Questions tagged [taxes]
For any question related to taxes and not otherwise covered by a more specific tag such as income-tax, sales-tax, capital-gains-tax etc. When asking about taxes, please also specify a country tag such as united-states, canada, united-kingdom, etc.
515
questions
52
votes
4
answers
8k
views
Recent graduate with new job: Choose Roth 401(k), or traditional 401(k)?
I just graduated, and I'm starting a new job soon. My employer has pretty good policy for matching 401(k) contributions, so I want to invest as much as possible, especially during this first year.
My ...
- 675
8
votes
1
answer
92k
views
Money transfer from India to USA
My daughter is a US Citizen. We (parents)are also planning to permanently settle in US. We will go their as Permanent Resident,as per US Law. We have a house here in India worth Rs.2 Crores. We want ...
5
votes
1
answer
535
views
Tax on money withdrawn from Roth 401(k) and Roth IRA when living outside the United States and over 59.5-year-old
I am over 59.5 year-old and live in the United States. I contributed to Roth 401(k) as well as Roth IRA. Money withdrawn from Roth 401(k) or Roth IRA is not taxed in the United States as I am over 59....
- 11.2k
2
votes
3
answers
331
views
At what time do you have to pay capital gains taxes in the US to avoid any penalties?
Let's say someone just sold some stock and their total gains on that stock were $5,000. At what time do they have to cut the U.S. government a check to pay the taxes on this gain?
Let me clarify: I'...
- 163
18
votes
3
answers
14k
views
How should I handle taxes for Minecraft server donations?
I run a Minecraft server and there is a donation button so players can help support the costs. I pay out of pocket for the rest, it's $125/mo.
The money they donate goes right to paypal which is ...
- 443
5
votes
2
answers
33k
views
Live in Florida & work remote for a New York company. Do I owe NY state income tax?
I have been down in Florida for the past 3 1/2 years and continue to pay New York state taxes out of the money I earn for a company I work remote for that is in New York. Should I be paying New York ...
- 51
45
votes
12
answers
36k
views
Why do Americans have to file taxes, even if their only source of income is from a regular job?
I live in Europe (Czech Republic) and as long as employment is my primary source of income I don't need to file any taxes on my own, as the company's accounting department will do that for me by ...
- 5,832
15
votes
2
answers
31k
views
ITIN Application - IRS requesting original passport
I have filed joint tax return for 2012 tax year. My wife is not eligible for SSN (she's on H4 visa) so we included the W7 form (application for ITIN) into the package.
This year the rules became more ...
- 293
7
votes
2
answers
18k
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?
- 1,663
7
votes
1
answer
1k
views
"Cap gains exposure" of an ETF -- what does it mean?
Morningstar provides an ETF data point called potential cap gains exposure. For example, here is Vanguard's Europe ETF (VGK):
This value is negative 78% for VGK. I understand that this is a good ...
- 3,541
6
votes
3
answers
14k
views
Are non-US citizens trading on US stocks/options subject to tax?
I'm a non-US citizen, and not residing in US, who uses an online brokerage firm to trade US stocks and options. Are my capital gains (short term and long term) and dividends subject to taxes? If yes, ...
- 61
4
votes
2
answers
9k
views
FICA was not withheld from my paycheck
Hello personal finance,
I was filing my taxes for 2016 and I just found out that I transitioned from Non-Resident-Alien to Resident Alien around September last year by passing substantial presence ...
0
votes
2
answers
258
views
Understanding the Timing of Revoking S-Corp Election for an LLC
It was suggested to me that an S-corp election would be beneficial for my single-member LLC, so I did so, but after running the numbers, it does not seem that it will save me much in taxes, and the ...
- 153
33
votes
11
answers
9k
views
Case against home ownership? High income, no home, don't necessarily want one
All numbers are in USD and my tax situation pertains to US taxes.
I am at a crossroads and am seeking help. I am a single man who has always made a good living and generally enjoy my life as I please. ...
- 774
33
votes
5
answers
3k
views
Pros/Cons of a Health Savings Account (HSA) in the USA?
I am wanting to know the real benefits or pros/cons of a HSA in the USA. I have now been given the option of signing up for one due to healthcare changes. I understand some of the basics, but after ...
- 1,507
23
votes
3
answers
142k
views
If I leave my job, what happens to my flexible spending account?
I am about to decide how much money to set aside for my 2013 Flexible Spending Account (FSA). (The max this year is $2500.) But I am wondering what happens if I switch employers during the year. Does ...
