The Tax Preparation Blog

Archive for the ‘Paying Taxes’ Category

Question: Amending a tax return?

I need to ammend my tax return because I forgot to put my child support income. I have already file my returns and receive payment for my federal and the other one should be on its way. Should I send the IRS payment for the difference of what I receive and my new refund? Do I just have to file 1040x and IT201X or do I also have to include 1040A and IT201 with the supporting schedules as well? Thanks for your help.

Answer: Child support is not taxable to the person who receives it, so you shouldn’t have to do anything, as long as it is not classified as alimony in the divorce agreement.

Higher taxes, gas prices, home values were big economic issues over past 10 years

Though the invisible hand of the market is the common visual for the economy, perhaps a better representation for the economy over the last 10 years might be a clock pendulum: going back and forth, back and forth, back and forth.

3.08 Federal Income Tax

Credit demand from consumers seemed to be back on track, especially in sectors such as auto and home loans though banks had cut down unsecured loan exposures, said KV Kamath, chairman of ICICI Bank.

“So far as mortgages are concerned, I think they are back from where they were a year ago. The tension between buyer, builder, and the lender is now more or less off. Auto sector financing is also back,” Kamath said at the sidelines of a banking seminar. The chairman of the country’s largest private sector bank felt 80 per cent of the consumer loans were back, the remaining 20 per cent mostly unsecured loans had taken a back seat.

“Unsecured consumer credit is certainly hit. Banks are not lending unsecured loans,” he said. “We at ICICI Bank have significantly slowed down unsecured loans since one year. We only give unsecured loans to few existing clients, which have deposits and a good track record with us,” he said while adding that ICICI Bank took the lead in slowing down unsecured loans.

Though home loans have picked up, commercial real estate loan demand is still slack due to excess capacity creation.

The growth of retail credit demand was not reflected in the overall credit growth numbers as a slowdown in working capital demand dragged down the overall numbers, felt Kamath.

“It’s not reflected in the numbers because lack of working capital. This loan is distorting the numbers. If we keep the working capital loan aside, lending rate will be healthy by the end of the year,” he said while adding that credit growth for 2009-10 was likely to be 29 per cent except the working capital loan.

Credit growth during April 1 to August 14 was only 1 per cent compared with 3.3 per cent a year ago.

He said projects which were in a conception stage a few months back were being implemented now.

On interest rates, he said, “To me, I do not fear interest rates to go up immediately. What the Reserve Bank of India will do if inflation rears up, we think we have to wait for one month for the monetary policy. It may react based on the what is the type of inflation and whether monetary policy action will help or not,” he said

Courtesy:- BS dt:- 08-09-2009

Reportlinker Adds US Electronic Bill Presentment and Payment Industry

Reportlinker.com announces that a new market research report is available in its catalogue:

ICICI Bank Home Loans TVC – Shuruvat Se Griha Pravesha Tak

Question: Turbo Tax Online and Stimulus Payments…?

Did anyone file with Turbo Tax Online and actually get their stimulus payment direct deposited on the time it said? Just wondering…I filed with turbotaxonline.com and am suppose to get my check tomorrow. I did not have any fees deducted from my check….Do you think that I will get it direct deposited or a paper check?

Thanks for the answers..Just curious?

Answer: Not too sure why the bananas guy keeps telling everyone to ask Judy, she doesn’t know everything. And clearly neither does he.

Anyways if you had no fees taken out or if you paid them ahead of time you will get a dd into your account, only the people that had fees taken out are getting paper checks.

Consumer watch: When that $399 computer costs $1,009, plus tax

Sales can offer good deals but beware of the sharks out there.

Making WI Business Tax Payments and Printing Returns-My Tax Account

Question: How much should I have paid in Estimated Taxes for 2007?

I am a self-employed college student and made less than $350 in 2006 and made between $10,000-$15000 in 2007. I was reading the 1040ES and it says this:

“You do not have to pay estimated tax for 2007 if you were a U.S. citizen or resident alien for all of 2006 and you had no tax liability for the full 2006 tax year. You had no tax liability for 2006 if your total tax was zero or you did not have to file an income tax return.”

I was a citizen for all of 2006 and received back every bit of Federal Income Tax paid. I worked for about a month at a grocery store.

Does this mean I won’t have to pay penalties/interest for failure to file/underpayment for 2007? I believe I satisfy the requirements for an exception.

Thanks

Answer: You won’t owe any penalty for underwithholding, or owe any interest assuming you pay your entire tax for the year by 4/15/08.

Penalty on required minimum distributions?

There is an exception to the underpayment penalty if you take RMD late in the year.

Question: Why does my paycheck pay no federal income taxes?

I received my first paycheck, but for some reason the Federal Income Tax slot says 0. Should I be worried about the end of the year?
Well, this is an on-the-side second job that pays me minimum wage and around 8-15 hours a week. And yes, as a college student, I am a dependent. So I guess that’s interesting to know.
And I wrote no allowances (0 for all A-H) and left the exempt box empty.

Answer: How much will your annual income be? If it is low, you may not owe any taxes. If you make less than $5450, and are a dependent, you owe no federal tax. If you are single and not claimed by your parents and make less than $8850, you will owe no tax. What did you claim on your W-4 form?** TO add: If your total income will be less than $5450, you won’t owe tax anyway. If some is withheld later, then you should file for your tax refund (1040EZ). ** Well, what will your total income from both jobs be? Is the first job withholding federal? If it is not, there is a box on your W-4 form that is for withholding additional federal tax, you can estimate the tax you wil owe on a sample 1040 form (or just go to the tax tables at www.irs.gov) and make sure enough is being withheld.

New York State Has First Deficit in General Fund

After months of plunging revenue and budget battles, New York owed nearly $1 billion on Wednesday.

Aaron Russo – ‘America: Freedom to Fascism’ [YT LINK 1:49:28]