Filing your taxes...

dcfaithful

So, I got my W-2 today and it is now time to file my taxes. For the past like three years, a good friend of mine has really endorsed Turbo Tax, and around tax time, he won't let it go and swears by it. He claims that you can get more money from Turbo Tax, but I don't believe that.

Every year I call upon my mom's accountant who handles her businesses tax stuff. I have never had a problem with this woman. To be honest, I trust her more than I do myself on Turbo Tax. When I was a teenager and filing my taxes after working one of my earlier, "high school kid" jobs my dad helped me but he miscalculated and I got audited a few years later and had to pay money.

To me, your taxes are a cut and dry figure. Granted I do not know a lot about taxes and I am pretty terrible with accounting, numbers, etc. my logic tells me that by doing your taxes correctly you'll wind up with the same amount everytime because that's how mathematics and formula's work... there is only one correct end amount that is your return.

Am I right, or is it really possible to change your refund depending on how you file?

Who Princess

Beats me. Everybody claims to get you the best refund.

I use Turbo Tax because I also use Quicken and it's easy to import your financial information. But my taxes are semi-complicated because my prince is self-employed (musician) on the side. If I didn't use Turbo Tax I'd be going to an accountant. No way I could know all that stuff on my own.

But I haven't gotten a refund in years. I wouldn't know what it was.

dcfaithful

Who Princess wrote:

Beats me. Everybody claims to get you the best refund.

and this is something that has just confused me... I guess I've always believed that there is only one refund amount depending on the income figures you report.

A refund of any sort is good for me, I just don't want to have to pay the IRS out of pocket. Fuuuuuck that.

Monster Rain

I use H&R Block's tax software. Theoretically, you'll get the same refund or owe the same amount no matter who does your taxes. There's no special deduction for using Turbo Tax or H&R Block's software. In reality, though, you need to know which deductions you can take in order to save yourself the most money, so the software can be better if you have an accountant that isn't very good. I don't have anything too complicated but it's enough to not want to sit and fill out paper forms with no guidance, so I use software. I think it's cheaper for me to do that than use an accountant. If I had something that I wasn't 100% sure about I'd probably go to an acountant or H&R Block office and have them do my taxes just so I had a professional available to actually talk to in person. If you're happy with the person doing your taxes, then there's no reason to change (unless you're paying a lot of money for it and your taxes are simple).

dcfaithful

Monster Rain wrote:

I use H&R Block's tax software. Theoretically, you'll get the same refund or owe the same amount no matter who does your taxes. There's no special deduction for using Turbo Tax or H&R Block's software. In reality, though, you need to know which deductions you can take in order to save yourself the most money, so the software can be better if you have an accountant that isn't very good. I don't have anything too complicated but it's enough to not want to sit and fill out paper forms with no guidance, so I use software. I think it's cheaper for me to do that than use an accountant. If I had something that I wasn't 100% sure about I'd probably go to an acountant or H&R Block office and have them do my taxes just so I had a professional available to actually talk to in person. If you're happy with the person doing your taxes, then there's no reason to change (unless you're paying a lot of money for it and your taxes are simple).

My taxes are pretty simple. The accountant I use charges me a very very fair price because not only is she good-hearted, but she's a family friend as well. I don't think I'll change my method... I just want to unravel this mystery.

Thanks for that post, that helps me understand this.

Again... me + filing taxes = stupidity.

Indifference71

dcfaithful wrote:

Who Princess wrote:

Beats me. Everybody claims to get you the best refund.

and this is something that has just confused me... I guess I've always believed that there is only one refund amount depending on the income figures you report.

A refund of any sort is good for me, I just don't want to have to pay the IRS out of pocket. Fuuuuuck that.

Refunds are good. Got the last of my W2 info today so I'll be working on my taxes this weekend. I've just done it myself on H&R Block the past few years and haven't had any issues.

of.the.girl

It can vary each year. Whether or not you have donations, do home improvements, interest, or anything like that. But no matter who you go to, that person may or may not be up to date on the latest and greatest tax laws and deductions. So make sure they are always current with that stuff

81

you DO want to pay the IRS out of pocket....it's called a free loan.


in theory....everyone/every tax program should come up with the exact same answer....

i assume your taxes are pretty basic....w2, maybe some school on there...but not much else...ie, i don't think you are a home owner or would have deductions big enough to need to itemize on schedule A....so once again...everyone should come up with the same number.

now if you do need to fill out a schedule A or some other forms...for say if you are a business owner or what not...then you can fudge things a little more. i reviewed some tax forms for this lady for this company we were buying and she was taking her daughters personal vehicle as a deduction....pretty shitty.

anyways......for simple tax stuff...i recommend going to irs.gov and clicking thru to the free efile. super easy and gets your refund quick. the federal return is 100% free....if your adjusted gross income is under 57,000


http://www.irs.gov/efile/article/0,,id= ... ortlet=106


personally, i would never pay H&R block, or liberty .... i gotta believe all they do is punch your data into teh computer, just like you could do yourself...for free.

