Taxes are done!

[Scuzz]

So any good reason to wait till July if you are getting money back and have everything you need?

If you filing and are expecting a refund you should do it as normal. April 15th still applies to you as far as filing, even if you owe money. The important thing is to file. Now if you make a mistake and your return requires human intervention then your refund will be slow in coming.

I work seasonally at the Fresno IRS office and we have been sent home for at least two weeks. Everyone who can't work from home has been sent home, with pay. So probably 2k people or so.

[em2nought]

Tax deadline extended 90 days

• Treasury Secretary Steven Mnuchin said on Tuesday that taxpayers can delay paying their income taxes on as much as $1 million in taxes owed for up to 90 days.
• Ordinarily, individual income taxpayers must submit their 2019 tax returns by April 15. This delay would push the due date to July 15.
• This relief is for federal returns. Double-check your state’s tax deadlines to see if there are any delays.

EDIT: CLARIFICATION HAS BEEN ISSUED - TAXES MUST STILL BE FILED BY APRIL 15TH!

Thanks for the clarification. The IRS office wasn't even open in Sarasota on Thursday. The telephone number they posted on the door only went to a response message with no options for being transferred or leaving a message. LOL

[stessier]

Tax deadline extended 90 days

• Treasury Secretary Steven Mnuchin said on Tuesday that taxpayers can delay paying their income taxes on as much as $1 million in taxes owed for up to 90 days.
• Ordinarily, individual income taxpayers must submit their 2019 tax returns by April 15. This delay would push the due date to July 15.
• This relief is for federal returns. Double-check your state’s tax deadlines to see if there are any delays.

EDIT: CLARIFICATION HAS BEEN ISSUED - TAXES MUST STILL BE FILED BY APRIL 15TH!

Thanks for the clarification. The IRS office wasn't even open in Sarasota on Thursday. The telephone number they posted on the door only went to a response message with no options for being transferred or leaving a message. LOL

Just so you know, it was changed again. The filing deadline was moved to July 15th for federal on Thursday or Friday (after I posted that).

[stessier]

So any good reason to wait till July if you are getting money back and have everything you need?

If you filing and are expecting a refund you should do it as normal. April 15th still applies to you as far as filing, even if you owe money.

I'm pretty sure that deadline has moved to July 15 (see link above).

[stessier]

I can't quite tell whether underpayment penalties will be waived as well. Due to a series of miscalculations we ended up owing way more taxes than expected. We'll pay the full amount as soon as our return is processed (already sent it in) - no point in waiting until April 15 or July 15 or whatever. Would be nice not to get hit with an underpayment penalty, though.

Doesn't seem like underpayment penalties are included, sorry.

This filing and payment relief includes:
The 2019 income tax filing and payment deadlines for all taxpayers who file and pay their Federal income taxes on April 15, 2020, are automatically extended until July 15, 2020. This relief applies to all individual returns, trusts, and corporations. This relief is automatic, taxpayers do not need to file any additional forms or call the IRS to qualify.

This relief also includes estimated tax payments for tax year 2020 that are due on April 15, 2020.

Penalties and interest will begin to accrue on any remaining unpaid balances as of July 16, 2020. You will automatically avoid interest and penalties on the taxes paid by July 15.

Individual taxpayers who need additional time to file beyond the July 15 deadline can request a filing extension by filing Form 4868 through their tax professional, tax software or using the Free File link on IRS.gov. Businesses who need additional time must file Form 7004.

[Scuzz]

So any good reason to wait till July if you are getting money back and have everything you need?

If you filing and are expecting a refund you should do it as normal. April 15th still applies to you as far as filing, even if you owe money.

I'm pretty sure that deadline has moved to July 15 (see link above).

I did not know that and missed the change in the thread above. This could really change my work year.

They are being realistic about this being a longer break from work (for me) than just two weeks. I assumed it would probably be at least a month. Now they can do that without effecting the tax returns.

[Zarathud]

(political outrage removed - cross post)

The postponement of April 15 to July 15 applies only to Federal income taxes and estimated tax payments due on that date. It was all about the headlines.
* A company with a fiscal year ending May 15? Out of luck.
* A payroll or excise tax due on April 15? Out of luck.
* A gift or estate tax due on April 15? Out of luck.
* An information return due on April 15? Out of luck.
Many accountants are back to work effectively today.

If Trump declared a natural disaster or domestic or military action, rather than a public health emergency, there would be an automatic 60 day statutory extension until May 12. But not here.

[Kasey Chang]

Just efiled both fed and state taxes, getting almost a grand back. We shall see when it gets here. I asked for direct deposit. Need that money as I won't have income for another 2.5 to 3 months, and depends on how fast I find a job after I get out of bootcamp... AND pay back the loan.

