As I consultant, when I travel on client business, I pay for travel with a card and the client reimburses me (on top of my fee). Likewise with other expenses -- I buy a projector for use on a project, client keeps projector and reimburses me as above. So do I include such reimbursement amounts in both my income and expenses on Schedule C?
I spent almost all of 2015 working full-time for a big company through a temp agency, but the temp agency misclassified me as a contractor. This means that I'm on the hook for self employment tax, which is 7.65% of the year's income! I'd like to avoid paying that tax. What's the best way to do it? [more inside]
If I prepaid taxes on a Roth conversion then recharacterized back to a traditional IRA, how do the taxes I paid work? [more inside]
My spouse efiled our US federal and state tax returns as married/separate. I haven't filed mine yet. We did some re-calculations and realized we'd get a bigger refund filing married/joint. How do we get the IRS to delete/reject the already efiled return or amend things so we can file the married/joint one correctly?
My ex has NPD and anger problems so I really don’t want to tick him off – but I think I’m about to. Please help me to mitigate the damage. [more inside]
I have a part-time freelance thing that I do, in California. At what point do I need to get more formal about incorporating and such? [more inside]
I did not have health insurance for the last 8 months of last year. How likely am I to be granted an exemption to the penalty I'd normally face when it comes time to file my taxes? [more inside]
After speaking with my stepmom and dad, they and their accountant said that I should be claiming my mom, sister and nieces as dependents. He has been their accountant for a while, but I don't know him and know whether I should trust what he says. [more inside]
I've been at my job for six months and I just noticed on my paycheck I'm marked as "single" for CA state taxes withholding. I'm married and had submitted a state tax form stating such when I was first hired. Obviously, it fell into a black hole. What do I do? [more inside]
My payroll taxes were messed up. You are not my accountant or tax lawyer, but what/how do I need to file? [more inside]
I want to move on from my primitive checkbook, which necessitates a truly odious annual tallying/categorizing chore come tax season. There's got to be a better way! If it's an app, ideally it's one that works on both iPhone and Mac, and is as automatic as possible when it comes to totaling expenses in tidy little categories for my accountant. Does anyone have suggestions?
You are not my accountant, but I'm trying to figure out whether I need a tax preparer, or whether software based services like turbo tax can help me navigate the rough and choppy seas of my tax nightmare. [more inside]
Let's say you wanted to buy a car for your parents. They live in the US. You live in the UK. They are both retired and have basically no income and many of their benefits are contingent on this fact. What is the best way to do this whilst not incurring unfavorable tax implications but also not being completely shady?
Because of transgender reasons, I recently legally changed my name in court (and at Social Security and the DMV). I have taken care of my bank and my work accounts. Credit card companies and my ISP require me to mail the paperwork. I feel like I'm missing a lot - can you give me some examples of other stuff I will need to change? What is the most important stuff that I should do first? [more inside]
My grandmother is in hospice and my father will be inheriting the majority of her savings after she passes. He would like to give me a large-ish amount of money from this, but how does that work? [more inside]
Usually taxes make sense to me, but life is changing and I'm completely confused right now. I need to know how my (and maybe my spouse's) W-4 should be filled out. Pertinent info here, backstory below the fold... My income will be 75,000, spouse makes 63,000. One child, using dependent care FSA, last year before kid we itemized about 21,000 in deductions. How many allowances do each of us take? [more inside]
My wife and I are hiring a part time nanny for about 20hrs/week, starting next month. I've begun looking into the tax situation, and its a bit of a nightmare. Please help! [more inside]
About a month ago I moved from State A to State B to work in my company's new office. Even though I updated my location with my company and our payroll system, I've still been having only State A taxes withheld, and no State B taxes. Since I'm living and working in State B, I should only have State B taxes withheld as of my move. Turns out that, due to an oversight, the subsidiary of my company that I officially work for isn't yet registered in State B. They're going to fix it on the payroll side, but what implications should I be aware of? Does it matter whether it's fixed by end of year? More details below the fold: [more inside]
I significantly underestimated my (often wildly varying) income when I signed up for Kaiser health insurance through Covered California at the beginning of the year, and later dragged my feet about updating my income information, figuring I'd have to pay it back in a tax penalty next April anyway. I have a few thousand dollars in a non-expiring medical reimbursement account with ADP. Is there a way to apply those funds to my tax penalty somehow, or do something equivalent? [more inside]
So, I'm trying to pay the filing fees online that I never got around to. The personal tax account I made, my business tax ID number is attached to as well, HOWEVER, it's not indicating that I owe anything. I looked everywhere on the site menu to see how I can pay and it says I owe nothing (I owe a lot, even with no sales). Tax man is after me and I don't know what to do, please help! I'm in NY.
