Questions tagged [income-tax]

This tag is to be used for any question pertaining to an individual's income taxes. If this tag is used, ideally a country-specific tag should also be specified, to indicate which region a question belongs to, as the answer may differ based on the country.

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7
votes
2answers
9k views

Are tax federal or state tax refunds taxable in the next tax year?

If I get a refund from IRS and or from a state tax agency, will that refund be considered taxable income for the next year's federal or state income taxes?
6
votes
1answer
8k views

Received W-2 but was never paid

I just now received a W-2 from a company that I worked for 3 days as a contractor. I had to leave country for 2 months due to a family emergency. Since the employment duration was very short, I was ...
31
votes
2answers
46k views

How are long-term capital gains taxed if the gain pushes income into a new tax bracket?

First, my understanding is that the long-term capital gains tax rate is 0% for those whose marginal rate on ordinary income is 10% or 15%, and (ignoring the highest 39.6% bracket) the rate is 15% for ...
-3
votes
1answer
2k views

F1 student, as a non-resident, filing married separate tax return with US Citizen wife [duplicate]

Possible Duplicate: F1 student, as a non-resident, filing a joint tax return with US Citizen wife My income through CPT, as a F1 student for 2012 was $42k, of which I have paid $1300 in state and ...
8
votes
1answer
11k views

ITIN application rejected, and IRS lost one of our passports. How to get back the lost passport?

I have filed my 2012 tax return jointly with my wife, along with my wife's ITIN application, back in late March. In April, I got a letter for IRS ITIN department saying that we should send my wife's ...
21
votes
1answer
3k views

I haven't filed a return to the IRS in 10 years

My employers have always withheld taxes and for the most part I've assumed they've done it right. I have probably owed a bit some years and been owed a refund some years. Anyhow, I want to get ...
4
votes
4answers
446 views

Can a regular salaried (w2) employee opt to pay quarterly taxes?

As a consultant, I got used to paying quarterly taxes. Now that I'm a regular w2 salaried employee, I'm subject to normal withholding on each pay statement. I would like to keep making exact quarterly ...
7
votes
1answer
201 views

How can I fix a mistake I made on my income tax filing? [US]

How can I fix a mistake I made on my income tax filing?
6
votes
2answers
6k views

How does the US federal income tax system work?

General question here about US personal income federal tax rates. Is it a cumulative effect where your income is first taxed at the lower tranches and move up, or is it one specific percent for your ...
5
votes
2answers
30k views

Difference between Fortnightly and Monthly pay

I used to get paid monthly at base salary of 48k. I have recently changed my job and getting paid fortnightly with a base salary of 50k I did some calculation and found out that if I get paid monthly ...
3
votes
1answer
2k views

Indian citizen wants to work as a freelancer for Europe. How to pay tax in India?

I got an offer to work as a freelancer for a European company. In Europe, it's like you need to set up a small legal entity on your name but is this the same in India? How can I do freelancing in ...
6
votes
1answer
61k views

Tax implications in India for sending money to India from US

I am planning to transfer around $8K-10K in my parent's bank account(Joint bank a/c) in India . I have read a lot of posts(like Will I have to pay taxes in India when I transfer money from a US bank ...
12
votes
5answers
9k views

Can making a donation reduce your tax bill?

If my adjusted gross income is $1000, and I make a donation of $100, then it seems that I'm still going to have to pay a tax on the $1000. The donation is deductible, so I don't pay any tax on that, ...
9
votes
3answers
2k views

Should I wait a few days to sell ESPP Stock?

I have read three other threads about employee stock purchase plans (I get to buy company stock at a 15% discount) and come to the conclusion that I should sell most of my shares immediately after ...
4
votes
1answer
10k views

401k withdrawal abroad and state taxation?

From what I know about 401k's, when it's time to retire, we take our 401k money and pay federal and state tax. Some states don't have taxes on 401k's — Florida is a good example. So many people move ...
2
votes
1answer
133 views

Make punctual contributions to IRS based on earnings

A few weeks ago I asked a question about paycheck withholdings because my wife started several part-time jobs with variable demand and therefore variable income. Considering we filled in 0 exemptions ...
2
votes
2answers
190 views

Am I required to amend my tax return if I overpaid my taxes?