Then I went to check if I can afford any of the Covered California plans... Nope. Prices have like... quadrupled from a few years ago. I swear when I got on CoveredCA, prices are UNDER $100 after all the premium help from the government.

Now, with only $270 help a month from the government, I'm facing 300+ a month in premiums for the cheapest BRONZE plans, and that's NOT counting co-pays and deductibles. Maybe I should apply for UI...

[Scuzz]

Just efiled both fed and state taxes, getting almost a grand back. We shall see when it gets here. I asked for direct deposit. Need that money as I won't have income for another 2.5 to 3 months, and depends on how fast I find a job after I get out of bootcamp... AND pay back the loan.

Then I went to check if I can afford any of the Covered California plans... Nope. Prices have like... quadrupled from a few years ago. I swear when I got on CoveredCA, prices are UNDER $100 after all the premium help from the government.

Now, with only $270 help a month from the government, I'm facing 300+ a month in premiums for the cheapest BRONZE plans, and that's NOT counting co-pays and deductibles. Maybe I should apply for UI...

I priced Covered California a few years ago, when it looked like my business would close and I would lose my insurance. One reason I went after my current seasonal government job is because I was able to get health insurance thru it at half the price for much better coverage. And the government pays when I am on furlough status. Sure I still have to pay my portion when I return to work, but even that is nothing compared to what I would pay monthly outside that plan.

If you e-filed California and asked for direct deposit they can be surprisingly fast. Not sure about the Feds.

[Zarathud]

Cross-post:

More insight into the Trump administration’s incompetence — there will be a separate IRS Notice on Monday undoing the unofficial web Q&A that gift tax returns will not be extended until July 15. Still no extensions on estate tax or information returns.

Guess who spent the last 2 days reaching out to tell clients that, yes, they still have to file gift tax returns? None of that can be billed, even though it’s in my client’s interests. My migraine has a migraine.

[em2nought]

I wish the county was deferring our property taxes until July 15th.

[Scuzz]

The difference between the Feds and smaller government entities if that the Feds can print money. Imagine the problems we are going to see when states, cities and counties start to run out of money.

[Kraken]

MA grudgingly delayed their deadline to 7/15. Grudging, because the state's fiscal year ends on 6/30, and they're constitutionally required to balance the budget. Hard to do that when your April collections get pushed back. I think they came up with a scheme to raid the rainy-day fund and then pay it back in July.

[Scuzz]

California pushed their tax date back to July probably a month ago. California has wisely built up a solid rainy day fund in the last few years but I would still wonder how long it would last with the state and other local governments blowing thru their budgets.

[em2nought]

UPDATE: The Florida Department of Revenue has extended the date property taxes are due from March 31, 2020 to April 15, 2020. Others may want to check with their states as well.

IMPORTANT NOTICE

PROPERTY TAXES MAY BE PAID ONLINE WITH NO ADDITIONAL SERVICE CHARGE IF USING THE E-CHECK PAYMENT TYPE.

UPDATE: The Florida Department of Revenue has extended the 2019 property tax payment due date from March 31,2020 to April 15, 2020. To avoid fees and delinquent interest charges, payment may be made online, over the phone, by mail (postmarked), or in-office by April 15.

[Isgrimnur]

IRS

[Zarathud]

If you don’t file, you don’t get a refund and you don’t start the statute of limitations! File!

[pr0ner]

Taxes are done.

The feds owe me about $620, and I owe Virginia about $720.

Entering in all the stuff for two mortgage statements and a whole bunch of stock sales was beyond fun. But at least it's over.

[em2nought]

In regards to covid-19 distributions, just because you "think" the IRS knows where to send your payment doesn't necessarily mean that they do. You should verify it here https://www.irs.gov/coronavirus/get-my-payment

[em2nought]

In regards to covid-19 distributions, just because you "think" the IRS knows where to send your payment doesn't necessarily mean that they do. You should verify it here https://www.irs.gov/coronavirus/get-my-payment

Took me several times before I entered the "proper" addresses according to whatever outdated source the IRS website got the information from for one of my friends. Still trying for my other friend. Supposedly it can kick you out and tell you to try again in 24 hours if it's overloaded with people. When I figured out what it wanted from me I guess I took too long looking for my tax return & bank routing number and it just told me it was sending me a check on May 1st. Not really what I wanted but... So gather up your last filed tax return and your checking account number with routing number before you try using the website. It's going to want certain lines like your adjusted gross income and amount they owed you or you owed them off your last filed return too.

