Anyone getting a lot less back in taxes?

[disneybound31]

Why is this thread counting backwards in posts? Anyone else notice that?

 

[DawnM]

We are getting less back, but this is because for the past 3 years we have been able to use our adoption spenditures as tax credits. We now have all back that we can claim so we are back to regular taxing.

We did buy a head pump this year and will get a $1,500 credit for that, so that should help.

Dawn

 

[jessandtwo]

I also compared last years to this years our AGI is $10k more this year our Total Tax is $1770 more this year (on tax act). So it seems we didn't withhold enough even though DH changed his W4 to married with 1 deduction. Interestingly on Tax act we owe $1840 and on Turbo Tax we owe like $2300.

You should never get a different amount doing it through the different software programs. If you are, then you aren't putting the same information in them. I would print out your return from both and compare them line by line. Something will be different and you can figure out what you did differently.

 

[bettymae1121]

Our income went down about $8k but our refund is $200 higher than last year. Go figure. Our effictive tax rate went from 13% to 10%, so we saw that tax cut for sure!

Be sure to look at the line that shows the amount of taxes that are actually due (line 60 on a 1040). Just because you owed this year and got a refund last year, doesn't mean you actually paid more in taxes this year. You may have paid less in taxes, and just didn't have enough withheld through out the year.

 

[SondraC]

And i swear when I am standing in line to buy groceries and the lovely couple with 8 kids in front of me pays the first part of their order w/ need based $ and then buys a 3000$ tv with the rapid refund check(losing 200$ to get it rapid refund but who cares its "free money") I will simply say your welcome

Really?

 

[penn19]

I just did my taxes last night and I owe $2k. I thought I would break even or get a little back. I just don't get it. Last year I owed 1500, but that situation was unique, but still to owe this year. We have worked so hard to build up a little savings now that DH works minimal hours and out the door the WHOLE thing will go. It's very frustrating. We were moved into the next tax bracket by $1400. That was my summer work last year. I just shouldn't have worked, we would have owed less.

So glad it's not just me. I took a part time job last January after having not worked for about 9 years. We said we would see how it affected us on taxes. Normally we get around $3,000 back in taxes, this year $600. I know that you don't want a refund, that you are just loaning money to the government. But it was always kind of nice. So in the end, me working the part time job did something to our taxes, and it works out that my job pays me about $5 an hour. And I kind of like my job. Pretty flexible and all, but $5 an hour?!

 

[Tigger2ntinkerbell]

Were getting double back this year
First time ever

Tigger2ntinkerbell

 

[bettymae1121]

So glad it's not just me. I took a part time job last January after having not worked for about 9 years. We said we would see how it affected us on taxes. Normally we get around $3,000 back in taxes, this year $600. I know that you don't want a refund, that you are just loaning money to the government. But it was always kind of nice. So in the end, me working the part time job did something to our taxes, and it works out that my job pays me about $5 an hour. And I kind of like my job. Pretty flexible and all, but $5 an hour?!

Again, don't base it on what your refund is. Look at line 60 on your 1040 and that is the total tax you paid this year, and then compare it to line 60 from last year. That will show you how much your tax liability changed by, it may have gone up, down, or stayed about the same. Just because your refund went down, doesn't nessesarily mean you paid more in taxes. In your case, you likely paid a higher dollar amount in taxes, because you made more money. But your effective tax rate may not have increased at all. It could have stayed the same or even went down, but it just doesn't show up in your refund because of the way you had your withholding set up.

If you (a general you) wants to know if you paid more/less in taxes this year compared to years past, you need to look at your effective tax rate. Simply divide your tax (line 60) by your income, and that will give you the precentage of your income that you paid in taxes for any given year.

For example, our refund was $200 higher this year vs. last year. One could look at that and think "hey, I paid $200 less in taxes this year". That would be wrong...we paid about $3k less in taxes in '09 compared to '08!!! Our effective rate went from about 13% to about 10%. Had I not looked at all the numbers, I would never had know that.

 

[Planogirl]

Why is this thread counting backwards in posts? Anyone else notice that?

Weird...

It was backwards but once I posted it was right. Strange...

 

[dfchelbay]

Well, I feel totally screwed this tax season. NOTHING has changed for us. Same job, same income, withholdings, investments, etc...EXACTLY the same as last year/last tax return. That being said, we are getting 72% LESS back with this tax return. So much for none of this affecting those in the middle class.

I think this is the final nail in the coffin for us with respect to living where we live. We pay A LOT in taxes here. Between Property, federal and state taxes we pay in nearly $20,000 per year. We get pretty much nothing back in the form of a tax return now.(and yes, we itemize)

Not to mention, our portion of medical/dental insurance is nearly $11,000 per year...just for our portion of the premiums. Add the deductibles to that and all out of pocket amounts.

Looks like its time to put up the for sale sign. Not that anyone will buy in the market we live in. We have to find a way to cut our losses here. This area will get worse not better.

Thanks for letting me vent...I guess there is one thing we won't have to worry about...neither of us drive a Toyota...we just have to remember to stay away from them when we see them on the road.

 

[PrincessDadx2]

Well, I'm still waiting for 1099's to come back but based on W-2 info only according to TT I'm getting more than $3,000 less back than last year and we paid out more than 4x as much in taxes and as noted earlier I INCREASED our witholdings. I did notice tho that I was not allowed the $1,000/child credit on TT - which has amounted to $3,000 for the last 7 years. While this is certainly an easier way to file I think I'm going to file paper taxes this year.

