Re: Tax Day - April 15!! Tips and suggestions Hi Arun - welcome to IL - I see that this is your first post here and we do welcome men and women in this forum. I will send you a private message because I need to get some facts before I can give you an answer - so check your messages later this evening.
Re: Tax Day - April 15!! Tips and suggestions Hi Subha - you and your husband will have to file a tax return. If all you have is a W-2, it is very easy. I would suggest that you go to the library and get a 1040 booklet. It will walk you through how to do it manually. There are many free online services available but I have not used any of them so I cannot recommend it. Check with your husband's friends, co-workers, etc. They can let you know if they have used one that they like. Hope this helps.
Re: Tax Day - April 15!! Tips and suggestions Thanks a lot shobanag for the assistance in this regard.....
Re: Tax Day - April 15!! Tips and suggestions Hi Subha, Sorry I missed your post... I guess you have already got all the information from Shoba. ~Punitha
Did anyone filed the tax already??? Hi, Did anyone filed or started doing your the tax already. I started last weekend and was not happy when I found that we owe more to FED. Stopped half way thru... but started y'day entering all the mortgage info etc.. And was happy to see that we got some credit from FED... I haven't completed, but started and will complete next week. ~Punitha
Re: Did anyone filed the tax already??? Hi Shoba, I had one question from my filing... From past 2 yrs we are getting 1099 .... from State IRS saying STATE TAX refund amout as income and should be taxed. But why???? What mistake we are doing while filing our state returns???. ~Punitha
Re: Did anyone filed the tax already??? HI Punitha - I hope you dont mind - I moved your post to this thread since we are discussing filing taxes No, I have not yet filed mine. Usually we break even - so even if we get a small refund, I am happy! What changed for you this year - that you ended up owing more to Fed? I know that you had mentioned in another post, that you typically prepare it yourself - so, I am sure that you would have picked up all the deductions that you are eligible to deduct. Let me know if you have any questions. I will be glad to help.
Re: Did anyone filed the tax already??? Hi Shoba, We did get refund and I am half way thru. When I entered our w-2, we ended up oweing to fed and I stopped there. Next day, I enterd all the mortgage info and we got some refund. Still I need to do my husband's education fees, child credits, energy bills etc. ~Punitha
Re: Did anyone filed the tax already??? Hi Punitha - just saw your post. The 1099 you are getting from the state is the refund that you got from filing the prior year state tax return. If you itemize your deductions, you are taking all state taxes withheld from your W-2 as a deduction. Hence when you get a refund from the state, you have to add back the refund as income on your 1040 - line 10. This is due to the "tax benefit" rule. For example, if you take a $100 state tax deduction on your itemized and your state tax liability is only $80, then you get a refund of $20. But on the federal return, you already took a $100 deduction and hence you have to add the $20 in the next year return. You have not done anything wrong. Let me know if you have any more questions.