[Kraken]

Finally got our tax returns today. I wasn't sure what to expect due to having three wildcards this year; I hoped that they would cancel one another out -- and that's basically what happened. We owe the feds $300 and the state owes us $570, so that's darned close to break-even. Effective federal tax rate was 11.25%.

I also finished preparing my late BIL's final federal return, and transformed $1,900 owed into an $875 refund by filling out a form I'd never seen before, form 8962. Basically, he overpaid for Obamacare due to his "income" (which was all withdrawn from his IRA) being below 400% of the poverty line. Now I'm waiting for my CPA to find out if he made his estimated tax payments or not; I'm pretty sure he didn't, but that will be another $2,500 back if he did. Turns out CPAs can access an IRS database that will answer that.

Next up, preparing his state and city tax returns...and then my Q2 payroll taxes.

[em2nought]

Taxes are done and paid for everybody. Mine's not done yet, but paid. My buddy is in a catch 22 because he has to file in person so his new wife can get her ss# & green card status, but there aren't any IRS locations where you can file in person currently.

[El Guapo]

Finished the taxes last night. Upped the withholding after a significant tax day bill last year; still had a non-trivial amount due this year, I think due to my wife getting a better paying job during the year (which is of course good overall). Going to need to up it again, I suppose.

[LawBeefaroni]

Got our refund today. Wife didn't do any contact work last year and I absolutely attacked pre-tax and deductions so it was fairly sizeable.

We filed a few weeks ago but I told the wife not to tell me what the accountant projected for refund. Nice little surprise. Of course a chunk is going directly to property tax in a few weeks. Easy come easy go.

[Kraken]

I mailed in -- yes, on paper -- my late BIL's final tax return. You'd think it would be simple...I thought it would...because he had zero real income, just premature withdrawals from his IRA. But no. In addition to the 1040, I had to fill out Schedules 1-3 and four forms to support them. Fortunately, I had his previous year's return to use as a guide. I didn't have enough of his financial records to itemize deductions, but I managed to finagle a $2,200 refund for the estate. Which is us.

I mailed his state and city returns last week. I'm hoping to get the federal refund before his property taxes are due at the end of August, because we still haven't unloaded his house.

I also filed and paid my own Q2 payroll taxes today, and our own property taxes are due in two weeks.

Taxes are never done.

[hentzau]

I got boned this year, big time. Probably the first time in 25 years that I’ve owed anything. I can only assume it’s the changes in the tax law combined with losing dependents and child tax credits all at once. Oh, and being a bonus level employee at work may have changed my bracket as well.

I guess I should look at changing my deductible, but this late in the year I’m not sure how much it’s going to help.

[Max Peck]

I always see owing money when I file my taxes as a good thing. It means that money has been working for me right up until I settle the tax bill, while a refund means I've been lending money to the government at 0% interest.

[Scraper]

I got boned this year, big time. Probably the first time in 25 years that I’ve owed anything. I can only assume it’s the changes in the tax law combined with losing dependents and child tax credits all at once. Oh, and being a bonus level employee at work may have changed my bracket as well.

I guess I should look at changing my deductible, but this late in the year I’m not sure how much it’s going to help.

Welcome to the party. My tax bill this year was enough to go on a really nice all inclusive vacation for my entire family. Fucking taxes. And yes I waited until July 15th to send my money even though I had my taxes prepared way back in February. I'd rather have the money sitting in an account collecting interest as long as it possibly could.

[LawBeefaroni]

I always see owing money when I file my taxes as a good thing. It means that money has been working for me right up until I settle the tax bill, while a refund means I've been lending money to the government at 0% interest.

That was always my goal but I've got way too many irons in the fire nowdays so I just set withholdings where the accountant recommends and hope for the best.

[ImLawBoy]

I always see owing money when I file my taxes as a good thing. It means that money has been working for me right up until I settle the tax bill, while a refund means I've been lending money to the government at 0% interest.

My tax professor in law school said the same thing - and he then followed that up by saying he still loved getting a big refund. I guess he was a "Do as I say, not as I do" kind of guy.

[LawBeefaroni]

I always see owing money when I file my taxes as a good thing. It means that money has been working for me right up until I settle the tax bill, while a refund means I've been lending money to the government at 0% interest.

My tax professor in law school said the same thing - and he then followed that up by saying he still loved getting a big refund. I guess he was a "Do as I say, not as I do" kind of guy.

It's also possible that for him, like many (most?) Americans, giving a 0% interest loan to Uncle Sam is a better way to accumulate than having spendy cash on hand all year.

[Kraken]

I always see owing money when I file my taxes as a good thing. It means that money has been working for me right up until I settle the tax bill, while a refund means I've been lending money to the government at 0% interest.

