The Tax Preparation Blog

Posts Tagged ‘home’

Question: How are federal taxes calculated on an individuals yearly earnings,e.g. by a percentage or formula chart ?

’06 was a “really wonderful” year for me financially !! The I.R.S. is gonna’ love me, but I’m stocking up on vaseline before hand..Company I worked for “Consolidated”, putting me out of a job.. Bad enough, but, I had an outstanding loan on my 401-K account which became immediately due as soon as I was laid off.. Long story short.. Money from loan was long gone despite the fact I had taken the loan out for 4 years.. Impossible to repay loan within the 30 days from lay-off so loan becomes taxable income..Because of my age I “only” had to pay a 10% penalty, but the loan is considered taxable income.. Question: How big a “hit” tax wise am I looking at ?? We’re talking about a sum under $20,000.00 that I have to claim.. Also will have to pay state income tax on the same money……New York state no less !! Yes, ’06 was a very good year !! NOT!!!

Answer: A better category would have been personal finance, as this DIY category mainly deals with do-it-yourself home-specific projects.

However, you have been sadly hit by the gremlin which befalls many during a transitional period.
Failure to repay to 401.

Fed & State taxes are caluclated as a percentage of income, however, the do make available tax-tables which ease the calculations.
The $20,000 bumps you into a higher marginal tax rate — that means you’ll be paying a higher percentage of tax on this 20k than you did on your regular salary.

Tax is owed, as it was never taken out before — shielded by the 401k.

Below is link to the IRS tax tables, and New York tax schedule.

good luck.

Obama leading the way toward debt crisis

This past year has been one of runaway, crazed political recklessness. We now face extraordinary dangers as a country, and President Obama gives no sign of planning to apply the brakes. Sooner or later, get ready for a crash if he doesn’t. Not that Obama is wholly responsible for the truly frightening rise in federal debt that we see—all kinds of factors are at work, from a welfare state going …

TaxPlus – Tax Information By Subject

Question: If I decide to amend my 2008 tax returns to claim the first time home buyer’s tax-credit…..?

How long will it take to receive the money?

Answer: at least 12 weeks. maybe more if the IRS asks you to provide more information (i.e., settlement statement). I would count on no sooner than 16 weeks to be safe.

County adopts budget with 10-percent tax hike

WILKES-BARRE – Luzerne County Commissioner Chairwoman Maryanne Petrilla and Commissioner Thomas P. Cooney voted Thursday to adopt a $124.8 million budget and raise the property tax rate by 10 percent. Commissioner Stephen A. Urban voted against the 2010

$8000 Home Buyer Tax Credit

Question: Do I file a state amended tax return if I’m filing a federal amended return?

I am filing a federal amended return because I accidentally included scholarship money as income when it was tax-free, and I also am taking the Lifetime Learning Credit on my amended return. So, my income is smaller and my refund is much nicer. Should I also fill out a state amended return? I filled out the New York State Part-Year resident return. Ideally, should I be given a larger refund from New York as well? Thank you.

Answer: If you included money as income on your state return also that isn’t taxed by your state, then yes, amend your state return also.

SunAmerica Focused Alpha Growth Fund Announces Estimated Sources of Dividend Distributions

JERSEY CITY, N.J.—-SunAmerica Focused Alpha Growth Fund, Inc. , a closed-end fund , today announced the estimated amounts of the sources of the Fund’s fourth quarterly dividend distribution of $0.05 per share of common stock declared on December 2, 2009 and payable on December 30, 2009 and the cumulative dividend distributions paid year to date.

Tax Forms & Deductions : How to File an Amended Tax Return

Question: I just moved to a different state do I have to file this state tax return if I didn’t work in this state?

I lived in texas for 2008 employment and they have no state taxes I just moved to california a month ago do I have to file a state return even if I haven’t worked here

Answer: If you did not live in CA or earn any income in CA in 2008 there is no reason to file a CA return.

Bear in mind that if you filed your Federal return with a CA address, the FTB may ask you to file a CA return for 2008 on the mistaken assumption that you lived in CA in 2008. Just provide proof that you did not live in CA in 2008 and they will drop the claim. Almost anything will suffice as proof, such as a copy of an old TX lease, TX utility bill, 2008 W-2 with a TX address, a CA lease with a move-in date in 2009, CA voter registration in 2009, CA drivers license issued in 2009, etc.

Schwarzenegger budget ax would fall heavily on poor

The latest budget plan from California Governor Arnold Schwarzenegger would force 200,000 children off low-cost medical insurance, end in-home care for 350,000 infirm and elderly citizens and slash income assistance to hundreds of thousands more.

Let’s Talk Taxes

New era begins Tuesday for New Jersey legislature

TRENTON — With New Jersey facing its worst financial trouble in generations, property taxes averaging more than $7,000 and immigration the only thing keeping its population from draining, state voters last year turned to a candidate with just a three-year history in elective office, Chris Christie, as their governor.

Let’s hunt Dolphins