Filing taxes

[DK1555]

I'm confused when it comes to filing taxes. Some of the guys I work with go to differnt tax preparers and they get back 2 to 3 times what I get back if I was to use Turbo Tax or something. They go to a real bussines with a legit office not just some guy in the back bedroom. They take them all the same stuff I have but get alot better result and say its all legal and would all stand up to an audit. Anyone else do the same and I'm just missing out cheating myself?

[hully1029]

They're simply just maximizing deductions. More than likely using a self employed version and deducting everything they can think of, and more. Standard deduction for filing jointly this year I think is 24,000. Every meal you buy while on the job, cell phone bills, mileage/fuel/maintenance/registration fees on vehicles, etc..

Sent from my SM-G955U using Tapatalk

[super_dave]

I used the IRS’s calculator years ago to determine how many dependents to claim on my w4. Since then with 4 kids and a stay at home domestic engineering wife, I’ve been “married and 15”. Most people think that dependents is number of kids. It’s not. It’s a big convoluted logarithm they use to screw with your brain. Anyway, I don’t get back crap from the IRS. But I don’t want to either. I’ll keep my money, invest it how I want and at the end I try to be within 500$ of even Stevens. I use turbo tax and It’s worked out really well for us. I can sleep at night without the fear of audit.

Also a plus side is that at married and 15 in MY SITUATION, I only pay an income tax on overtime wages. An 80 hour check only has social security taken out.


Sent from my iPhone using Tapatalk

[bbqfan5909]

Everyone’s situation is different. You may require more/less taxes taken out, interest/taxes on home paid, etc.

You don’t want money back, close to zero is the best.

[JLivi1224]

A good CPA is worth every penny.

Also, remember that those guys are just getting their own money back that the government had on loan at 0% interest. As mentioned, $0 is my goal.

[67olds442]

There is alot of variables involved it's not like comparing apples to apples.

[deerplanter]

I used to do my own taxes and still do a rough estimate on the free turbo tax but we use a CPA that has insurance in case we get audit. My wife has business expenses and makes it difficult at times to understand what is and isn't deductible. He charges us about $300 and always gets back at least that much more plus the assurance that if an audit goes sideways he's on the hook also.

[Landrover]

Heck, I'm looking for the 3x5 postcard we were promised.[emoji848][emoji2957] Between my 1120s and 1040 it is way past time for a new filing system.

Sent from my SM-G965U using Tapatalk

[Playa]

A good CPA is worth every penny.

Also, remember that those guys are just getting their own money back that the government had on loan at 0% interest. As mentioned, $0 is my goal.

Yeah well there are too many folks getting back MORE than what they paid in. That means they aren’t getting “their” money back, it means they are getting YOURS and MINE back. And if they weren’t, yours and mine could be lower.

I’m terrified this year. I made more $ than ever before and most of it was over a 5 months period as a 1099. Im hoping the 20-30,000 miles I drove and other expenses off sets it

[ramrod]

Do it the way you normally do it, then just take it to a CPA and see what the difference is. Then you'll know for now on. It's not that expensive in the grand scheme of things.

[BrandonH]

I'm confused when it comes to filing taxes. Some of the guys I work with go to differnt tax preparers and they get back 2 to 3 times what I get back if I was to use Turbo Tax or something. They go to a real bussines with a legit office not just some guy in the back bedroom. They take them all the same stuff I have but get alot better result and say its all legal and would all stand up to an audit. Anyone else do the same and I'm just missing out cheating myself?

I wouldn't compare what they get back to what you get back. They may have their W4 setup to take way too much out, where you may have yours set more in line where it should be. They're just lending the government money interest free for a year.

Sent from my SM-G950U using Tapatalk

[toomuchsun]

Basic returns, wages, interest, minor investments etc. the std deducts are generous and hard to outrun with complicated returns. Add in notable Self Employ, Stocks, Dividends, Capitol Gains, Incorporating, etc. and depending how deep may very well need a step up in skill to maximize the lowest taxes. I feel Turbo covers basics well for most returns even with minor common other income and liabilities. If too complicated, I would want a face to face "Up To Date" Accountant for sure. "Certified" is earned but only goes as far as that accountants ability to stay in tune each years changes and glitches as well.

[KNP16]

They're simply just maximizing deductions. More than likely using a self employed version and deducting everything they can think of, and more. Standard deduction for filing jointly this year I think is 24,000. Every meal you buy while on the job, cell phone bills, mileage/fuel/maintenance/registration fees on vehicles, etc..

Sent from my SM-G955U using Tapatalk

The only way they are doing this is if they are getting a 1099 from a business. If they get a W2 none of what you just mentioned is a tax deduction. I've done thousands of Tax Returns and still do some on the side. Every situation is different and you never really know how much that guy is withholding, how much is wife is making etc. etc. It is really a common misconception that a CPA can completely change your tax return and get you back more money. If you do your own taxes (assuming you just have W2s) and you owe and you then take it to a CPA and somehow you’re getting money back. You better check out what’s going on. Pretty much any run of the mill online tax service will check what deductions/credits you may be allowed just by answering simple questions. You need to remember once you sign the dotted line and it goes to the IRS the liability is on you not the CPA. Even with audit insurance or whatever the tax service you use calls it. They will only cover up to a certain amount IF they made a mistake. I can tell you from experience we had a guy get audited from a return a staffer did. He took some expenses that weren’t allowed for a guy that was 1099 (self-employed). He should have known these weren’t allowed but ultimately insurance determined the fault lied on the individual not the tax prepared because the individual supplied those expenses for his “business expenses”. Even if we were at fault the insurance would have only covered like 5k of the liability owed, he owed like 15k. This is all to say you need to make sure you check out that 1040 before signing the paperwork. Now with all of that if you have a pretty complex tax year then absolutely a CPA is what you need.

[Hoggslayer]

Had some friends that always got back a ton of money every year. I couldn't figure out how they did it. Turns out the IRS couldn't figure it out either. They now owe 2 tons back after being caught cheating on their taxes.

[toomuchsun]

Playa is right. I believe in some programs to encourage folks to work vs. play the system. And The system often further requires them to do nothing in many cases or loose their assistance? (this is other than tax returns but plays in to the mess)
I am aware of a single mom getting back insane amounts with very limited income. I am not completely against helping folks but not the levels it has developed.
Helping folks and spoiling are two different things.