- 3,397
21
votes
6
answers
49k
views
Why do companies have a fiscal year different from the calendar year?
There are many companies that have their year end occur on dates other than December 31. What are the advantages to this?
- 6,220
20
votes
2
answers
3k
views
Which year to use to pay US taxes on business income that was invoiced in December but paid in January?
I was paid a few hundred dollars to review a few textbooks.
I submitted an invoice in Dec 2016,
and received payment in Jan 2017.
When I pay taxes on this income,
does that count towards 2016 or 2017?
...
- 303
10
votes
1
answer
601
views
Convert Traditional IRA to Roth IRA when income limits are not satisfied by Roth IRA?
Our household MAGI (Modified Adjusted Gross Income) does not allow us to contribute the full amount to a Roth IRA for 2010. In that case is converting some part of Traditional IRA to Roth to complete ...
- 1,663
10
votes
1
answer
2k
views
What should I use as the cost basis for stock that was purchased before becoming a US resident?
I held some stock in Australia for 14 years and 4 months that has enjoyed some healthy long term capital gains in that time.
Recently I became a US Resident for Tax Purposes under the Substantial ...
- 203
7
votes
1
answer
816
views
Wash sale rule + Mutual Funds/ETFs?
According to IRS rules, you can't sell a security, take a capital loss on your taxes, and then buy back the same or a "substantially identical" security within 30 days. However, "substantially ...
- 747
5
votes
4
answers
2k
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 ...
- 1,866
5
votes
4
answers
2k
views
Post Tax 401k or Taxable Brokerage Account?
I max out my pre-tax 401k, HSA, and do a roth IRA or backdoor Roth IRA.
With my additional savings is there any reason i would want to do a post-tax 401k instead of keeping it in a regular taxable ...
- 525
4
votes
3
answers
3k
views
Can I write off time I spent working on my business?
So, I'm a freelance web programmer by trade, which means that my time really is money. I, occasionally, work on side projects of my own and forgo the possibility of earning direct income for that time....
- 151
3
votes
1
answer
1k
views
What do the components of the taxable income in the Schedule D Tax Worksheet mean?
The Schedule D tax worksheet calculates the tax on the taxable income by
first decomposing the taxable income in line 1 into lines 19, 20, 28, 31, 37 and 40,
then taxing on them at different tax ...
- 5,883
3
votes
1
answer
876
views
Adult sibling - dependant or tenant?
My spouse and I own our house (about a decade or so left on the mortgage, will be paid off early). My sibling lives nearby, renting an apartment. Rent is rather high in this area, and we've talked ...
- 9,505
2
votes
1
answer
902
views
Deduct Health Care Premiums for Family When Employer Only Pays for Me
My employer offers insurance coverage, pays a substantial amount for me, but pays nothing for my spouse or my children. The difference in cost is around $127/month for myself and $1,330/month if I ...
- 317
1
vote
1
answer
297
views
How to handle a stimulus check that was never deposited?
When the first two stimulus checks were issued I received physical checks for $1200 and $600. For various reasons, these checks were never deposited or cashed in any way. Now I'm trying to do my ...
- 145
0
votes
1
answer
295
views
How would I need to prove to the IRS I paid foreign taxes if I take the Foreign Earned Income Exclusion?
I'm a US citizen (I have no other citizenships) who's been living in Ukraine for several years. I've passed the 330 days out of US test. I have a permanent Ukrainian residency permit, and I'm married ...
- 103
51
votes
2
answers
12k
views
Can I hire my kid and start a Roth IRA for him?
I own an LLC, of which I am currently the sole member. It's my main source of income.
I am wondering if there is a reason why I could not do the following:
Hire my child as a part-time employee of ...
- 2,761
34
votes
1
answer
4k
views
When I sell only a portion of my shares of a stock, which shares actually get sold
Two years ago, I bought 100 shares of XYZ.
Yesterday, I bought another 100 shares of XYZ.
Today, I sold 100 shares of XYZ.
Which 100 shares did I actually sell? If it were the 100 shares from 2 ...
14
votes
5
answers
3k
views
Does selling shares within 30 days of purchase count as a wash sale?
Quoting IRS publication 550,
A wash sale occurs when you sell or trade stock or securities at a
loss and within 30 days before or after the sale you:
Buy substantially identical stock or ...
- 349
13
votes
5
answers
5k
views
Is the money that you get back from deposits or rebates taxable?
Please help me understand if the following two items are taxable or if they should be included at all on the tax report:
Rent deposit. A few years ago, when I moved in my previous apartment I put a ...
