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1

Can I do it without being taxed and/or penalized on the amount going to school loans? No. Any withdrawal from your IRA account which is not re-deposited into another IRA account within 60 days is considered a distribution and is taxable. Unless certain exceptions apply (and repaying school loans isn't one of them), you will also be charged an ...


0

You have to file them both separetly. Both Quebec and Canada income tax are not calculated the same: I have seem some small difference on some amount. That said, either if you have a good accountant or a good income tax software, they will make the right calculation. You really need to fill the right boxes and that is it. Hope that help. Feel free to edit. ...


3

So what should be the tax calculation criteria. Sum all salaries + AVP then calculate tax on that Yes. You need to add all salaries and AVP[I guess you Mean Variable Pay]. Also add any interest or other income you have earned. Then calculate tax. You may have to pay additional tax. Note that you have to pay taxes in advance else you will have to pay a ...


0

Unfortunately this is something that should have been determined prior to the book tour. Your tax advisor or accountant could have assisted you in making sure you collected the documentation you needed. You are going to have to sit down with your advisor with the documentation you have and determine what you can prove.


2

You're most likely required to file in both for 2013 - since you've lived in both. From 2014 and on you're definitely a NY resident (since you're renting a place there and live there), and you may very well continue being NJ resident (since you're essentially continue being domiciled there). I suggest talking to a EA/CPA licensed in NY and NJ to try and see ...


0

In the long run, think of your second house as a simple P&L account. There are no special benefits. In a way it can be a good thing initially since you pay a lot in interest and every rupee can be treated as an expense against any revenue (rental).


1

As an accountant, I have to agree with ExpatTaxCPA. If we made the error, our office fixes it free, and even covers the penalty at times (not the interest). If it's due to something the taxpayer failed to give us, or something they misrepresented, it's only fair to charge them for the audit work done.


5

If you are the only contributor to the premiums, you will not owe income taxes on the benefits. Only the portion of the benefits you receive which were paid by your employer are taxable. Source: IRS 'Life Insurance & Disability Insurance Proceeds' Question: I am receiving long-term disability. Is it considered taxable? If you pay the entire ...


0

As JoeTaxpayer has mentioned, please consult a lawyer and CA. In general you would have to pay tax on the profit you make, in the example on this 10% you make less of any expenses to run the business. depending on how you are incorporating the business, there would be an element of service tax apart from corporate tax or income tax.


1

This may be closed as not quite PF, but really "startup" as it's a business question. In general, you should talk to a professional if you have this type of question, specifics like this regarding your tax code. I would expect that as a business, you will use a proper paper trail to show that money, say 1000 units of currency, came in and 900 went out. ...


1

If working in NY - you pay NY taxes. If living in NJ - you pay NJ taxes. If NJ taxes are lower than NY taxes - you lose the difference by paying NY taxes vs paying NJ taxes if you have an option of having the same work and the same salary in NJ. Pretty simple, really. Generally, salaries in NY are a bit higher to compensate for that.


1

Find approximate housing-cost difference, which is likely to swamp the tax differences. Find a cost-of-living measurement you believe for each state and figure appropriate state's sales tax on the non-housing portion of it (numbers can be found on line). Figure out roughly what your state income tax would be (forms on line). Figure city sales tax for each ...


0

I edited my W4 over several years, trying to get rid of my refund. It's a balancing act, just be careful to not owe more than about $1000 each year. They can hit you with a small penalty. It's never been enough to concern me, but it's there. It's also a balancing act if you get a raise, a bonus, any kind of differences in pay...


1

I am not a lawyer, but the big thing to consider would be how you would split the money should either of you decide you want to close the account (or, at least her/his portion of the account). I suspect you'd also need to determine how to split the capital gains/losses for tax purposes. I can't really see any benefit to a joint account, unless you needed ...


6

If you keep the account in your name only and your girlfriend is depositing money into it, then she is in effect making gifts of money to you. If the total amount of such gifts exceeds $14K in 2014, she will need to file a gift tax return (IRS Form 709, due April 15 of the following year, but not included with her Federal tax return; it has to be sent to a ...


2

The IRS only knows what is reported to them on required forms (W-2, 1099, etc.). They don't know: How many dependents you have Your daycare costs Student loan interest Mortgage interest etc...etc...etc... All of this is important to reduce your tax liability. Also, technically you are supposed to report other income that the IRS may not be aware of. ...


4

The IRS does not have a record of all of my tax-deductible donations, expenses on my rental property, or any number of other factors that would affect my return negatively. They do have the option to fill out the 1040EZ online if you are taking the standard deduction, but if you are itemizing, there is no possible way for them to compute this to your best ...


7

However this seems off because I would essentially be purposely filling out a form incorrectly. Note that the only part of the W-4 form that is required to be filled out and given to the employer is the small certificate at the bottom that you tear off. In this part, it only asks you for "Total number of allowances you are claiming". You don't have to ...


12

On the back of the W4 is a Deductions and Adjustments worksheet. This worksheet will give you an accurate number to enter on line 5 of your W4.


