dont be afraid!!!

[debilorrah]

I have debated posting this in light of all the fighting and rude posts lately, but decided I would with the disclaimer that I will have it shut down at the first sign of rudeness.

Last year I made between 33 and 36 K per year. My son was not in school and turned 19.... For the first time in my life I wound up owing almost $1K in taxes.

I have no home to write off, No donations to speak of. Is there anything I can do to offset the expense???? I really do not have the money to pay them. I know about payments, but I leaning more towards an offer in compromise. Does anyone know much about this???

This is not a debate about the state of our nation. It is not about who is in charge and what he or she is or is not doing......

Just seeking information.

Thanks!!

 

[redhen]

Darn! That sucks Debi! DO you claim 0 on your taxes to get a bigger pay check weekly? If so, that could be why you have to pay in..i always claimed 1 or even 2 dependents..i get less in my pay check but i have never owed taxes and usually get something back. Good Luck!

 

[debilorrah]

Quote:
I know I didnt claim enough but never expected it to be THIS bad. I am just trying to figure it all out.

 

[redhen]

Quote:
I know I didnt claim enough but never expected it to be THIS bad. I am just trying to figure it all out.

That sucks Deb. I dont know what else you can do now ..darn! Hopefully some IRS gurus can chime in and help ya out.

 

[saddina]

Not much of a help for last years but....

Did you sell eggs, chick, or birds last year? If so did you fill out a schedule C for any profits/losses for the year? Did you write off feed, housing, bedding, supplies etc as a business expense? Did you keep good recipts of any of the above?

Now then, if your son is at home, can you send his butt to the community college for a 1/2 load, so he's still claimable as a dependant? or tradeschool if he wants to do something hands on?

There may still be time to ammend last years return if you kept good records (there's an excell sheet a guy named steve (sorry forgot which steve but love the form) posted for tracking this, let me dig it up...

https://www.backyardchickens.com/forum/viewtopic.php?id=124260

You'll want the expanded form download, if you need excel help PM me and I'll talk you thru it (I was a coporate trainer at IBM, 40 hours a week of how to use MS Office).

 

[JewellFarm]

My husband and I make much more than that together, so we both claim 0 and have about $10.00 extra taken out of both state and fed. each payday. We only have 1 child and end up doing very well at tax return time. Sorry I can't help with the here and now, but maybe this is something to consider for the future.

 

[hikerchick]

Quote:
the more you claim the less they withhold

 

[jjdward]

Listen to Saddina!! She is a wiz. I just love her!!!!

 

[redhen]

Quote:
the more you claim the less they withhold

Your right! Duh! I forgot..i havent had to claim my job income in like 5 years now.. (my job/pay now is tax free)
oops! right..if you claim 0 they take more out of your check..sorry..i forgot how i used to do it..

 

[NancyDz]

i'd be surprised if you could get an offer in compromise, they usually only make those when they think there is no way they can get the money from you otherwise. With that kind of regular income.. I doubt they will go for it. I hope you adjusted your withholding as it will be the same next year and we are already half way done with this year. I went through the same thing a couple years ago, made some adjustments that were fairly painless and now I don't have to pay. Also take advantage of taxcaps and pre tax medical accounts , etc that your company may offer. These do help even though a lot of people don't take advantage of these programs. Call them though.. they are amazingly helpful and tell you all your options.
If you don't like the person you talked to, hang up and call back another time. I've had some GREAT info from some and then i've had a couple idiots. I'd suggest calling during the day.. as the evening seems to get the less knowledgable workers. They'll work with you.