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Posted 2/25/15
Good news? I don't owe the IRS anything. Bad news? No income whatsoever but I still have to fill out forms for my business despite not making any sales.
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Posted 2/25/15 , edited 2/25/15

GayAsianBoy wrote:

it's called ATO here.

and yes, I owe them $40,000.



What in the world? In your country, tax is not regularly withheld from paychecks? ...People just pay all that at once? That really puts the onus of discipline on people, but I suppose if they're disciplined......


gvblackmoon wrote:


nanikore2 wrote:

I think you and many others have the concept backwards...

It's GOOD to owe a few hundred dollars of tax, and actually not good to get a refund (especially a big refund).

The reason is that if you're owed a refund, it just means you've paid too much taxes and just gave the government a free loan when you could've used the money.

Who wants to do that? Certainly not me........... I want my pay coming to me, not to some unneeded withholding.


Why is that doesn't do me any harm, but again the whole idea of not paying taxes is alien to me. The concept of not support other people through my government is also alien to me that is what it is for. But than I was taught at an early age that the government isn't a evil thing. that whole Welfare statement in Article 1 section 8 of the constitution makes it pretty clear.


Owing tax mean paying the difference at the end, not becoming delinquent
I'm just really surprised that people don't even know what I'm talking about.


curtisd88 wrote:
I'd rather get back one whole lump sum than have just a little bit more in my paycheck every week which really doesn't make a significant difference. And I sure as hell don't wanna be owing anything when I file. I owed the state once and I hope it's the last time.


It's not "a little" if you're getting back, say, $3000 or something like that.
If you're getting two paychecks every month, that's 3000/24= $125

Maybe $125 every two weeks is "a little" to you but it sure isn't to me.


morechunch wrote:
I'm confused. Even if the refund/charge on taxes doesn't make sense to me, owing the government money means you've stymied the socialist aspects of government until the bureaucracy needs to take inventory. No government can exist without some aspect of socialism, firefighters and police and schools in the US live off government funding.

It's only good to owe if you think you don't need anything but your money, and it's very nice to get it back when your money wasn't used.

So it's not good for the government to have capital until they're sure they can give some back to the people they took it from in error? And it's better to owe than to get back because that means that the blurry line that was drawn affects everyone equally?

I'm all for not trusting the government, but I have to pay into it like everyone else. If you owe, it means the government attributes debt to you that it still expects you to pay. But you're saying you're paying that couple hundred in order to pay me back a couple hundred?

Either way, thank you. I'm just lost, the money is all going to the same stuff whether I agree with it or not.


Yes you are confused, because you think "owing tax" means becoming delinquent and not paying at all.

I don't know which country you're in, but in the United States, you simply pay the difference when you owe tax unless the difference exceeds $1000 in which case you'd have a penalty on top.

I always try just owing a little (and yes, of COURSE paying it), and have my money instead of having to have Uncle Sam hold it the whole year.


kevz_210 wrote:

Not true, if you underpay by a certain about you get a fine added on to what you owe. It's better to plan to overpay slightly to avoid that.

Besides it is impossible to estimate taxes once you are no longer a teenager, the government keeps adding on new taxes and making up new rebates every other day. (sometimes worth thousands of dollars). Sometimes I wonder how the heck accountants can keep up with our crazy tax code.


Wrongo..... This exact "certain amount" is $1000 (in the United States), and I've never owed more than $1000.

It's absolutely easy to do. Not complicated at all. Just use Turbotax or some other tax software- They estimate and take care of every little new law, rule, and regulation there is. Those tax programs are constantly updated online. I don't need an accountant.

I simply adjust my withholding based on how much I owe.

If people love the psychological effect of getting big refunds or afraid of owing any tax then that's fine, but to me that's non-sense.
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Posted 2/25/15
Got back a good amount, all of it is gone now tho as i type this on my new ipad. //noselfcontrol
Posted 2/26/15

nanikore2 wrote:


GayAsianBoy wrote:

it's called ATO here.

and yes, I owe them $40,000.



What in the world? In your country, tax is not regularly withheld from paychecks? ...People just pay all that at once? That really puts the onus of discipline on people, but I suppose if they're disciplined......


