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Recent Withholding questions

I'm married and I am self-employed. My wife makes around

Hi, I'm married and I am self-employed. My wife makes around $17k per year. No kids. We pay a mortgage of around $525 per month.I'm looking at buying a new car, but I want to make sure it's in my budget, so I'm trying to determine two things...1. My self-employment tax2. My federal income tax rate.I'd like to ballpark how much I need to be paying EACH month roughly to cover both #1 and #2 above.I'd guess I make around $2400 a month after business expenses.Is there a way to determine this?I find it very hard to understand and to figure out how to figure them separately.Thank youDayne

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Mark Taylor

Certified Public Accountant

Masters

862 satisfied customers
I'm interested in purchasing a home here in Nevada and

Hello,I'm interested in purchasing a home here in Nevada and trying to figure out the best way to spend money for a $100,000 mortgage downpayment plus $14,000 closing costs($114,000 total) from the following:1) $18,000 Bank checking2) $127,000 IRA3) $56,000 Mutual Fund (this pays about $250/monthly income)My annual income is about $42,000 ($1166/month -social security, $250/month -Mutual fund dividends, $2033/month -life annuity). Also, I will start receiving a $105/month pension in 2017.I would like to keep my income unchanged.Currently in 25% tax bracket, single, no dependents/debt, 64 years old, pay $0 state income tax in Nevada.Thanks

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Mark Taylor

Certified Public Accountant

Masters

862 satisfied customers
I am going to accept a freelance job and i want to use my

I am going to accept a freelance job and i want to use my LLC and pay myself through that.What do i need to do before i accept?How can i ensure that i do my taxes correctly?Will things be much different if i have another employee with me (my friend)?

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Mark Taylor

Certified Public Accountant

Masters

862 satisfied customers
For our 2015 Federal Income Tax return, the IRS has reduced

For our 2015 Federal Income Tax return, the IRS has reduced our TurboTax calculated refund by $500, the exact amount that Fidelity, following our instructions, withheld from my wife's annual withdrawal from her IRA. Fidelity reported this amount to the IRS on a Form 1099-R All of the Fidelity data for our three Fidelity accounts was entered electronically into Turbo Tax by internet download. In entering data into Turbo Tax I also entered this withdrawal amount under "other withholdings". I'm assuming that this constituted a double entry of the withheld amount and was, therefore, the reason the IRS reduced our refund by an equivalent amount. Am I correct in thinking that if a financial institution files a 1099-R covering tax withheld from an IRA distribution and if that financial institution's data is subsequently downloaded into Turbo Tax, then I, the filer, should not also enter the amount withheld under "other withholdings".

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Mark Taylor

Certified Public Accountant

Masters

862 satisfied customers
I am selling my mothers property which is in a revocable

I am selling my mothers property which is in a revocable trust, she passed away in 1999. I am the trustee and also the executor. do I need to fill out the 593 e to base the value of her home at the time she passed to figure the capital gain????JA: The Accountant will know how to help. Is there anything else the Accountant should be aware of?Customer: the house is in escrow and will be closing next week. I have already filled out the 593 c and now they have given me the 593.... I am wondering if i should fill out the 593 E

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Lane

JD, MBA, CFP, CRPS

Doctoral Degree

17,194 satisfied customers
I am the executor and sole trustee of my parent's Living

I am the executor and sole trustee of my parent's Living Trust. I am one of three beneficiaries. My dad had an IRA held by TDAmeritrade and managed by a local brokerage frim. In order to disburse those funds we have to pay the tax on it. I have asked that the funds be wired to the estate account I set up for distribution that has it's own EID--minus the withholding for the taxes. The brokerage firm is set to do that, but they are using my personal social security number, instead of the EIN...so that it will be on my personal tax return. They tell me this is the only way they can process my request because they claim the wording of the trust document is poorly done. My question is, is there a way for me to show all of this on my personal tax return and not be unfairly penalized for having agreed to be my father's trustee? It makes me nervous.

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PDtax

Owner

Master's Degree

6,850 satisfied customers
I'm considering taking $8,000 out of my IRA account, I have

I'm considering taking $8,000 out of my IRA account, I have just over $11k. I know theres a 10% withholding fee for Federal, can you tell me what I can expect come tax season next year? How much will I owe the state? How much will the early withdrawal fee be? Ect

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emc011075

Tax advisor and Enrolled Agent

Bachelor's Degree

3,976 satisfied customers
I got a stock award from my employer. When they gave it to

I got a stock award from my employer. When they gave it to me, I had to use a percentage of my stock to pay for taxes. I sold some of the stock in 2014. I didn't get any paperwork from the broker so I didn't include it in my taxes. Now I owe money to the IRS. But I don't understand why. I already paid taxes when I got the stock award. I could maybe see if the taxes were on the increased value of the stock (it was x amount when I got the stock and it's now worth x*100) but I don't think that's what it's basing it on. How does that work? What paperwork do I need to prove that I already paid taxes on it?

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emc011075

Tax advisor and Enrolled Agent

Bachelor's Degree

3,976 satisfied customers
I filed my taxes and did not meet the deadline to send in

I filed my taxes and did not meet the deadline to send in the documents requested by the IRS and now I'm hit with a penalty and was wondering if I can still send in the information to be considered for my taxes?

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Mark Taylor

Certified Public Accountant

Masters

862 satisfied customers
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