- 133
12
votes
3
answers
877
views
Can you step up your cost basis indefinitely via the 0% capital gains rate?
I had asked a previous question about moving money between mutual funds without taxation due to the 0% capital gains rate for those in low tax brackets.
However, I realized that this 0% rate actually ...
- 24k
10
votes
1
answer
1k
views
Determining the minimum dividend that should be paid from my S corporation
I am the sole shareholder and only employee of an S corporation. I understand that all profits of the corporation are passed through and taxed as income to me. I also understand that all dividends ...
- 203
10
votes
2
answers
8k
views
Graduate student stipend 1099-misc taxes seem to be coming out too high. Am I doing something wrong?
I am a graduate student and I receive a stipend that pays my living expenses, through a national fellowship that I was awarded. The fellowship never withholds taxes of any kind, and so I have been ...
user5770
8
votes
1
answer
1k
views
Do I include small amounts of interest on my taxes if they didn't send a 1099-INT?
One of my bank accounts earned $1.50 for the entire year. Because the amount is under $10 they did not send a 1099-INT form.
Is this bank policy or IRS policy? Does that $1.50 need to be reported?
...
- 17.3k
8
votes
2
answers
4k
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, ...
- 20.2k
8
votes
2
answers
3k
views
Do Americans working overseas pay state taxes?
I've been reading some questions about Americans paying taxes to the US while living and working overseas. I've also been looking around at some linked websites, but I haven't seen anything regarding ...
- 205
8
votes
2
answers
541
views
401(k) failed the highly compensated employee test, will I owe penalties on my excess contributions?
Normally the max you can contribute to a 401(k) is $18,000, which I did. But I guess there's some sort of top-heavy test or highly compensated employee test or some such that my company failed so now ...
- 3,811
8
votes
2
answers
777
views
What's the point of tax tables?
Every year, the IRS and equivalent state organizations publish pages upon pages of tax tables. This year the federal one comprises 13 pages, but of course that only handles taxable incomes of up to $...
- 15.7k
7
votes
1
answer
305
views
New to working as an independent contractor, what do?
I'm already in the independent contractor boat. So my next steps are to learn how to pay quarterly IRS payments (fun). Should I just follow the form or do I need to use a software tool to better ...
- 250
7
votes
2
answers
1k
views
How is federal tax withholding calculated per paycheck?
I just started at a new company and received my first paycheck. It included a signing bonus, which of course made the paycheck much higher than a normal one will be. The fed withholding amount on the ...
- 173
5
votes
2
answers
4k
views
American living abroad and not working for an American company - tax reporting and bank accounts
I hope this question is appropriate for SE Money but based on this one I think it is
U.S. citizen, working for U.S. company, living in Mexico: Where do I pay taxes?
If you are an American citizen not ...
user10366
4
votes
2
answers
5k
views
I have $20k of imaginary gains from trading last year due to wash sale rules. Should/can I take mark to market?
I have traded for most of the year while I work at my full time job as a software developer. I am using it to augment my income. I like working in academia but it just doesn't pay that well! I started ...
- 423
4
votes
1
answer
330
views
Tax implications of non-US person family member gifting big amount of money to US resident
Let's say person A is person B's dad. Person A lives in Europe and is not in any way a US citizen/resident etc... Person B is a US resident (is there a difference between citizen and just a resident?)....
- 143
3
votes
1
answer
2k
views
Am I eligible for a refund of Social Security and Medicare taxes for when I was on an F-1 visa?
This question is for a friend. They came to the United States as a student in 2009 on OPT/F-1 visa. In November of 2011 they started to work for the Department of Defense as a teacher. They had Social ...
- 15.7k
2
votes
2
answers
175
views
Taxes on selling shares bought over a period of time
If I bought shares of stock abc over a period of time for example:
50 shares @ $100 1 year ago (long term capital gains)
20 shares @ $120 2 months ago (short term capital gains)
Today the price is $...
- 195
2
votes
1
answer
2k
views
Difficult time understanding 1040-ES and Late Payments Penalties
I've spent the entire day trying to figure out how 1040-ES's work.
If you make quarterly payments of Estimated Taxes, do you also file the regular 1040 on April of following year? Turbo Tax states ...
- 21
2
votes
2
answers
704
views
Pay estimated tax using W-4 withholding instead of quarterly payments
I currently have a regular job at my university that provides about 2/3 of my annual income. I also do contract work on the side, and have some minor investment dividends and interest payments as ...
- 123