Tax rant- wtff?!!

unknownroad · 03-24-2009, 10:36 AM

Married couple, both working, similar incomes. Fairly small mortgage, no kids.
One is set up for withholding as married, 0 deductions.
The other is set up as single, 1 deduction.
And we still have to pay over 2% of our gross income on 4/15!

Uncle Sam owes me one hell of a reach-around.

shmike · 03-24-2009, 10:42 AM

Quote:

Originally Posted by unknownroad

Married couple, both working, similar incomes. Fairly small mortgage, no kids.
One is set up for withholding as married, 0 deductions.
The other is set up as single, 1 deduction.
And we still have to pay over 2% of our gross income on 4/15!

Uncle Sam owes me one hell of a reach-around.

At first thought, that makes no sense at all.

Are you guys 1099 or W-2?

Do you file joint?

If you are W-2, then your payroll company fucked up. Even moreso if you file a joint return.

unknownroad · 03-24-2009, 11:39 AM

Yes, we're W-2 and we file jointly

Her payroll company is deducting 11% of her AGI, mine is deducting 12%, and we end up owing 14%.

i don't know how they could both be screwing up to that great an extent.

wildchild · 03-24-2009, 01:13 PM

stop making so much money

Destitute · 03-24-2009, 01:24 PM

I get ~5% refunded. It was safer with the government this year than in the market.

derf · 03-24-2009, 06:02 PM

I didnt pay taxes, you guys need a better accountant

bmblebee · 03-24-2009, 08:41 PM

Are you saying that you have to pay 2% of your Gross Income, on top of what had been withheld? You are saying your total tax liability was 14% of your Gross Income?

You got hit with the AMT because you don't have enough schedule A to itemize. If you want to avoid this for 2009 tax year, change your Form W-4 to married, but withhold at the higher single rate. Also, max your IRA and 401 (K) contributions to lower tax liability.

I am just guessing here because I would have to see your documents you used to complete your return, or a transcript of your return in order to see what is going on. I could take a look at it for you...I have Enrolled Agent Circular 230 license

unknownroad · 03-25-2009, 01:25 AM

Accountant? Hell, i don't have stacks of investments and shell companies and shit... i'm just a working schmuck. I can't even afford the damned turbotax software. I take my paycheck home from a job I hate, spend most of it on bills, piss away the remainder on hobbies, and hope to die before I get too old or fucked-up to hold down a job.

bmblebee- to be precise, line 44 of our 1040 is equal to 13.5% of line 38. Alternative minimum doesn't apply. Itemized deductions just barely exceed the standard, and I've done everything short of declaring our cats as dependents. Somehow our federal withholding came to barely 11.2%, even though we're getting back about 10% of our state withholding. Right now everything is in stacks of paper forms and Excel spreadsheets, but I appreciate the offer.

Guess somebody's gotta pay all those AIG execs for their exceptional business acumen.

Finally put my wife to bed after 45 minutes of crying, thanks to this shit. Time to get my vodka on.

Mrs. Colleen · 03-25-2009, 01:32 AM

Hubby just told me our "bill" is about 2.4%

bmblebee · 03-25-2009, 08:13 AM

Doesn't cost me anything to review it...won't cost you anything but some postage. I have 1040X forms right here on my desk if they are needed. Never hurts to get another opinion.

03-24-2009, 10:36 AM	#1
unknownroad Guys... where are we? Join Date: Nov 2008 Location: South Carolina Moto: SV650 Interstate, CX500 rat-bobber, whatever else runs. Posts: 784	Tax rant- wtff?!! Married couple, both working, similar incomes. Fairly small mortgage, no kids. One is set up for withholding as married, 0 deductions. The other is set up as single, 1 deduction. And we still have to pay over 2% of our gross income on 4/15! Uncle Sam owes me one hell of a reach-around. __________________ Considering Verizon Business service? Perhaps you'd like to consider a nice drain cleaner enema instead?

03-24-2009, 11:39 AM	#3
unknownroad Guys... where are we? Join Date: Nov 2008 Location: South Carolina Moto: SV650 Interstate, CX500 rat-bobber, whatever else runs. Posts: 784	Yes, we're W-2 and we file jointly Her payroll company is deducting 11% of her AGI, mine is deducting 12%, and we end up owing 14%. i don't know how they could both be screwing up to that great an extent. __________________ Considering Verizon Business service? Perhaps you'd like to consider a nice drain cleaner enema instead?

03-24-2009, 06:02 PM	#6
derf token jewboy Join Date: Nov 2008 Moto: CBR 900, KLR ugly ass duckling, Gas Man Posts: 10,799	I didnt pay taxes, you guys need a better accountant __________________

03-24-2009, 08:41 PM	#7
bmblebee Community Curmudgeon Join Date: Nov 2008 Location: Tallahassee Moto: '04 F4i Posts: 373	Are you saying that you have to pay 2% of your Gross Income, on top of what had been withheld? You are saying your total tax liability was 14% of your Gross Income? You got hit with the AMT because you don't have enough schedule A to itemize. If you want to avoid this for 2009 tax year, change your Form W-4 to married, but withhold at the higher single rate. Also, max your IRA and 401 (K) contributions to lower tax liability. I am just guessing here because I would have to see your documents you used to complete your return, or a transcript of your return in order to see what is going on. I could take a look at it for you...I have Enrolled Agent Circular 230 license __________________ Alcohol, Tobacco and Firearms should be a convenience store and not a government agency If You Don't Know What Your Rights are...You Won't Have Any

03-25-2009, 01:25 AM	#8
unknownroad Guys... where are we? Join Date: Nov 2008 Location: South Carolina Moto: SV650 Interstate, CX500 rat-bobber, whatever else runs. Posts: 784	Accountant? Hell, i don't have stacks of investments and shell companies and shit... i'm just a working schmuck. I can't even afford the damned turbotax software. I take my paycheck home from a job I hate, spend most of it on bills, piss away the remainder on hobbies, and hope to die before I get too old or fucked-up to hold down a job. bmblebee- to be precise, line 44 of our 1040 is equal to 13.5% of line 38. Alternative minimum doesn't apply. Itemized deductions just barely exceed the standard, and I've done everything short of declaring our cats as dependents. Somehow our federal withholding came to barely 11.2%, even though we're getting back about 10% of our state withholding. Right now everything is in stacks of paper forms and Excel spreadsheets, but I appreciate the offer. Guess somebody's gotta pay all those AIG execs for their exceptional business acumen. Finally put my wife to bed after 45 minutes of crying, thanks to this shit. Time to get my vodka on. __________________ Considering Verizon Business service? Perhaps you'd like to consider a nice drain cleaner enema instead?

03-24-2009, 01:13 PM	#4
wildchild cruiser Join Date: Nov 2008 Location: on the run Moto: '09 HD superglide, 16 Yamaha FZ 09 Posts: 2,749	stop making so much money

03-24-2009, 01:24 PM	#5
Destitute Canyon Carver Join Date: Nov 2008 Posts: 315	I get ~5% refunded. It was safer with the government this year than in the market.

03-25-2009, 08:13 AM	#10
bmblebee Community Curmudgeon Join Date: Nov 2008 Location: Tallahassee Moto: '04 F4i Posts: 373	Doesn't cost me anything to review it...won't cost you anything but some postage. I have 1040X forms right here on my desk if they are needed. Never hurts to get another opinion. __________________ Alcohol, Tobacco and Firearms should be a convenience store and not a government agency If You Don't Know What Your Rights are...You Won't Have Any