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Tax.appeal.168
Tax.appeal.168, Tax Accountant
Category: Tax
Satisfied Customers: 3740
Experience:  3+ decades of varied tax industry exp. Tax Biz owner
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I get an alternate income of 1000 dollars for helping a crippled

Customer Question

I get an alternate income of 1000 dollars for helping a crippled family member how would i make sure my taxes stay in good standing, at my regular job i file 0 plus 45
Submitted: 5 years ago.
Category: Tax
Expert:  Tax.appeal.168 replied 5 years ago.
Hello, THANK YOU for choosing Just Answer. My goal is to help make your life...a little...LESS taxing.


If your taking care of your family member is not a business activity, you will report the money as other income, on line 21 of the Form 1040, and it will be taxed at the rate that your ordinary income.

Expert:  Tax.appeal.168 replied 5 years ago.
...taxed at the rate that your ordinary income is taxed at.
Customer: replied 5 years ago.
this hasnt really answered my question, if i am filing single no dependents and extra 45 every pay period am i still going to pay in enough to get a refund
Expert:  Tax.appeal.168 replied 5 years ago.
Hello again,

This is how your original question reads...part of it must have gotten cut off.

I get an alternate income of 1000 dollars for helping a crippled family member how would i make sure my taxes stay in good standing, at my regular job i file 0 plus 45

Ok, now that I know what the full question is, I will attempt to answer it for you.

In order for me to give you an answer, I need to know several things:

1) How much do you earn on your regular job? I need to know this so that I can determine what tax bracket that you fall under;

2) Approximately how much is currently being withheld from your paycheck every pay period.

3) Frequency of your pay periods.

Customer: replied 5 years ago.

under 25 thousand and i have been on loa for last six months so i dont remember how much they took out...it didnt seem like much

 

Expert:  Tax.appeal.168 replied 5 years ago.
I am using $25,000 ($24,000 from job and $1,000 from relative)

Based on your income and filing status--you fall under the 15% tax bracket for federal and the 6% tax bracket for state.

2011 federal standard deduction is $5,800.00

The tax amount due on $25,000 is $3,750,

The state tax amount of 6% on $25,000 is $1,500

Depending upon how much they have taken out, paying the additional $45 per pay period will possibly increase your refund amount.

Expert:  Tax.appeal.168 replied 5 years ago.
Is it a total of $1,000 or you get $1,000 a month?