StillHere

I've used Turbo Tax for several years now
you input the info and they guarantee that their calculations are correct, but of course, not your info
its straight-forward, easy, and for some, free for federal
this year, it did help me recognize some deductions that i could take that i had not considered
and therefore, increased my refund

dcfaithful

81 wrote:

you DO want to pay the IRS out of pocket....it's called a free loan.


in theory....everyone/every tax program should come up with the exact same answer....

i assume your taxes are pretty basic....w2, maybe some school on there...but not much else...ie, i don't think you are a home owner or would have deductions big enough to need to itemize on schedule A....so once again...everyone should come up with the same number.

now if you do need to fill out a schedule A or some other forms...for say if you are a business owner or what not...then you can fudge things a little more. i reviewed some tax forms for this lady for this company we were buying and she was taking her daughters personal vehicle as a deduction....pretty shitty.

anyways......for simple tax stuff...i recommend going to irs.gov and clicking thru to the free efile. super easy and gets your refund quick. the federal return is 100% free....if your adjusted gross income is under 57,000


http://www.irs.gov/efile/article/0,,id= ... ortlet=106


personally, i would never pay H&R block, or liberty .... i gotta believe all they do is punch your data into teh computer, just like you could do yourself...for free.

My taxes are very basic. I have one W-2 (next year I'll have two) and my employer pays for my school... so I don't believe I can claim anything on that.

I do not own a home. Is a car considered a deduction? Either way, I paid my car off just this past year (2011).

inmytree

dcfaithful wrote:

So, I got my W-2 today and it is now time to file my taxes. For the past like three years, a good friend of mine has really endorsed Turbo Tax, and around tax time, he won't let it go and swears by it. He claims that you can get more money from Turbo Tax, but I don't believe that.

Every year I call upon my mom's accountant who handles her businesses tax stuff. I have never had a problem with this woman. To be honest, I trust her more than I do myself on Turbo Tax. When I was a teenager and filing my taxes after working one of my earlier, "high school kid" jobs my dad helped me but he miscalculated and I got audited a few years later and had to pay money.

To me, your taxes are a cut and dry figure. Granted I do not know a lot about taxes and I am pretty terrible with accounting, numbers, etc. my logic tells me that by doing your taxes correctly you'll wind up with the same amount everytime because that's how mathematics and formula's work... there is only one correct end amount that is your return.

Am I right, or is it really possible to change your refund depending on how you file?

just my two cents, I used to use Turbo Tax but the kept jacking up the price...I switched over to Taxslayer...I really liked it and plan on using that software again this year...

basically if you have all your paperwork in hand, it's just a matter of following the directions and punching in the numbers...

81

inmytree wrote:

dcfaithful wrote:

So, I got my W-2 today and it is now time to file my taxes. For the past like three years, a good friend of mine has really endorsed Turbo Tax, and around tax time, he won't let it go and swears by it. He claims that you can get more money from Turbo Tax, but I don't believe that.

Every year I call upon my mom's accountant who handles her businesses tax stuff. I have never had a problem with this woman. To be honest, I trust her more than I do myself on Turbo Tax. When I was a teenager and filing my taxes after working one of my earlier, "high school kid" jobs my dad helped me but he miscalculated and I got audited a few years later and had to pay money.

To me, your taxes are a cut and dry figure. Granted I do not know a lot about taxes and I am pretty terrible with accounting, numbers, etc. my logic tells me that by doing your taxes correctly you'll wind up with the same amount everytime because that's how mathematics and formula's work... there is only one correct end amount that is your return.