My tax professor in law school said the same thing - and he then followed that up by saying he still loved getting a big refund. I guess he was a "Do as I say, not as I do" kind of guy.

It's also possible that for him, like many (most?) Americans, giving a 0% interest loan to Uncle Sam is a better way to accumulate than having spendy cash on hand all year.

It's easy enough to understand why some of us would rather get one check for $1,000 than 50 checks for $20.

[El Guapo]

I always see owing money when I file my taxes as a good thing. It means that money has been working for me right up until I settle the tax bill, while a refund means I've been lending money to the government at 0% interest.

My tax professor in law school said the same thing - and he then followed that up by saying he still loved getting a big refund. I guess he was a "Do as I say, not as I do" kind of guy.

It's also possible that for him, like many (most?) Americans, giving a 0% interest loan to Uncle Sam is a better way to accumulate than having spendy cash on hand all year.

I get that, but there are way better default saving mechanisms than withholding too much money from your paycheck. An automatic transfer into a 401(k), for example.

[Smoove_B]

An automatic transfer into a 401(k), for example.

For retirement? Nobody is ever retiring again.

[El Guapo]

An automatic transfer into a 401(k), for example.

For retirement? Nobody is ever retiring again.

Well, this is in general, in a hypothetical universe where we're not hurtling rapidly towards Mad Max: Thunderdome.

[Isgrimnur]

[LawBeefaroni]

I always see owing money when I file my taxes as a good thing. It means that money has been working for me right up until I settle the tax bill, while a refund means I've been lending money to the government at 0% interest.

My tax professor in law school said the same thing - and he then followed that up by saying he still loved getting a big refund. I guess he was a "Do as I say, not as I do" kind of guy.

It's also possible that for him, like many (most?) Americans, giving a 0% interest loan to Uncle Sam is a better way to accumulate than having spendy cash on hand all year.

I get that, but there are way better default saving mechanisms than withholding too much money from your paycheck. An automatic transfer into a 401(k), for example.

A 401K is fairly illiquid. If you're expecting to spend the money at the end of the year, 401K doesn't help much. But yeah there are better ways. Many people aren't willing or able to use them.

I mean we may think of it as just shuffling assets around to maximize returns. But what about if your only cash/cash equivalent asset is your bank account, on the occasion it actually has cash?

[coopasonic]

An automatic transfer into a 401(k), for example.

For retirement? Nobody is ever retiring again.

A friend sent me a text last week that he was 998 days from retirement (when he'll turn 67.5). Just for fun, I did the math. 7077 days.

If I could commit to living on a LordMortis type budget I can probably retire the day my youngest graduates from college (we're planning to pay for 4 years and if you graduate in that time, congrats, if not, suck it). Assuming that is still a thing. It would be 12 years from now, pretty close to the day I turn 60. House is paid off in 4 years which is when the oldest would start college and the kids are perfectly spaced at 4 school years. If I can survive the next big stock market implosion, I should be good to go.

[Scuzz]

I mailed in -- yes, on paper -- my late BIL's final tax return. You'd think it would be simple...I thought it would...because he had zero real income, just premature withdrawals from his IRA. But no. In addition to the 1040, I had to fill out Schedules 1-3 and four forms to support them. Fortunately, I had his previous year's return to use as a guide. I didn't have enough of his financial records to itemize deductions, but I managed to finagle a $2,200 refund for the estate. Which is us.

I mailed his state and city returns last week. I'm hoping to get the federal refund before his property taxes are due at the end of August, because we still haven't unloaded his house.

I also filed and paid my own Q2 payroll taxes today, and our own property taxes are due in two weeks.

Taxes are never done.

I hate to burst your bubble but currently the IRS (my employer) is working on tax returns from March. I was home from March 19th to June 29th and so was almost everyone in the building I work in. I do think with the new July 15th date refunds are supposed to be out by the end of August, so it may happen, but it will probably be really hard to meet that. But we are working over time already.

[Scuzz]

An automatic transfer into a 401(k), for example.

For retirement? Nobody is ever retiring again.

A friend sent me a text last week that he was 998 days from retirement (when he'll turn 67.5). Just for fun, I did the math. 7077 days.

If I could commit to living on a LordMortis type budget I can probably retire the day my youngest graduates from college (we're planning to pay for 4 years and if you graduate in that time, congrats, if not, suck it). Assuming that is still a thing. It would be 12 years from now, pretty close to the day I turn 60. House is paid off in 4 years which is when the oldest would start college and the kids are perfectly spaced at 4 school years. If I can survive the next big stock market implosion, I should be good to go.

I am around 510 days.