18

This is a frequent problem for anyone with a large amount of deductions, whether it is student loan interest, home mortgage interest, charitable contributions, or anything else. As an employee getting your tax withheld from your check, your options to reduce the amount withheld are limited. The HR department has no control over how much they withhold; the ...


-2

The IRS no longer requires that employers submit all W4 forms, but they can request a W4 for an employee at any time, and putting false information on your W4 is still a punishable offense. I agree that having a return is like giving the Treasury Department an interest-free loan for the year, but unfortunately paying the appropriate amount of withholding ...


8

The purpose of the W-4 form is to allow you to adjust the withholding to meet your tax obligations. If you have outside non-wage income (money from tutoring) you will have to fill out the W-4 to have extra taxes withheld. If you have deductions (kids, mortgages, student loan interest) then you need to adjust the form to have less tax taken out. Now if yo ...


5

Assuming the United States. This is a loan and not an investment. You report this as income and will pay your tax rate on the 18% of the money that the borrower pays you (any money paid above what was originally lent) for the year in which it was received. You owe taxes on the income even if the borrower does not send you a Form 1099-INT showing the ...


6

If I get a prepaid debit card for the money I make do I have to report my earnings? How do I go about doing this? Yes you must report this. It doesn't matter if they put it in your bank account, or on a debit card, or cash under the table. You have to report the income. You can count on your employer reporting the income to the IRS. What is the limit I ...


0

Adsense don't pay you daily. They pay you every month (as they have to calculate the final value). I'd say you only have to declare it when it hits your bank account. £60 actually isn't that much. It only took me a couple of months of just making a few quid, to making enough to get a monthly payment, and I only tot up what goes into my bank account. I've ...


1

Every bill you write counts as income (if the bill doesn't get paid, you would count that as an expense). In cases where you don't write bills, I think the payment you receive would count as income, but you might check that on the HMRC website. So to record your income, you can basically record the payments that you receive. Anything you pay out for your ...


2

As an NRI, you are still liable to pay taxes on certain incomes earned in India, like the interest on Savings accounts / rent received from property / capital gains on shares / etc. It is advisable to file a NIL return in India. The forms are same as one you fill for normal returns. You just have to declare the right source of income and show zero taxes[if ...


2

As a special case, if you are resident in the UK for less than 183 days in a tax year, you might be considered non-resident for tax purposes. That means you can pay zero UK tax. However residence also involves other criteria. You should check up on this, and plan your affairs accordingly. investing in a consulation with a tax accountant might well be ...


0

The immigration issue is a red herring: stating the situation in the simplest terms, someone who earns 30k in a tax year will pay less tax than someone who earns 60k in a tax year.


0

In Sri Lanka, this is the normal practice. We, employees are free from the burden of paying tax for the income we get as a salary. Because that part is been taken care of by the company/employer.


2

Yes, in the circumstances you describe, you would end up paying less tax per month in the first year than in future years. The allowance is allocated annually. However there is also National Insurance which is calculated weekly or monthly, so you wouldn't get any advantage for that.


0

Many countries have employers report their employees' salaries and withhold some money for income tax purposes (it's called “pay as you earn”, “withholding taxes” or taxing “at the source”). Often the system is designed in such a way that most people actually pay too much and can get money back at the end of the year. In that case, the salary you receive can ...


4

According to Wikipedia, this started out as a way to fund health insurance and unemployment insurance, and has gradually increased its scope to cover pensions. At least in part, what you can claim back from these systems is connected to what you paid into them - you can't just work one week and then claim 51 weeks of unemployment benefit, or a full pension - ...


0

Just a real-world counterpoint, in the UK, we negotiate the "before tax" salary as some number of pounds per period of time. Out of this amount, income tax is typically deducted and this calculation is quoted on the payslip. (Like most of the rest of the world.) However, there's another grade of income tax called "Employer’s National Insurance". This is ...


1

In Canada, the majority of your taxes are remitted by the employer on your behalf after the employer deducts the calculated amount from your pay. Then when you file your income tax return you pay (or get reimbursed) the difference stemming from your particular social situation. Note that this is optional. The employer has to pay its own part of some ...


7

If a country had a genuine completely flat income tax system, then it wouldn't matter who paid the tax since it doesn't depend on the employee's other income. Since not many countries run this, it doesn't really make sense for the employee to "take the burden" of the tax, as opposed to merely doing the administration and paying the (probable) amount of tax ...


12

In Singapore, this is sufficiently common that the Singapore IRS has a page on their website dedicated to informing employers of how to properly pay this under Responsibilites of an Employer. Specifically, tax paid by employer is taxable income for the employee (as it's really the employee's responsibility), so they must pay tax for that tax. A ...


4

Everyone pays their personal income tax with funds from their employer; some of it through withholding, and the rest through the balance due at the time of filing. All that is happening here is that the company is calculating your personal tax return for you, and fiddling retroactively with the gross salary to yield a specific after-tax salary. One ...



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