Am I right, or is it really possible to change your refund depending on how you file?

just my two cents, I used to use Turbo Tax but the kept jacking up the price...I switched over to Taxslayer...I really liked it and plan on using that software again this year...

basically if you have all your paperwork in hand, it's just a matter of following the directions and punching in the numbers...

if you are under 57K AGI....you can use their software for free...if you go to irs.gov

inmytree

81 wrote:

inmytree wrote:

dcfaithful wrote:

So, I got my W-2 today and it is now time to file my taxes. For the past like three years, a good friend of mine has really endorsed Turbo Tax, and around tax time, he won't let it go and swears by it. He claims that you can get more money from Turbo Tax, but I don't believe that.

Every year I call upon my mom's accountant who handles her businesses tax stuff. I have never had a problem with this woman. To be honest, I trust her more than I do myself on Turbo Tax. When I was a teenager and filing my taxes after working one of my earlier, "high school kid" jobs my dad helped me but he miscalculated and I got audited a few years later and had to pay money.

To me, your taxes are a cut and dry figure. Granted I do not know a lot about taxes and I am pretty terrible with accounting, numbers, etc. my logic tells me that by doing your taxes correctly you'll wind up with the same amount everytime because that's how mathematics and formula's work... there is only one correct end amount that is your return.

Am I right, or is it really possible to change your refund depending on how you file?

just my two cents, I used to use Turbo Tax but the kept jacking up the price...I switched over to Taxslayer...I really liked it and plan on using that software again this year...

basically if you have all your paperwork in hand, it's just a matter of following the directions and punching in the numbers...

if you are under 57K AGI....you can use their software for free...if you go to irs.gov

yeah, I just read you're post, I may do that this year...thanks... :thumbup:

81

dcfaithful wrote:

My taxes are very basic. I have one W-2 (next year I'll have two) and my employer pays for my school... so I don't believe I can claim anything on that.

I do not own a home. Is a car considered a deduction? Either way, I paid my car off just this past year (2011).

no, you car is not deductable...unless you are running a business with it....then you could do something.

school tuition behond the reimbursement could be deducatable...as could intrest paid on student loans...

81

inmytree wrote:

yeah, I just read you're post, I may do that this year...thanks... :thumbup:

please send half your savings to

81
c/o pearl jam
seattle, wa

thanks

dcfaithful

81 wrote:

dcfaithful wrote:

My taxes are very basic. I have one W-2 (next year I'll have two) and my employer pays for my school... so I don't believe I can claim anything on that.

I do not own a home. Is a car considered a deduction? Either way, I paid my car off just this past year (2011).

no, you car is not deductable...unless you are running a business with it....then you could do something.

school tuition behond the reimbursement could be deducatable...as could intrest paid on student loans...

No student loans, so no interest paid, and I haven't had to pay anything additional for tuition... so yeah, I don't think I can claim anything regarding school.

Also, what is all the necessary paperwork again? W-2, is that all? God, I hate filing taxes.

inmytree

81 wrote:

inmytree wrote:

yeah, I just read you're post, I may do that this year...thanks... :thumbup:

please send half your savings to

81
c/o pearl jam
seattle, wa

thanks

you got it...

inmytree

dcfaithful wrote:

81 wrote:

dcfaithful wrote:

My taxes are very basic. I have one W-2 (next year I'll have two) and my employer pays for my school... so I don't believe I can claim anything on that.

I do not own a home. Is a car considered a deduction? Either way, I paid my car off just this past year (2011).

no, you car is not deductable...unless you are running a business with it....then you could do something.

school tuition behond the reimbursement could be deducatable...as could intrest paid on student loans...

No student loans, so no interest paid, and I haven't had to pay anything additional for tuition... so yeah, I don't think I can claim anything regarding school.

Also, what is all the necessary paperwork again? W-2, is that all? God, I hate filing taxes.

I'm pretty sure if you have an interest earning savings account of which you received more than $10 in interest you should receive a 1099int....you'll need that to file...

maj4e

An accountant should always get you more as a rule of thumb. But the fees they charge may outweigh it. In my late 30's and my taxes are relatively complicated so I always use the same accountant. Costs 250 but piece of mind is worth it.

81

dcfaithful wrote:

No student loans, so no interest paid, and I haven't had to pay anything additional for tuition... so yeah, I don't think I can claim anything regarding school.

Also, what is all the necessary paperwork again? W-2, is that all? God, I hate filing taxes.

your taxes are so easy....

one W2....if you have a savings account, you should get a 1099-INT....sounds like that would be it...

sounds like we have a 5 minute tax return.

