Anyone getting a lot less back in taxes?

[pickleo]

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

Yes, we paid for their "peace of mind" guarantee, so they are responsible for fixing it, but it still rubs me the wrong way.

 

[Tnkrbelle565]

Yes, we paid for their "peace of mind" guarantee, so they are responsible for fixing it, but it still rubs me the wrong way.

I don't blame you...plus this is going to delay your return

 

[Grendalynn]

Obama's stimulus plan changed the withholding tables, so that may have some impact

Don't even get me started... Wow - that extra $17 a week really helped us!

 

[bettymae1121]

Don't even get me started... Wow - that extra $17 a week really helped us!

$17 a week x 4 weeks is $64 a month. That covers two tanks of gas. It's not a life changing amount, but it's better than a sharp poke in the eye, as my mother used to say.

Funny, taxes go down and people hardly notice, but if taxes had gone up by the same amount, people would be screaming bloody murder.

 

[ICF]

Funny, taxes go down and people hardly notice, but if taxes had gone up by the same amount, people would be screaming bloody murder.

ain't that the truth......

 

[staley7580]

Yes, we paid for their "peace of mind" guarantee, so they are responsible for fixing it, but it still rubs me the wrong way.

We got rejected one year, and it was because our sons SSN# was wrong. I would just go through and make sure all your info is written correctly.

 

[SDSorority]

we haven't done ours yet, but I'm hoping we actually GET a refund this year.

 

[Jennifer823]

A lot of people didn't realize that the $10 extra in our pay from the Obama stimulus had to be repaid at the end of the year. But just wait till next year - if he doesn't keep the Bush tax cuts in effect - you will be owing a lot more!

Yup we can all say goodbye to that $1000/per kid child tax credit.

 

[deerhart]

I figured out why I don't qualify for the dependent childcare credit. Basically it's because we used a flex spending plan for $4k of the $6k we paid for daycare. IRS says if the plan covers $3k or more, you don't qualify for the credit.

The first 4k is taken out tax free, so you essentially got your credit over the course of the year by having your pretax income reduced by 4k.

So, you get 4k lower income instead of like a $1200 deduction.

 

[deerhart]

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.

I did this last year because I hadn't realized our info hadn't been imported over yet. I couldn't figure out how we had a 3k bill to the government instead of a refund. Imported the info over, SSN#'s for the kids imported and suddenly we got the child tax credit, the deductions for them, and the daycare credit and a 4k swing on the taxes.

 

[bettymae1121]

A lot of people didn't realize that the $10 extra in our pay from the Obama stimulus had to be repaid at the end of the year. But just wait till next year - if he doesn't keep the Bush tax cuts in effect - you will be owing a lot more!

Well, a lot of people don't "realize" that because it isn't true for 95% of us. That's why you're seeing the $800 Making Work Pay credit this year, to make up for the smaller witholding. It's a tax cut, you're not paying it back unless you're in the top 5% of earners in this country and didn't qualify for it. And you're still not paying it back if you adjusted your withholding last January like high income earners were warned to, so that the proper amount was withheld.

Now, I agree that the tax cut could have been handled better so it wasn't as confusing to people. I don't know why they didn't just adjust the tax tables along with the withholding schedule.

 

[runwad]

Yup we can all say goodbye to that $1000/per kid child tax credit.

I'm confused when this actually goes away? Is it only in effect for this year 2010 or will we still be able to claim it in 2011 and in 2012 it will disappear?

I always forget to just google...anywho if anyone is interested the child tax credit expires 1/1/2011 so in essence our 2010 taxes are the last time we get the 1k per kid then they revert back to $500.

 

[princessmom29]

For the first time in out ten year marriage we OWE taxes. I didn't change our witholding status and our income only increased by about 3%. The increase in total tax withheld was almost equal to our increase in income, yet we still owe taxes. We normally get $2000 plus back, and this year we owe $1500. The only significant change we had was not being able to deduct daycare, but that only made a $600 dollar difference in our refund last year??

 

[bettymae1121]

For the first time in out ten year marriage we OWE taxes. I didn't change our witholding status and our income only increased by about 3%. The increase in total tax withheld was almost equal to our increase in income, yet we still owe taxes. We normally get $2000 plus back, and this year we owe $1500. The only significant change we had was not being able to deduct daycare, but that only made a $600 dollar difference in our refund last year??

Well, the increase in income and the loss of that child care deduction could have knocked you into a higher tax bracket, that's one possiblity. Really the only way to know if your taxes truely went up is to figure out you effective tax rate, which is dividing you tax (line 60) by your AGI (line 37) for this year and then compare it to last years.

If you do find it went up, I'd take a look at your AGI and compare it to the tax brackets, again you may find you got bumped up into the next bracket.

