The Tax Preparation Blog

Archive for the ‘Tax Software’ Category

Question: IRA withdrawl?

I am a PA. tax payer. I received a 1099-R from Ohio for an IRA that I cashed after my father passed away. Does this have to be reported to my PA. tax return and do I also have to pay estimated tax payments to Ohio for 2007? I use Turbotax. It changed my return from a $1500.00 refund for Pa to a $1100.00 payout. It also printed out 4 vouchers for tax payments to Ohio. Should I be paying taxes to both states?

Answer: You have to report it on your federal return as you know. Pa. does not tax distributions from retirement accounts no matter what. So don’ report it to PA. You are not a resident of OH and the income is from something other than a trade or business or real estate located in OH. Because it is from an IRA it is not subject to tax in OH.
Also, since this is a distribution from an inherited IRA you are not subject to the 10% early withdrawal penalty on the federal return. The code in box 7 of the 1099R should indicate that the distribution is by reason of death and that make it penalty free if you are under 59 and one-half.

What would it really take to trim the deficit?

By Chris Farrell The size of the federal deficit is repeated so often by politicians and the news media that it’s easy to become numb to the sheer magnitude of the number — an estimated $1.29 trillion for the fiscal …

How and Why Employee Benefits are a must for todays workers!

ERICSSON REPORTS THIRD QUARTER RESULTS

STOCKHOLM, SWEDEN–(Marketwire – October 22, 2010) -

FHA 203k Streamline Financing Rehab Loan Program

Question: Florida Income Tax Calculator?

summer job at day care center. dont know how much it pay but i guess atleat $8

so if the job pay $8 and 8 hours a day
how much will i get after taxes?
im a dependent soon to be college student. rest information idk
since florida dont have income tax then what other tax will be apply to my salary?

Answer: Florida doesn’t have an income tax.

How to Deal With Debt After a Divorce When Ex-Spouse Won’t Pay

Even if there’s a court order, getting money out of a deadbeat ex isn’t easy

2011 Income Tax Calculator

Question: HOW MUCH WILL BE TAKEN OUT OF MY PAYCHECK?

I live in Virginia. I did that calculator online…but I’m not really sure what qualifies as taxable income.

I’ll be making $17 an hour, 40 hours a week. So roughly $680 a week.

I claim myself for Virginia taxes, as a single person, and exempt myself from Federal taxes.

Anyone know what my net income will be?

Answer: 7.5% goes toward Social Security then 3% medicare.
State Taxes, unemployment insurance and what ever else Virginia takes

5 ways to get your retirement back on track

The road to retirement is positively littered with obstacles. Investment portfolios have been rear-ended; home equity, once a reliable supplement to savings, is deflated; job losses and pay cuts further impede progress.

Question: Will I have to pay taxes on my unemployment compensation?

I made approx. $13K in 2009, all from unemployment. I have one dependent. I’m thinking of letting her father claim her, as he had earned income. I did a calculator on TurboTax and it said that I didn’t owe or get a refund. Is this accurate? Do I even need to file a tax return?

Answer: If you claim her, you won’t owe any income tax. If you don’t claim her, you will owe around $125. And in either case, yes you need to file a tax return.

If your child lives with you and doesn’t live with her dad, then him having earned income is meaningless, since he wouldn’t be eligible for EIC – you only can get that if the child lives with you.

7 secrets to a richer retirement

With stock returns projected to be low and pensions going the way of Lindsay Lohan’s career, retirement planning can seem awfully daunting these days. You can’t change the market or your employer’s largesse.

Federal Income Tax Refund Calculator for 2009, 2010