81

maj4e wrote:

An accountant should always get you more as a rule of thumb. But the fees they charge may outweigh it. In my late 30's and my taxes are relatively complicated so I always use the same accountant. Costs 250 but piece of mind is worth it.

not if you do them right....unless the account is adding in fake deductions....

plus remember to check that they deducted their fee....since it is tax deductable.

mine are defiantly a litte more complex that most...i'm not a business owner...but i do have stocks that i have to deal with, and dividends...plus the house schedule A for home owners intrest/taxes/etc...and i do them myself....

mabye i should test somebody this year to see if they can find more...but i doubt it...taxes really are not hard as long as you follow the bouncing ball of form 1040

Indifference71

81 seems to be the tax expert here so I have a question for ya- I changed companies this year and I received a 1099 form for my 401K that was paid out by my previous company. I did roll over all of that to my new company. Do I need a form from the new company to show that I rolled that over? Because otherwise, wouldnt that 401K money just be viewed as income?

81

Indifference71 wrote:

81 seems to be the tax expert here so I have a question for ya- I changed companies this year and I received a 1099 form for my 401K that was paid out by my previous company. I did roll over all of that to my new company. Do I need a form from the new company to show that I rolled that over? Because otherwise, wouldnt that 401K money just be viewed as income?

i'm no expert...but i did get an A in peronsal taxes years ago in college. taxes really are easy...if you just follow the 1040 form step for step...




http://www.bankrate.com/finance/money-g ... ers-1.aspx

assumed your 1099 form is correct, you don't need to do anything.

and yes...if you did take 401k money out, you would have to report it as income and pay a 10% penalty for early withdrawl.

Indifference71

81 wrote:

i'm no expert...but i did get an A in peronsal taxes years ago in college. taxes really are easy...if you just follow the 1040 form step for step...




http://www.bankrate.com/finance/money-g ... ers-1.aspx

assumed your 1099 form is correct, you don't need to do anything.

and yes...if you did take 401k money out, you would have to report it as income and pay a 10% penalty for early withdrawl.

Ha...funny thing is I just got done looking at that same exact website. I guess we both know how to use google, huh?

My 1099 form is at home....hopefully my former employer didn't fuck that up....those bastards.

81

great minds....

Mamasan23

I do my own taxes every year and since hubby started his own company they've gotten much harder. Last year we actually ended up owing the man.

What did my mom say to that? Have a kid, you'll get yourself another deductible. :evil:

81

Mamasan23 wrote:

I do my own taxes every year and since hubby started his own company they've gotten much harder. Last year we actually ended up owing the man.

What did my mom say to that? Have a kid, you'll get yourself another deductible. :evil:

once you go corporate.....the difficutly rises exponentialy...or something like that.

i think i got a C in corp tax.

JOEJOEJOE

I find it comical that a tax service would have to guarantee that all of their mathematical computations are correct....users should be able to assume that 99.9999% of any sort of software that involves computations are always correct!

If your tax return is very simple, it doesn't matter much which program you use to file. Once your tax returns get more complex (being self employed, having a mortgage, making sizable charitable donations, being eligible for certain tax credits, taking-on new dependents, etc.) it is a good idea to pay someone who can advise you on grey areas. Every tax preparer has a different opinion on audit risk/agressiveness, so you need to find someone who is on the same page as you.

Mamasan23

81 wrote:

Mamasan23 wrote:

I do my own taxes every year and since hubby started his own company they've gotten much harder. Last year we actually ended up owing the man.

What did my mom say to that? Have a kid, you'll get yourself another deductible. :evil:

once you go corporate.....the difficutly rises exponentialy...or something like that.

i think i got a C in corp tax.

Sure did - I was arrogant enough to think it wouldn't be that bad. Not gonna happen again this year!

maj4e

Indifference71 wrote:

81 wrote:

i'm no expert...but i did get an A in peronsal taxes years ago in college. taxes really are easy...if you just follow the 1040 form step for step...




http://www.bankrate.com/finance/money-g ... ers-1.aspx

assumed your 1099 form is correct, you don't need to do anything.

and yes...if you did take 401k money out, you would have to report it as income and pay a 10% penalty for early withdrawl.

You'll get a 1099 but if you look in the taxable box it should say zero as long as the disbursement was made directly (or the check made out directly) to another 401k provider. I did it too this year.



Ha...funny thing is I just got done looking at that same exact website. I guess we both know how to use google, huh?

My 1099 form is at home....hopefully my former employer didn't fuck that up....those bastards.

81

you know the thing that pisses me off about taxes....when just after you sign them and mail them off...your stock broker sends a revised statement....

:x