Tax Season

[willeyeam]

Oh you guys are waiting for your 2023 returns, that's cute. I just met with the IRS last week to prove I am myself to obtain my 2022 refund and now it takes up to 180 days from that meeting to process. Really cool!

[King Colby]

I'm gonna owe a lot I think so I'm avoiding even looking at it. Had been receiving large refunds so I adjusted my withholdings, and I also cashed out some long term stock gains, savings bonds, and converted rollover funds to roth.

[mac5155]

I'm still not convinced they won't hold up my 2023 refund until this tax bill they claim I owe from 2021 is resolved.

[dodint]

I haven't even started yet. I hate this.

[Shyster]

Did all of mine a couple weeks ago. Owed like $2 to PA and $350 to the feds.

[King Colby]

Hypothetical: if I have 20,000 in child care expenses and pay for 5,000 out of a dependent care fsa, are the other 15,000 still "eligible" for the regular dependent care tax credit (of which I'd get a percentage of the $6,000 cap)?

In other words can I get both the 5,000 deduction to taxable income as well as the 20% credit on $6,000? Provided my expenses are at least $11,000?

[mac5155]

Beveridge is your guy for this.

[Beveridge]

Hypothetical: if I have 20,000 in child care expenses and pay for 5,000 out of a dependent care fsa, are the other 15,000 still "eligible" for the regular dependent care tax credit (of which I'd get a percentage of the $6,000 cap)?

In other words can I get both the 5,000 deduction to taxable income as well as the 20% credit on $6,000? Provided my expenses are at least $11,000?

It's one of the rare instances where the IRS gets it right. You can't double dip, but if you have leftover expenses you can put it against the credit. The FSA is awesome because it's dollar for dollar reduction of all payroll taxes, not just income tax.

So if you have 2 or more kids and have 11,000+ in eligible expenses with a $5,000 dependent care FSA, you can still get a % of the 6,000.

[mac5155]

BTW Bev... Still no DCFSA line on my wife's W2 :meowshrug: (though we had 11,450 for 2 kids)

[Beveridge]

Can you at least tell that her income is reduced by the $5,000 despite them not putting it on the W2?

[Beveridge]

Hypothetical: if I have 20,000 in child care expenses and pay for 5,000 out of a dependent care fsa, are the other 15,000 still "eligible" for the regular dependent care tax credit (of which I'd get a percentage of the $6,000 cap)?

In other words can I get both the 5,000 deduction to taxable income as well as the 20% credit on $6,000? Provided my expenses are at least $11,000?

It's one of the rare instances where the IRS gets it right. You can't double dip, but if you have leftover expenses you can put it against the credit. The FSA is awesome because it's dollar for dollar reduction of all payroll taxes, not just income tax.

So if you have 2 or more kids and have 11,000+ in eligible expenses with a $5,000 dependent care FSA, you can still get a % of the 6,000.

At second glance I might be wrong. I don't have a dependent care FSA so it's not something I do. I would have to sit down and do the form by hand, but I'm thinking in you scenario you would only get a % of the $1,000 remaining. FSA is still way to go since it's dollar for dollar. I might have given the IRS too much credit because I think you should be able to do both if you can.

[mac5155]

Can you at least tell that her income is reduced by the $5,000 despite them not putting it on the W2?

An even $5k? No. She has a ton of pre tax deductions like health insurance, FSA, 401k etc

[mac5155]

Refund was reduced by $41.88 to pay a prior tax obligation.

These f wads paid someone $40-50 an hour to get $42 from me.

Hopefully this resolves my 2021 'issues'. I see two IRS letters in my Informed Delivery today.

[robbiestoupe]

Refund was reduced by $41.88 to pay a prior tax obligation.

These f wads paid someone $40-50 an hour to get $42 from me.

Hopefully this resolves my 2021 'issues'. I see two IRS letters in my Informed Delivery today.

Correction, your tax dollars paid someone to tell you to pay more taxes

[dodint]

I just ran my taxes and it's the worst year we've ever had. It's my wife's first full year working at Excela/Independence and I guess we never noticed she is only have her federal tax withheld at about 7.5%. Our effective tax rate is around 15% so there is a shortfall of over $5k there. *sigh*

I am pleasantly surprised how easy the local tax return online with Berkheimer is, at least. Great illustration of how simple tax returns could be with a flat tax w/no deductions.

[NTP66]

Source of the post I am pleasantly surprised how easy the local tax return online with Berkheimer is, at least.

Is this your first time submitting with them? Let me know how it goes in the upcoming months. They have been a **** disaster for everyone I know whose township uses them, myself included. Multiple times I have had them come back to me months later stating "we didn't receive this", even though the document they say they never received shows up in their own **** online portal on my account.

[skullman80]

Your post reminded me we had to do our local taxes still. We have to do ours through Keystone, but their website is straightforward and easy thankfully.

[dodint]

I've been doing their paper form the last few years but signed up for an account on their portal since I knew we were going to have to pay (investment income). I've had investment income before but never really bothered claiming it locally, trying to do more things by the book moving forward.

[eddy]

If I filed and already received my tax return, but had to file an amendment and have to write a check back for some of that, do I need to mail that payment by April 15?

[dodint]

Penalties and fees start on April 16th, yes.

[Beveridge]

Source of the post I am pleasantly surprised how easy the local tax return online with Berkheimer is, at least.

Is this your first time submitting with them? Let me know how it goes in the upcoming months. They have been a **** disaster for everyone I know whose township uses them, myself included. Multiple times I have had them come back to me months later stating "we didn't receive this", even though the document they say they never received shows up in their own **** online portal on my account.

I have used Berkheimer for years for both myself and family. Never one issue filing online.

[MrKennethTKangaroo]

It’s been a decade since I prepared my last tax return for work

But today is still a good day.

[dodint]

I sent off a $5500 check that the FedGov worked real hard to earn. Yay.

[CBear3]

I sent off a $5500 check that the FedGov worked real hard to earn. Yay.

Thank you for covering my Child Tax Credit

I hate living in one state and working in the other.
Fedgov owes me $2k, State of Kansas owes me $1k, but I owe the state of Missouri $1500.
Still coming out on top, but of course MO wants their money now and God only knows when the other two will pay me.

[RonnieFranchise]

Crap I forgot to file my local taxes and left town. Guess I’m going it from the hotel.