103
votes
Bought stock at higher price than current price
I don't understand is it possible to buy stock at higher price than current price?
This is a very common misunderstanding.
Stocks do not have a "current price" that you can buy them for.
Any "stock ...
- 8,125
41
votes
Bought stock at higher price than current price
I set 980 instead of 880 and it is fully executed.
Suppose I'm on the other side of your transaction. I might own a stock worth around that $900 price, but have a $980 target. In other words, I'm ...
31
votes
I withdrew contributions from a Roth IRA. Why is my tax service imposing a 10% penalty? I am only withdrawing contributions, not earned income
I think you're misunderstanding Code J. It doesn't mean "this withdrawal is definitely subject to a 10% penalty", it means "neither of the two exceptions to the penalty apply" (Q - ...
- 1,878
27
votes
Bought stock at higher price than current price
The limit order will match to best offer on books. Let's say the best sell price was 900, it will match to that. You will pay 900.
Read How do exchanges match limit orders?
- 57k
22
votes
Can I close my money in HSA and transfer it to another bank account and use it for non-medical purpose?
When you put money into the HSA, you didn't pay any tax on that amount. Now that you want to take money out, if you don't have any medical expenses to offset the amount you are withdrawing, you will ...
- 115k
22
votes
Accepted
Understanding underpayment penalty: implications and how to avoid it in the future
Option 1 is that you're generating enough capital gains, interest, and dividends from your brokerage account that you want to increase your withholdings to account for that. Option 2 is that the W-4 ...
- 26.5k
14
votes
Bought stock at higher price than current price
I don't understand how it is possible to buy stock at a higher price than current price?
The price listed on a stock ticker is not an absolute "price." It is simply the price at which the stock ...
- 741
11
votes
Accepted
Can you be penalized for setting an arbitrarily high number of allowances on your W-4?
You may have to pay a penalty of $500 if both of the following apply.
What the IRS really cares about is you not withholding enough, so that you send them a big check (EDIT: during tax season).
https:...
- 50.6k
11
votes
401(k) distribution tax calculation
I'm paying tax on the tax penalty?
No, you're paying tax on the amount withdrawn to cover the tax. If you withdraw $31,250, you'll pay a tax of $31,250 * 20% = $6,250, netting $25,000. This process ...
- 131k
9
votes
Accepted
Implications of withdrawing Roth IRA contributions before age 59?
Can I withdraw up to $27,500 without any
fees/penalties/taxes/implications?
Absolutely.
For the details see Form 8606 - Nondeductible IRAs, which you'd file if you took a Roth IRA distribution. In ...
- 15.7k
8
votes
How far does the IRS usually go when they uncover unreported income?
In how much trouble can I get exactly if the IRS finds out? I
understand that there's a 6 year statute of limitations on criminal
charges and no limitation at all on fraud. Is this considered ...
- 166k
8
votes
Accepted
Need help understanding Estimated Tax payments and safe harbor rules
Update: I see what you're saying. You're saying that the tax based on annualized income in the first two quarters was more than $0 but less than $1000, but you you didn't pay 90% of the appropriate ...
- 16.9k
7
votes
Accepted
Under the Affordable Care Act, do I get penalized if my dependents don't have insurance for the time they are not in the US?
In general, there are some exemptions that may apply to your situation, but may not, depending on the exact specifics.
In particular the two exemptions that seem relevant:
If your wife and son are ...
- 35.7k
7
votes
Accepted
529 plan withdrawal penalties
Your friend would have only been liable for a tax penalty if he withdrew more 529 money than he reported for qualified expenses.
That said, if he took the distribution in his name, it triggers a ...
- 1,448
7
votes
Accepted
Should everyone who receives dividend income fill out a W-4 form reporting it to their employer?
You certainly can use the W-4 to have more money withheld. This would be appropriate if you had regular income that was beyond that of your employment - for example, if you have $250k invested in a ...