Oops, should have made it clear... this was my tuition fee from university... I don't owe them income tax. in fact, they owe me $2000...

part of my tax money go into the tuition fees... but only a little...
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Posted 2/26/15

GayAsianBoy wrote:


nanikore2 wrote:


GayAsianBoy wrote:

it's called ATO here.

and yes, I owe them $40,000.



What in the world? In your country, tax is not regularly withheld from paychecks? ...People just pay all that at once? That really puts the onus of discipline on people, but I suppose if they're disciplined......


Oops, should have made it clear... this was my tuition fee from university... I don't owe them income tax. in fact, they owe me $2000...

part of my tax money go into the tuition fees... but only a little...
Lol ok, unless you were makin 6+ figures a year or haven't paid your taxes in decades, owing that much in taxes would be crazy.

Good luck on your tuition bro

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Posted 2/26/15 , edited 2/26/15

dougeprofile wrote:


gvblackmoon wrote:


dougeprofile wrote:

There was a new credit so I wound up overpaying by like $44, but I uped the allowances on my W-2 so I won't overpay next year even with the credit. Since I am declining to pay the ACA "Tax" a.k.a. Fine, I have to make doubly sure not to over pay so there is nothing for them to confiscate.


huh I got all but about 400 dollars back for my payments to my insurance provider because of the ACA for my medical insurance and don't you have insurance through your employer if you do you don't get fined? Paying out of pocket at the hospital is stupid and can easily wipe you out financially. And if you make less than a certain amount you qualify for Apple health care in Washington state.


My employer dropped insurance entirely because of the ACA (though I never wasted money on that); they give us a little money each month to cover our own insurance. I don't have any insurance regardless, sure I'll get fined ...I'm just not going to pay those fines - the only means the IRS has of collecting is if a refund is due (which I mean to avoid). I probably should get some catastrophic insurance eventually, but I'm healthy and so don't need much. Not interested in government mandated or subsidized insurance; if I had more choice in what the policy covered instead one full of government mandated elements, it would be cheaper and more desirable. Anyway I'll get some if and when I choose, not at the behest of some bureaucrat.

ACA aside, I want to pay what I owe and not a dime more.


Gosh I hope you don't get something nasty. Just getting your appendix out is pricey and it is common, one in four people need to have them removed. The bill for mine ran fifty thousand dollars. A broken arm is a couple hundred, cancer can run into the hundreds of thousands of dollars. Getting sick is expensive and will leave you broke and in bankruptcy if you don't have insurance.

The difference between my out of pocket group health plan that I had before the ACA and after was night and day I was able to upgrade to a better plan. And it covers all the things I mentioned above, and the cost wasn't that much 312 dollars a month a car payment for me at the time. Plus I got all but 400 of that back because I wasn't subsidized. But of course when you get sick to the point you need to go to the ER you are using the least efficient method of paying for it ER visits cost a lot of money.
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Posted 2/26/15

nanikore2 wrote:

It's absolutely easy to do. Not complicated at all. Just use Turbotax or some other tax software- They estimate and take care of every little new law, rule, and regulation there is. Those tax programs are constantly updated online. I don't need an accountant.


IF you're using turbo tax or another "DIY" approach to your taxes, there's a fair chance either your taxes are simple (which is probably only 40% of the time true, (a lot of people are involved in freelance work, like myself, or have assets like a home, loans, etc. or own a business, or have SOMETHING that complicates the taxes beyond using the 1040EZ form) ), or you're doing it to save on hiring an accountant and not realizing how much you are losing by doing your taxes yourself. When I started getting considered "freelance" for a portion of my work, the first year I owed about $1100, based on about a $6000 income from that line of work for the year. This was after typically getting $500 back. Went to an accountant, and we found ways to make deductions on the various things I had to acquire for the job, and whittled it down to where the government owed me about $40. You really, really, really should use a CPA.
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Posted 2/26/15

gvblackmoon wrote:

Gosh I hope you don't get something nasty. Just getting your appendix out is pricey and it is common, one in four people need to have them removed. The bill for mine ran fifty thousand dollars. A broken arm is a couple hundred, cancer can run into the hundreds of thousands of dollars. Getting sick is expensive and will leave you broke and in bankruptcy if you don't have insurance.

