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Tax Season
Posted: Mon May 03, 2021 2:24 pm
by MrKennethTKangaroo
I'm using an accountant for the first time ever and just got an estimate on how much I'll owe them for preparing my taxes...$1200-$1500...
that seems like...a **** lot. I went to an accountant because I exercised ISOs and wanted to help figure out what the full tax responsibility was (I knew I was going to owe AMT) but otherwise my tax situation is very straightforward. Single, own a house, one source of income, no dependents, no deductibles, etc.
not really sure what to do here. I feel like I got very overcharged. I guess my only recourse is to pay them and then never use them again?
Look at it this way, the base rate you are going to pay to do it yourself is $120 or so to use turbo tax for your federal + state. So your incremental cost is somewhere between $1200 and $1400 bucks really. It might only be 5 hours but stock options are complicated sht and there is a lot of different rules for different types. It sucks to pay that much for a few hours of work but you might as well get it right, take the "L" as far as the cost for them to prepare the return, and take the rest of the bucks, go bet on idiotic stocks, then complain about it in the investment thread.
Tax Season
Posted: Mon May 03, 2021 2:44 pm
by willeyeam
Yes. 5 hours to research and ensure it's right is reasonable and now you have the piece of mind that you're good
Tax Season
Posted: Mon May 03, 2021 3:24 pm
by mac5155
Now someone answer my question for free, dammit
Tax Season
Posted: Mon May 03, 2021 3:49 pm
by MrKennethTKangaroo
I have no idea
Tax Season
Posted: Mon May 03, 2021 5:36 pm
by mac5155
Preciatecha
Tax Season
Posted: Mon May 03, 2021 6:27 pm
by Beveridge
It's supposed to be like the first two. No take backs.
Tax Season
Posted: Mon May 03, 2021 10:01 pm
by mac5155
It's supposed to be like the first two. No take backs.
Da real MVP... Thanks dawg.
Tax Season
Posted: Mon May 03, 2021 10:04 pm
by willeyeam
Yeah mac there's no taking it back. Make it rain homie
Tax Season
Posted: Mon May 03, 2021 10:25 pm
by mac5155
Boom. Checks in the mail
Tax Season
Posted: Wed May 05, 2021 1:57 pm
by MalkinIsMyHomeboy
my tax bill is pretty high and I'm going to pay it back late. I understand that there's a late payment penalty (0.5% of the taxes owed per month) and an interest owed. The interest rate is 3% plus the current federal rate. I'm try8ing to find what the current federal rate is...the best I can find is here, where it's 0.13%:
https://www.irs.gov/pub/irs-drop/rr-21-08.pdf
is that correct? so my interest calculation will have an interest rate of 3.13%?
Tax Season
Posted: Tue Jun 01, 2021 2:25 pm
by eddy
This child tax credit monthly payment deal coming up is just an early release of what you would normally get on next year's tax return, correct? I should opt out if I want the lump sum on tac return, right? By doing that, I'm not missing anything that would be an extra perk except that money, now?
Tax Season
Posted: Tue Jun 01, 2021 2:30 pm
by Beveridge
That's correct on all questions.
If you have one kid under 6, you can opt out and get the full $3,600 when you file, assuming you are under the phase out limit. Or you can take 6 monthly payments of $300 for a total of $1,800 by December and then claim the other $1,800 on your 2021 tax return. You can take this example and expand upon it based on number of children and ages.
Tax Season
Posted: Tue Jun 01, 2021 2:31 pm
by eddy
Many thanks
Tax Season
Posted: Tue Jun 01, 2021 6:37 pm
by tifosi77
We each just got notices from the IRS that our 2018 taxes have been reviewed and we underpaid by $8,000. Fun.
Tax Season
Posted: Tue Jun 01, 2021 6:38 pm
by eddy
Oh, wow, that's horrible.
Tax Season
Posted: Tue Jun 01, 2021 8:09 pm
by PFiDC
We each just got notices from the IRS that our 2018 taxes have been reviewed and we underpaid by $8,000. Fun.
That happened to me last year re: my 2015 taxes. Underpaid $3000. And since my name was at the top of the return they went after me and me alone.
Tax Season
Posted: Tue Jun 01, 2021 8:26 pm
by faftorial
We each just got notices from the IRS that our 2018 taxes have been reviewed and we underpaid by $8,000. Fun.
That happened to me last year re: my 2015 taxes. Underpaid $3000. And since my name was at the top of the return they went after me and me alone.
How does that happen? You filing was wrong?
Tax Season
Posted: Tue Jun 01, 2021 8:27 pm
by faftorial
We each just got notices from the IRS that our 2018 taxes have been reviewed and we underpaid by $8,000. Fun.
How does that happen? Your filing was wrong?
Tax Season
Posted: Tue Jun 01, 2021 8:38 pm
by PFiDC
We each just got notices from the IRS that our 2018 taxes have been reviewed and we underpaid by $8,000. Fun.
That happened to me last year re: my 2015 taxes. Underpaid $3000. And since my name was at the top of the return they went after me and me alone.
How does that happen? You filing was wrong?
My accountant filed wrong. I didn't check it well enough but that's why I hired an accountant.
Also, ....why?
Tax Season
Posted: Tue Jun 01, 2021 8:41 pm
by faftorial
We each just got notices from the IRS that our 2018 taxes have been reviewed and we underpaid by $8,000. Fun.
That happened to me last year re: my 2015 taxes. Underpaid $3000. And since my name was at the top of the return they went after me and me alone.
How does that happen? You filing was wrong?
My accountant filed wrong. I didn't check it well enough but that's why I hired an accountant.
Also, ....why?
Just wondering how that happens and sloppy work by the accountant explains it. That sucks.
Tax Season
Posted: Wed Jun 02, 2021 10:05 am
by tifosi77
Not entirely sure what happened in our case. That was year I was let go from PlayStation, and so I only worked through March, then had 6 months of UI after that. Mrs Tif's income was unchanged, but my income was cut by something like 70% that year. Unless '2018' taxes means for the year 2017? I don't know. But the news is most unwelcome.
Tax Season
Posted: Wed Jun 02, 2021 10:09 am
by willeyeam
do you know enough on the situation to tell if the notice is an error or if you actually owe it?
Tax Season
Posted: Wed Jun 02, 2021 10:16 am
by mamaemeritus
Not entirely sure what happened in our case. That was year I was let go from PlayStation, and so I only worked through March, then had 6 months of UI after that. Mrs Tif's income was unchanged, but my income was cut by something like 70% that year. Unless '2018' taxes means for the year 2017? I don't know. But the news is most unwelcome.
Any chance you rolled over a 401k that year that wasn't marked as a rollover erroneously?
Tax Season
Posted: Wed Jun 02, 2021 10:29 am
by tifosi77
We really just got the notices, so we haven't had a chance to delve into it yet. There was no retirement account rollover.
Tax Season
Posted: Wed Jun 02, 2021 11:28 am
by meow
Maybe they meant to go after Guy Fieri?