- 35.7k
6
votes
Accepted
Are prepayment penalties for mortgages normal?
It used to be much more common, particularly for sub-prime loans. If you do run into someone offering a loan with a prepayment penalty, you should certainly consider other options.
- 32.7k
6
votes
Under what circumstance will the IRS charge you a late-payment penalty for taxes?
The IRS provides a little more information on the subject on this FAQ: Will I be charged interest and penalties for filing and paying my taxes late?:
If you did not pay your tax on time, you will ...
- 115k
6
votes
Roth 401k withdrawal rules
Does my plan make sense or am I missing something
You're missing something.
The match is always pre-tax and goes into the "traditional" part. Withdrawing it will trigger income tax + 10% penalty.
...
- 166k
6
votes
Bought stock at higher price than current price
Now let's say i got that stock in my account, then do i get any penalty for buying it higher price?
There's no "penalty" involved (at least in how I would interpret that term).
If you had entered ...
- 9,105
6
votes
Whats the penalty for withdrawing from my Roth IRA when I day trade with it?
You are able to withdraw deposits tax-free. Any earnings are taxed, and a penalty may apply. The "day trading" has nothing to do with it.
6
votes
Accepted
Can a single file tax as "married file jointly" to take advantage of more standard deductions?
As the other answer states, tax returns are filed under the penalty of perjury. This is governed by the 26 USC Sec. 7206 (Title 26 of the US Code is also known as the "Internal Revenue Code",...
- 166k
5
votes
Difficult time understanding 1040-ES and Late Payments Penalties
The answers to most of your question are in IRS Publication 505, from which my answers are adapted.
If you make quarterly payments of Estimated Taxes, do you also file the regular 1040 on April of ...
- 24k
4
votes
How Does The IRS Structure Payment Plans If I Owe Subjectively High Taxes?
It sounds like you are saying the taxes you owe outweigh your liquid assets.
Also without knowing the details, it is a little difficult to give you specific advice. (What was this property you two ...
- 138
4
votes
Can I deduct penalties for late IRS filings?
I'm assuming you are in the USA, if so...
According to IRS Publication 535
Penalties. Penalties on underpaid deficiencies and underpaid estimated tax are not interest. You cannot deduct them. ...
- 53k
4
votes
Accepted
Withholding for unexpected Short-Term Capital Gains and Penalties
The safe harbor provision is based on the tax you or the prior year. So in 2016 this helped you as your tax was substantially increased from 2015. However, by the same token in 2017 your safe harbor ...
- 2,427
4
votes
Accepted
Taxes on Roth IRA earnings withdrawals <59.5 but >5 years
Yes, there are taxes and penalty on that withdrawal of earnings.
For a withdrawal to be a "qualified distribution", both of the conditions must be true: 1) Roth IRA must be open for at least 5 years, ...
- 16.9k
4
votes
Is it legally binding in the UK to declare penalty charge notice issued by the council to the insurer?
To be certain you'd have to check the policy documents of the specific insurer, or just ask them. However large insurance comparison sites only ask about motoring convictions and penalty points, and a ...
- 27.9k
4
votes
Accepted
HSA and Medicare: what if I get laid off?
First, I want to restate some of the premises of your question (which are correct):
Medicare coverage disqualifies an individual from being eligible to contribute to an HSA.
If you delay enrollment ...
- 115k
4
votes
Accepted
Penalty or Fee for Filing a Return, When a Refund Is Due
I'll get a refund, so my guess is that I won't owe tax penalties on
taxes I owe, since I don't owe any taxes for that year?
Correct, penalties/interest are for those who failed to pay what was due ...
- 69.1k
4
votes
Does it make sense to start saving into a 401k, if you might move out of the US before retirement?
It does make sense to contribute to your 401k, even if you plan to move out of the country. Besides the "headache managing a fund in a foreign country", you can keep your 401k even if you're residing ...
- 558
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