ETA - so I just went and calculated my taxes manually using a paper 1040 and this time I was getting $2347 back. A difference of almost $2,100. Something is up with TT

TT is a software program, it is only as useful as the inputs placed in it. In this case I would guess:

1. You did not enter the SS#'s of you kids. You cannot claim the credit without the correct information.

2. You did not "visit" the credit sections. You do not automatically get the $800 credit or the $1,000 without visiting and answering the questions.

I have used TT web version for 9 years and there is not a major flaw in the program. When I run the comparison I can see all the differences and they are all correct.

 

[Tnkrbelle565]

TT is a software program, it is only as useful as the inputs placed in it. In this case I would guess:

1. You did not enter the SS#'s of you kids. You cannot claim the credit without the correct information.

2. You did not "visit" the credit sections. You do not automatically get the $800 credit or the $1,000 without visiting and answering the questions.

I have used TT web version for 9 years and there is not a major flaw in the program. When I run the comparison I can see all the differences and they are all correct.

I second this...one time I forgot to check the little box that says my DD lived with us for the year Run through all the questions again just in case.

 

[PrincessDadx2]

Well, I feel totally screwed this tax season. NOTHING has changed for us. Same job, same income, withholdings, investments, etc...EXACTLY the same as last year/last tax return. That being said, we are getting 72% LESS back with this tax return. So much for none of this affecting those in the middle class.

You are confusing things. If everything was EXACTLY the same and your tax return is lower then your withholdings were lower. You paid LESS during the year, so you get LESS back. That is a financial benefit to you because you did not loan the Federal Government free money.

It has nothing to do with taxes that you owe as others have said earlier.

 

[dfchelbay]

You are confusing things. If everything was EXACTLY the same and your tax return is lower then your withholdings were lower. You paid LESS during the year, so you get LESS back. That is a financial benefit to you because you did not loan the Federal Government free money.

It has nothing to do with taxes that you owe as others have said earlier.

Actually, if you want to compare dollar for dollar we paid $1,197.04 MORE in federal taxes in 2009 than 2008. and we're still getting 72% less back in the form of a refund. I am not at all confused. I understand the point you are trying to make, but that is not what is the reality of our situation. We paid MORE in 2009, by nearly $1,200.00. We are all being held accountable for more tax, even though we make the same, or less money at our jobs. I am very familiar with the tax code and have seen the changes made, and those pending at the present time, to be enacted at a later date. This is only just the beginning of the tax hikes to come.

 

[Tnkrbelle565]

Actually, if you want to compare dollar for dollar we paid $1,197.04 MORE in federal taxes in 2009 than 2008. and we're still getting 72% less back in the form of a refund. I am not at all confused. I understand the point you are trying to make, but that is not what is the reality of our situation. We paid MORE in 2009, by nearly $1,200.00. We are all being held accountable for more tax, even though we make the same, or less money at our jobs. I am very familiar with the tax code and have seen the changes made, and those pending at the present time, to be enacted at a later date. This is only just the beginning of the tax hikes to come.

I admittedly know very little about tax code but I don't understand how this is possible. If you changed NOTHING from 2008 to 2009 you should have roughly the same return shouldn't you? The tax tables did not change that drastically that you would lose 3/4 of your return?!?!?! And why did you pay $1200 more in taxes this year if you didn't change your withholdings? I'm totally lost

 

[PrincessDadx2]

Actually, if you want to compare dollar for dollar we paid $1,197.04 MORE in federal taxes in 2009 than 2008. and we're still getting 72% less back in the form of a refund. I am not at all confused. I understand the point you are trying to make, but that is not what is the reality of our situation. We paid MORE in 2009, by nearly $1,200.00. We are all being held accountable for more tax, even though we make the same, or less money at our jobs. I am very familiar with the tax code and have seen the changes made, and those pending at the present time, to be enacted at a later date. This is only just the beginning of the tax hikes to come.

Since Federal tax rates did not go up in 2009 you did not pay more Federal tax for the same income. Taxes went DOWN, not up, due to inflation in the standard deduction and the stimulus tax credit. This is what is contributing to our enormous deficit.

You personally may pay more if you are no longer eligible for the same deductions, but that is not the same as a tax increase.

I agree that taxes willl go up. The Bush tax cuts are already scheduled to expire unless Congress renews them. The promise is that they will only go up for people making $250k, but we will see what really happens.

 

[dfchelbay]

I agree that taxes willl go up. The Bush tax cuts are already scheduled to expire unless Congress renews them. The promise is that they will only go up for people making $250k, but we will see what really happens.

Totally agree they will go up. I don't believe those making $250k will be the only citizens footing the bill though. Find it very hard to believe all these changes are to go into effect and we (those under $250k annually) are not going to be asked (required) to pay for it too.

 

[pickleo]

Yes we are getting a tad bit less, but I'm chaulking that up to dipping into some stocks and changing my withholdings. Get this...H & R Block just called and said that our taxes were REJECTED! WHAT...I can't believe it...someone better have some explaning to do.

 

[Tnkrbelle565]

Yes we are getting a tad bit less, but I'm chaulking that up to dipping into some stocks and changing my withholdings. Get this...H & R Block just called and said that our taxes were REJECTED! WHAT...I can't believe it...someone better have some explaning to do.

Isn't H&R Block responsible if they screwed up their accounting and you got rejected???

 

[tzolkin]

I was getting nervous after seeing all these threads, so I did our taxes.

We are not getting back any less.
Our income is about the same as last year and nothing else has changed.

We are getting about $800 more in federal (the Making Work Pay credit.. which I'm still not totally clear on, so I'm trying to do some more research)

Our state tax return is just a few dollars different.