The difference between my out of pocket group health plan that I had before the ACA and after was night and day I was able to upgrade to a better plan. And it covers all the things I mentioned above, and the cost wasn't that much 312 dollars a month a car payment for me at the time. Plus I got all but 400 of that back because I wasn't subsidized. But of course when you get sick to the point you need to go to the ER you are using the least efficient method of paying for it ER visits cost a lot of money.


I'm in a similar situation.

Don't make enough money that I can afford health care, and make ABOUT $100-200 a month over the line drawn to get medicare.

Had to get my wisdom teeth pulled. That was after they broke and got infected (which happened in the 4 weeks I had to go back and forth with the oral surgeon to get them pulled). Cost $750 to go to the hospital and get them to basically write me a script for penicillin and vicodin, which I kinda knew I needed, but they're not over the counter drugs, so I still needed a doctor to write the script. Whole thing took only 5 minutes, but god damn...

Luckily I'm incredibly healthy otherwise.
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Posted 2/26/15 , edited 2/26/15

serifsansserif wrote:


gvblackmoon wrote:

Gosh I hope you don't get something nasty. Just getting your appendix out is pricey and it is common, one in four people need to have them removed. The bill for mine ran fifty thousand dollars. A broken arm is a couple hundred, cancer can run into the hundreds of thousands of dollars. Getting sick is expensive and will leave you broke and in bankruptcy if you don't have insurance.

The difference between my out of pocket group health plan that I had before the ACA and after was night and day I was able to upgrade to a better plan. And it covers all the things I mentioned above, and the cost wasn't that much 312 dollars a month a car payment for me at the time. Plus I got all but 400 of that back because I wasn't subsidized. But of course when you get sick to the point you need to go to the ER you are using the least efficient method of paying for it ER visits cost a lot of money.


I'm in a similar situation.

Don't make enough money that I can afford health care, and make ABOUT $100-200 a month over the line drawn to get medicare.

Had to get my wisdom teeth pulled. That was after they broke and got infected (which happened in the 4 weeks I had to go back and forth with the oral surgeon to get them pulled). Cost $750 to go to the hospital and get them to basically write me a script for penicillin and vicodin, which I kinda knew I needed, but they're not over the counter drugs, so I still needed a doctor to write the script. Whole thing took only 5 minutes, but god damn...

Luckily I'm incredibly healthy otherwise.


What state are you in? Actually inbox me depending on the state might be able to point you at resources lots here in Washington. Would have to look it up depending on your state.
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Posted 2/26/15
Insurance is nice. This is the first year I've had it since I was in school. Just had a surgery that would have run me ~$10,000. I paid $600 after insurance.

Before that I had some medical problems but worked out a deal with the doctor's office on my own. Many places will help you out if you don't have insurance. Try asking if they will charge you the average medicare rate instead of full price.
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Posted 2/26/15

kinga750 wrote:

Insurance is nice. This is the first year I've had it since I was in school. Just had a surgery that would have run me ~$10,000. I paid $600 after insurance.

Before that I had some medical problems but worked out a deal with the doctor's office on my own. Many places will help you out if you don't have insurance. Try asking if they will charge you the average medicare rate instead of full price.


Medicaid not Medicare which is for old farts 65 and older. Unless there are a bunch of old anime fans which I could see, since I've known several over the years.

In either case I know for a fact that if you are just a couple hundred dollars over the line for Medicaid you qualify for money to help you get insurance. So there is money there it is just a matter of how you get it. Granted some states didn't take the expansion if you live in one of those you would need to use the federal exchange but you will get money to help get insurance.

The link below covers the relevant information.

http://obamacarefacts.com/federal-poverty-level/

Just so you know a buddy of mind scratch his cornea didn't have insurance at the time or a job ACA saved his butt big time medical bills are nasty.
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Posted 2/26/15

gvblackmoon wrote:

What state are you in? Actually inbox me depending on the state might be able to point you at resources lots here in Washington. Would have to look it up depending on your state.


New Jersey.

My finances are...... "colorful" to say the least. (like 4-5 different sources, and it may be changing in the next few weeks yet again).