Long story short: I got a corrected 1099-DIV after filing my taxes. After going through the calculation, it appears that correcting the return would net me an extra $13 refund, i.e. I overpaid my ...
38
votes
6answers
5k views

How can I adjust tax withholding so that I don't get a large Tax Refund?

I'm a few years out of college now. I've filled out my W4 accurately and I still get a tax refund every year of a pretty sizable sum. The thing is, I have student loans and I would much rather have ...
12
votes
2answers
103k views

Will I have to pay taxes in India when I transfer money from a US bank to an Indian savings account?

I am currently in US, and would like to transfer some amount from my US Bank account to a savings account based in India on a monthly basis through a third party like Xoom or Transfast. If I'm going ...
19
votes
4answers
49k views

How do I opt-out of the Social Security system?

How do I opt-out of the Social Security system and give up my Social Security Number? If I do this, am I then exempt from paying Social Security income tax?
16
votes
2answers
19k views

Get a human when calling the IRS hotline 800-829-1040 with a question about your taxes?

How do I get to a human when calling the IRS? I keep hitting stupid automated robots.
26
votes
3answers
8k views

Am I obligated to file through a tax preparer after an unsatisfactory consultation?

I have been doing my taxes for 25 years with TurboTax. Like others, I was a bit upset at them for doubling the price of their software, so I decided I would make an appointment with H&R Block, ...
19
votes
5answers
50k views

Is it normal to have 28.5% of various income taxes deducted from my paycheck?

I just got out of college, still live with the parents (saving up money) been employed for a year in the industry, and got a not bad starting salary. First check I received was shocking, to see 28.5% ...
9
votes
2answers
865 views

When should I switch from after-tax to pre-tax retirement savings?

I am contributing to my employer's Roth 401(k). The consensus in this question is that when you're young you should make your retirement contributions after-tax so that they grow tax free, and that ...
8
votes
3answers
563 views

How safe will Roth IRAs/401(k)s be going forward re: US's deteriorating fiscal position?

I've on and off wondered how "safe" Roth accounts are and things like this anti-Roth screed in the LATimes and this blog post at the Atlantic talking about the sad fiscal shape of the US has me ...
2
votes
1answer
2k views

Does the FATCA laws also relates to individuals incomes?

I'm wondering about the American FATCA laws which apply various tax rules on American citizens' foreign accounts around the world. Except for tax withholdings from investment income, does this law ...
15
votes
2answers
2k views

How long should I keep my tax documents, and why?

According to the answer to this question: "How long should I keep my bills?", I should hold onto my taxes and supporting documents for 7 years. Is this the right length of time? Unfortunately, my ...
9
votes
2answers
610 views

What increases your chance of being audited?

What increases your chances of being audited? Having a home office? Small business? what decreases your chances? Does hiring an accountant do your taxes makes it look more credible to IRS agents?
8
votes
1answer
641 views

What is a good strategy for an over-funded 529 account?

Given a situation where there is an abundance of funds in a 529 account for the current educational situation, what is a clean strategy for getting the money out with minimal taxation? This over-...
8
votes
2answers
2k views

Can I contribute to a 401k for employer matching and then immediately withdraw it?

I have some friends who work at a company which offers 50% 401k matching up to some amount, but they don't take advantage of it because they want to use the money for non-retirement purposes. Ignoring ...
7
votes
2answers
72k views

How do I check if I have already filed my taxes [Unites States]

I don't know if I've filed my taxes or not! I am due a refund according to TaxACT Deluxe, but I have no idea how to check if I have already filed for my taxes? What happens if I e-file again and I ...
7
votes
3answers
11k views

U.S. citizen, working for U.S. company, living in Mexico: Where do I pay taxes?

Similar to this question, but I'm a U.S. citizen who is moving to Mexico, but retaining my U.S. citizenship and employment. I will be in Mexico on a Temporary Residency visa (good for one year, ...
5
votes
1answer
367 views

Living and Working in different states than resident states

My husband and I are in a quandary. We were TX residents with drivers licenses and vehicles registered in that state (but no real property). We purchased a 5th Wheel that we live in full time. We ...
5
votes
3answers
3k views

Is it legal to receive/send “gifts” of Non-Trivial Amounts to a “friend”?

