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My income this year was EXACTLY the same as last year except…

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My income this year...

My income this year was EXACTLY the same as last year except that I had $10,000 in medical bills and took $13,ooo from an annuity. And the guy who did my taxes said I have to pay $2,700 in additonal taxes (using standard deductions). Last year I got over $2,000 back. So it seems as if taking the $13k ;is costing me $5,000 in taxes. Can you explain?

Accountant's Assistant: The Accountant will know how to help. Is there anything else the Accountant should be aware of?

No, that's the nut of my problem

Submitted: 5 months ago.Category: Tax
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3/10/2018
Tax Professional: Barbara, Enrolled Agent replied 5 months ago
Barbara
Barbara, Enrolled Agent
Category: Tax
Satisfied Customers: 6,652
Experience: 20+ years of experience in tax preparation; 30+ years of experience as a real estate/corporate paralegal.
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Welcome to Just Answer. My name is ***** ***** I will be happy to assist you.

Unfortunately, your income increased by the $13,000 you withdrew from the annuity.

The $13,000 gets added to your other income for the year on which you have to pay taxes.

I wish I had better news for you.

Thank you.

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