Also, NJ has a very high cost of living, especially where I am, and it's not in line with the national numbers.

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Posted 2/26/15

serifsansserif wrote:


gvblackmoon wrote:

What state are you in? Actually inbox me depending on the state might be able to point you at resources lots here in Washington. Would have to look it up depending on your state.


New Jersey.

My finances are...... "colorful" to say the least. (like 4-5 different sources, and it may be changing in the next few weeks yet again).

Also, NJ has a very high cost of living, especially where I am, and it's not in line with the national numbers.



Do you all even have an exchange?

All I could find is this and it links you to the national one. This is why I wanted Medicare for everyone but you take what you can get not what you want sometimes.

http://www.nj.gov/health/njhit/providers/exchange/
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Posted 2/26/15

serifsansserif wrote:


nanikore2 wrote:

It's absolutely easy to do. Not complicated at all. Just use Turbotax or some other tax software- They estimate and take care of every little new law, rule, and regulation there is. Those tax programs are constantly updated online. I don't need an accountant.


IF you're using turbo tax or another "DIY" approach to your taxes, there's a fair chance either your taxes are simple (which is probably only 40% of the time true, (a lot of people are involved in freelance work, like myself, or have assets like a home, loans, etc. or own a business, or have SOMETHING that complicates the taxes beyond using the 1040EZ form) ), or you're doing it to save on hiring an accountant and not realizing how much you are losing by doing your taxes yourself. When I started getting considered "freelance" for a portion of my work, the first year I owed about $1100, based on about a $6000 income from that line of work for the year. This was after typically getting $500 back. Went to an accountant, and we found ways to make deductions on the various things I had to acquire for the job, and whittled it down to where the government owed me about $40. You really, really, really should use a CPA.


That's great, except none of what your CPA whittled down for you applies to people who just work for a salary.

The rest of us have much simpler tax situations even when using deductions. Have you seen all those tons of questions Turbotax asks regarding deductions? Trust me it's got people covered.

There is no sense in overpaying if withholding could be easily anticipated and estimated.

You are an exception to the general rule when it comes to tax situations and I'm sure you're well aware of that.
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Posted 2/26/15

nanikore2 wrote:


serifsansserif wrote:


nanikore2 wrote:

It's absolutely easy to do. Not complicated at all. Just use Turbotax or some other tax software- They estimate and take care of every little new law, rule, and regulation there is. Those tax programs are constantly updated online. I don't need an accountant.


IF you're using turbo tax or another "DIY" approach to your taxes, there's a fair chance either your taxes are simple (which is probably only 40% of the time true, (a lot of people are involved in freelance work, like myself, or have assets like a home, loans, etc. or own a business, or have SOMETHING that complicates the taxes beyond using the 1040EZ form) ), or you're doing it to save on hiring an accountant and not realizing how much you are losing by doing your taxes yourself. When I started getting considered "freelance" for a portion of my work, the first year I owed about $1100, based on about a $6000 income from that line of work for the year. This was after typically getting $500 back. Went to an accountant, and we found ways to make deductions on the various things I had to acquire for the job, and whittled it down to where the government owed me about $40. You really, really, really should use a CPA.


That's great, except none of what your CPA whittled down for you applies to people who just work for a salary.

The rest of us have much simpler tax situations even when using deductions. Have you seen all those tons of questions Turbotax asks regarding deductions? Trust me it's got people covered.

There is no sense in overpaying if withholding could be easily anticipated and estimated.

You are an exception to the general rule when it comes to tax situations and I'm sure you're well aware of that.


I don't disagree about it being better if your taxes are simpler. I don't think, however, a lot of people have as simple a set of taxes as they tend to think though.

i think about people like my friends that own businesses (sched C tax forms), my mother who recently bought a home and began doing improvements, and the deductions due to children and loans. I think about anyone who might have investments they might not think too much about. depending on the type, they are taxed differently.i'm not saying any ONE group of these situations is universal. by far the largest group of people will be the simplified forms, however, there's enough little differences that there may be more need for an accountant than not.

but you're right that simple taxes do not require an accountant, and it's a personal choice.
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