Married Filing Jointly brackets:

10% $0 - $16,700
15% $16,701 – $67,900
25% $67,901 – $137,050
28% $137,051 – $208,850
33% $208,851 – $372,950
35% $372,951+

 

[nuts4wdw]

Hey, I haven't filed yet, but was playing around with some IRS calculators, and came up with a question. My dh was laid off and received unemployment compensation for about 4 months. We qualify for the earned income credit because he did work the other months until we add the amount he received from unemployment to our wages. Then we make too much to claim the credit. I read somewhere that the only income that can be counted for that credit is actual earned income not unemployment. When I did the calculator, two times it came back saying to call an IRS advisor and one time it came back saying we didn't qualify because we made too much. So, does anyone know?

 

[Zookeeperof4]

I have no idea what any of you are talking about...LOL....I do not speak Tax time lingo however what I do know is how to read is a tax table so I took out my forms and I am screwed.....I also owe out money. They did not take out enough taxes. I claim every year 0 dependents on my paychecks as my dad always said you get more taken out at check time but may end up not having to payout at income tax time....to try to even it out. Plus I also get an extra 10 out of my check just to be safe...I used ot call it a savings acct. So that way just in case there would be extra out. One of my jobs..I only earned 453 there took out 83 cents in Federal tax....umm how on earth did that happen???? (that was my summer money..LOL)
I do have kids so I will get the earned income...not a great ammount but some. HOWEVER.....according to the tax table I will owe part of the earned income into paying back taxes that my emploers didnt take out.

So I dont know who is at fault..LOL..if I would have been better off claiming more dependents or what. I know I never got to see any extra in my check...I always felt like I barely got a check at all.

Ugh.....my daughter just came in with a basket of toys to help Haiti....ummmm thanks sweetie but how about us? We are really the working poor.....

 

[Zookeeperof4]

When you find out let me know as we are in the same boat.

Here is another issue...my ex keeps claiming my son before I get to do my taxes. I work at places who always wait til the last second to send out forms. He is done his taxes already again!!!!
So everytime I was getting them done at the tax place online they said that social has been claimed....he gets visitation..I have full custody and have had full custody for years. I have filed ammended returns and spoken to workers at the IRS more times than I can count. Yet he still gets to claim him and I get the screwing.....
what can I do to stop this? They keep saying he will get caught eventually. I tell hi m he is not supposed to do it he says who cares. Basically my son is paying his own child support as i get none the whole year and then they garnish his IRS taxes. Well my thinking is I took care of him , and I should be getting that credit and you should be paying out support form your won darn pocket.
Ranting just irritated now.....sorry....

Hey, I haven't filed yet, but was playing around with some IRS calculators, and came up with a question. My dh was laid off and received unemployment compensation for about 4 months. We qualify for the earned income credit because he did work the other months until we add the amount he received from unemployment to our wages. Then we make too much to claim the credit. I read somewhere that the only income that can be counted for that credit is actual earned income not unemployment. When I did the calculator, two times it came back saying to call an IRS advisor and one time it came back saying we didn't qualify because we made too much. So, does anyone know?

 

[princessmom29]

Well, the increase in income and the loss of that child care deduction could have knocked you into a higher tax bracket, that's one possiblity. Really the only way to know if your taxes truely went up is to figure out you effective tax rate, which is dividing you tax (line 60) by your AGI (line 37) for this year and then compare it to last years.

If you do find it went up, I'd take a look at your AGI and compare it to the tax brackets, again you may find you got bumped up into the next bracket.

Married Filing Jointly brackets:

10% $0 - $16,700
15% $16,701 – $67,900
25% $67,901 – $137,050
28% $137,051 – $208,850
33% $208,851 – $372,950
35% $372,951+

We did not change tax brackets, but our effective tax rate calculated as you show went from 7.3% to 9.2%. I don't get it at all! Both years we were in the 25% bracket.

 

[mamalle]

We did not change tax brackets, but our effective tax rate calculated as you show went from 7.3% to 9.2%. I don't get it at all! Both years we were in the 25% bracket.

same thing here.. Im not sure what is going on- we made a few thousand less this year and in the same bracket.. Last year I got $1750 for the kids and this year only a $1000.. I owe more than I did last year and we made less..

 

[Disneycrazymom]

When you find out let me know as we are in the same boat.

Here is another issue...my ex keeps claiming my son before I get to do my taxes. I work at places who always wait til the last second to send out forms. He is done his taxes already again!!!!
So everytime I was getting them done at the tax place online they said that social has been claimed....he gets visitation..I have full custody and have had full custody for years. I have filed ammended returns and spoken to workers at the IRS more times than I can count. Yet he still gets to claim him and I get the screwing.....
what can I do to stop this? They keep saying he will get caught eventually. I tell hi m he is not supposed to do it he says who cares. Basically my son is paying his own child support as i get none the whole year and then they garnish his IRS taxes. Well my thinking is I took care of him , and I should be getting that credit and you should be paying out support form your won darn pocket.
Ranting just irritated now.....sorry....

who gets to claim your son should be written in your divorce papers. I would call your lawyer and find out what s/he can do to help you. You may be able to get it retroactive.