How do I properly quit business operations in one state after moving to another state. Complication: I have outstanding invoices. [more inside]
I am a known financially developmentally delayed idiot. No really. I hate money. And I want to start a music and art festival on a slim budget and start building a framework to be able to raise funds for it and keep it all clean and kosher and separate while keeping my day job and tax bracket. How do I do this? [more inside]
I do not want to screw the IRS, as that is scary. At the same time I travel a lot. Nominally I have an apartment in NYC that is "home," and I pay high city tax and state tax rates. I have been AirBnB'ing the apartment and basically living with my girlfriend when I'm home. For business I travel a lot, to the point where I have begun renting cheap bachelor pads to not be living in a hotel all the time. Can I claim residency in those states? [more inside]
I have a complicated situation for 2014, and I'm running out of time to sort it out. Details within. [more inside]
How do I choose a tax attorney? [more inside]
I moved to the US from Canada during the 2014 tax year on a work visa. My departure date from Canada is considered the day after I sold my home in Canada. The tax people say it is advantageous for me to file as Married Filing Together, forcing me to declare the entire 2014 (not just the part I was in the US). Therefore, they say, I have to pay capital/mortgage foreign exchange gain on the sale of my home in Canada, even though everything about the house occurred before I was in the US. Does this sound accurate? [more inside]
"Consult your tax advisor about your particular situation. " Hmpf. As if everyone has a tax advisor at their fingertips. So... I thought MeFi would be just as helpful. :-) After lots of thought, we would like to take an early distribution from an IRA for the downpayment on a house. Anyone here on MeFi have any experience with or specific knowledge of this type of distribution? Not looking for advice on whether we should or shouldn't do this; we have a pretty good nest-egg and believe this distribution is for the right reason, at the right time. [more inside]
Our home was assessed for more than 100K over the purchase price. It's been 5 years. What can I do, if anything? [more inside]
I am a U.S. citizen. I moved to a foreign country on July 1, and will officially started earning income in the foreign country on August 1. If I quit and move back to the U.S. on July 1, 2016, will I receive foreign income exclusion on my taxes for both the 2015 and 2016 tax years? [more inside]
I won some money in California and taxes were automatically withheld, even though I'm not a resident of CA. I filed CA state taxes to get the withheld amount back, but I didn't hear back about my refund. When I tried to contact California's Tax Powers-That-B, they have no record of my filing and I've conveniently lost all of my paperwork to prove that I did it. [more inside]
As an artist who makes very little money from art, so can I write off a portion of my rent because I use my apartment as a working art studio? [more inside]
The accountant who did my 2011 taxes did a lame job (on several levels). I was notified at some point in 2012 that she'd made en error on my federal return and that I owed more money. Now I just got a notice from the state, saying that I owe them money for the same year. [more inside]
What does "writing it off" really mean? Explain it to me like I am a small child. When people say, "At least you can write it off on your taxes," is that really a silver lining? My personal scenario inside. [more inside]
I am an Amazon Vine participant. Amazon sends me products to review. Amazon has informed reviewers they will be sending a 1099MISC form this year in cases where the total value of all products selected is over $600. [more inside]
I owed Revenue Canada $279 and sent them a check at the end of April. Today I got an assessment that claims my "Payment on filing" is $6785, and added credits of $5.07 refund interest and $6508.32 total credits, for a total refund of $6513.39. Does Finders/Keepers apply in this case? How many years does Revenue Canada have before the money is no longer rightfully theirs? Not to mention the ethical considerations…
I'm in my thirties and I just got my first 'grown-up' job. Now find me a book that teaches me grown-up finances. [more inside]
