Have a Tax Question? Ask a Tax Expert
Hi, my name is Mark. I will be happy to help you.
I am sorry to hear about your situation. I assume that you are under 59 1/2?
Sometimes the credit card companies deny a second purchase thinking it may be a potential fraud.
I believe that I should be able to handle your questions through chat.
If you are under 59 1/2 there is a 10% penalty on the $6,300 so $630.
You would also pay income tax on the $6,300. If you can let me know where you think your taxable income will be for the year I can let you know what bracket that you fall in.
If you are in the 25% bracket and a 5% state bracket you are looking at another 30% of $1,890. For a combined total of $2,520.
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Do you know approximately how much taxable income you will have for the year? What state are you in?
For the $7,300 I believe that they will automatically w/h 20%.
How much do you think your total income will be for the year?
Is this including the $13,000?
Are you single? Any dependents?
What state are you in?
So file as head of household?
ok give me a few moments
Assuming that your child qualified for the child tax credit the taxes are going to be minimal. You have the $1,300 penalty but with an income of $29,100 - I am showing income tax of $800 for federal. So a combined amount of $2100. The state amount is around $900. So $3000 combined.
Your total income?
Assuming that is your total income you are looking at $2950 for federal and $1850 for state. These are estimates but they should be in the ballpark.
That is good about the state tax. So at $35,000 you are looking at about $2,950.
They should w/h $1400 on the $7000 distribution.
Sorry, I had to step away from the computer. Is the $3,400 in addition to the $35,000. If that is the case you are in the 15% bracket. The tax on the $3,400 would be $510.
Ok the bonus should be part of your W-2. Based on what you are saying the $2950 amount should be correct.