This can be illustrated in many ways. But for the sake of a concrete example, let's assume a sample scenario: We have an employer (Mr-A) and his employee (Mr-B) also happens to be his "good friend". ...
5
votes
2answers
14k views

How can I correct a Free Fillable Forms reported error?

I attempted to file my U.S. Federal taxes via Free Fillable Forms, and got a rejection for the following reasons: Field/Xpath: /efile:Return[1]/efile:ReturnData[1]/efile:WagesNotShownSchedule[1]/...
3
votes
1answer
1k views

Does payment in goods count as “income” for tax purposes?

Can someone help me elucidate the definition of "income" from a tax perspective? More specifically, if Joe is paid for his work in avocados instead of dollars, then would Joe be exempt from paying any ...
2
votes
3answers
4k views

Tax questions - Working from India for US company

I am working from India for a US company and as per my knowledge I am not liable to pay any tax to US govt. My first question is can I have them deposit my pay check in US account without any ...
2
votes
1answer
224 views

US Salary Transfered to Indian Acc and Tax Relation

I am on an H1b visa working and receiving a salary in the US. I have transferred approximately $15-20k to my account in India Account (not an NRE account). How would this transfer affect my taxes in ...
27
votes
5answers
2k views

Are credit card rewards taxable?

There have been several questions about reward point/loyalty programs offered by credit cards Best Travel Point Credit Cards Best Reward Benefit Credit Cards Easy Comparison of Reward Benefit Cards ...
14
votes
2answers
2k views

Do my kids need to file a tax return?

My kids (minors) each received a gift of some stock from my wife's parents last year. The stock is in the kids' names, with my wife listed as the custodian. They each made just slightly over $100 in ...
11
votes
1answer
1k views

Calculate Income Tax amount of UK Salary

I've recently been trying to calculate different take home amounts from different salaries, and have ended up getting confused over how the different tax brackets work. If I try to calculate the ...
7
votes
2answers
3k views

Remote work. Live in one state, company in another state. tax witholding

I don't currently know a tax lawyer/firm that is actually competent in all the issues here, so maybe you all can tell me something constructive about this state income tax question. In this scenario, ...
6
votes
1answer
3k views

Do I have to pay taxes in the US if my online store sells to US customers even though I don't live in the US?

I own a website and I sell digital content. I'm a nonresident alien with the US. Most of my customers are US based so I was wondering will I have to pay any taxes to the US? I have read that For ...
6
votes
1answer
2k views

How can I make a one-time income tax-prepayment to the US Treasury?

I am a bit confused over the rules and requirements for individuals (and not businesses) making income tax-prepayments to the US Treasury. For instance, I've read that you can make quarterly payments,...
4
votes
2answers
1k views

What does the IRS standard deduction amount mean?

http://www.moneycrashers.com/reselling-vs-donating-tax-deduction/ Apart from the personal satisfaction you get from helping a nonprofit, donating your extra stuff can land you a valuable tax ...
4
votes
3answers
245 views

Federal taxes for nonresident alien whose only income in 2016 was a 2015 state tax return

I am from Europe, and I did an internship in the US (California) in 2015. When filing my 2015 taxes, I ended up having to pay some small difference for the federal taxes, but got a refund on my state ...
3
votes
1answer
135 views

What's the tax on a hobby orchard?

Say I harvest crop as a hobby on my land, and it's less than an acre. What's the tax on the crop income? In California.
3
votes
1answer
1k views

Income tax in India for NRIs in USA

I left India on 8th October 2014 and started working in USA from 13th Oct 2014. For my income in India, my employer deducted tax at source (Rs 30,000). In US too, my employer deducted tax at source ...
2
votes
1answer
96 views

When should I file 1040X if I filed wrong tax form

I am a F1 student non-resident alien and I e-filed 1040 by mistake. The wrong form has already been accepted several days ago. I learned that I must file 1040X to correct my mistake. Here are some ...
2
votes
1answer
211 views

Should one file 1040X to get extra $5 tax refund [duplicate]

After I finished my taxed in last week of March, I received a Updated 1099 with only one modification where 199a is modified from zero to $50 or so. Refund is about to come in a week. Initial values ...