About 20 years ago, I needed to set up a corporation to work freelance for a large Ontario film production company. A couple of different accountants over the years advised me to hang on to the corporation and they allocated my yearly salary as a management fee. That paradigm shifted this past year and now I'm wondering if invoicing through an incorporated entity is worth the expense and hassle. [more inside]
A dear friend is about to pass away from cancer. She is an Irish national currently residing in Ireland. Most of her career was spent oversees in a non-EU middle-eastern country where her life savings of about $250,000 is currently banked. She has avoided repatriating those funds back to Ireland due to tax reasons. But as time is very short, she would now like to do this and pass them on to her family after her death. I have advised consulting a lawyer. But as time is very short, does anyone know what taxes is she liable to incur with this transaction, including inheritance taxes of her heirs? And is there an optimal method which will minimize her tax burden in this situation? Thank you.
I have gone from freelancing to full-time work so I don't need my LLC at the moment. But I will continue to be charged active-agent fees and taxes. Should I just dissolve it? [more inside]
In light of the recent earthquakes, I am looking for the best and easiest way to setup a page that accepts donations for a small, local, Nepali nonprofit. [more inside]
I missed the deadline to file federal taxes, and Turbotax says it's too late to file an extension. What do I do? I estimate being able to file my taxes by the end of May, but not before then, but would like to not have the IRS breathing down my neck. [more inside]
My partner and I have gotten into the habit of using tax preparers over the past decade, with the end result that I no longer feel like I really understand what's going on with my tax return. How can i get from where I am now to doing them myself with a high degree of understanding of my tax situation. [more inside]
I was homeless for part of the year last year. I'm filing late (with deferral, sorry I didn't bring this up on Askmefi when it would be more pertinent) because I just now got all the proper info together. Is there anything I should know about filing US taxes for a year in which I was occasionally homeless and/or unemployed?
I want to file for taxes (Ontario, Canada) and my accountant asked that I can send him my bank statement so that he knows the different payments instead of having me send him all the receipts. Is this safe or advisable?
I'm a business of one person (an LLC). I'm doing things much sloppier than I can/should - help me automate it and make it smooth! Need advice on best practices and ideal services. [more inside]
I am really upset that we’re down to the last minute and my CPA has not finished my taxes or communicated with me since April 3. I haven’t paid him yet. I’m about ready to download Turbo Tax tonight and use his draft to double check. Would I still be obligated to pay him? What if I wait until tomorrow (which is going to make me extremely anxious)? [more inside]
We donated a service provided by a third party (i.e. "not us") to a deduction-qualified church. The service has a clearly established price of $150. We didn't pay for the service, because the right to the service was given to us in compensation for the provider botching another instance of the service. Can we claim a deduction on our US federal taxes for the normal price of the service? [more inside]
My partner works in one Ohioan city but lives in another. For the past 20 years, his employer has been taking taxes out for his work city, but not his home city. My partner doesn't really think about taxes, so it never occurred to him that he would need to do something extra to pay his city taxes. Consequently, he hasn't paid any city taxes to his home city for 20 years. [more inside]
Who is the best professional to call on before 2015 taxes are due? [more inside]
How do I do taxes for the first time? I live in NJ, and I had a paid internship last summer in CA. The internship provided free housing (is that taxable?) and I'm a college student in NJ. Sub-questions: What forms do I fill out, and what software can I use? [more inside]