Tax Deductions

I use tax software. Export tax data from my money manager software, plop it into the tax software, and boom. Taxes are done in short order. The software I use will even pick up the return data from previous years in order to spot trends. And it asks tons of questions and will do all the various alternative calculations for you.

Luckily, FL doesn't have state income taxes, so I don't have to worry about that. (Thank goodness!)
 
I have Mumsie do mine. Short form, with a wife, two kids, an RRSP and my church donations. It usually takes her about 20 minutes to do it.
 
I'll probably have to pay in this year. I sold 30 shares of stock in ChevronTexaco over the course of the year, and turned in some savings bonds. The stocks are a nearly $60 capital gains hit per share for 20 of the shares and about $50 per share for the other 10, because they were bought in 1987 and given to me in the late 90s.

I would get a hefty school deduction, but I got financial aid... so I don't know if that cancels it out, or if I get the deduction but the financial aid is counted as income, lowering my potential refund.
 
Fuuuuuuck
I daytraded for years(hundreds of trades) now i don't even have a clue where to begin where my taxes are concerned. You forget a lot in fives years.
 
Jerrek said:
My mom does have her own business though. She is a registered nurse and started her own company that specializes in some sort of colon cleaning therapy. Hydrotherapy? Ugh, I don't especially like any of that stuff.
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Colonic Irrigation ~ Hydrotherapy is something entirely different practised by physiotherapists on the disabled or those rehabilitating from a serious injury.
 
I deduct mileage/gas for using my truck at work.

...oh, and all the money I shell out for my hula costumes get deducted too (i get to deduct that as long as they don't pay me for dancing).
 
If you're going to start a business, it better be a business, not just a tax dodge. That means a business license from the state and city, getting a fed tzx ID number, and keeping some sort of books. It also means showing that there was actual business activity going pn. If you do this as a lark to get write-offs, the IRS is going to eat your ass for lunch.

Even if this is the case, be very careful about how much depreciation you claim for a computer that is used 90% for personal stuff. Same for "home offices". These are really sweet items in an audit. I've actually seen IRS guys drool all over their shoes.

As for what I deduct, obviously all interest on my home comes off the top. State income tax withholdings (less any refunds from last year) come off. Property taxes (including asd velorum on car tags) come off. Charitable contributions (like books to the library) come off. 401k contributions and 125 cafeteria plan deferrals don't even appear in Box 1 of the W2, so that's automatic.
 
outside looking in said:
If the stock market is doing decently, you can have your employer withold $0 from your weekly/monthly paycheck, and make a lump payment into the IRS at tax filing time in the spring. Do just what the IRS does and estimate what you should be paying based off of your estimated yearly income and expected deductions. Take the appropriate amount out of each paycheck yourself and put it in a no-load low expense ratio mutual fund with low volatility... something like an index fund that tracks the S&P 500 would be a great choice.
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hmmm, I don't think you can do this. I know you can make quarterly payments without penalty if you are self employed (and you better calculate it close or you'll get penalized if you don't pay in enough) but an employer can't not withhold taxes so you can make a lump sum payment at tax time.
 
Nope. They can take up to ten deductions on a W4, but anything over that and they have to send the form to the IRS for a look-see.
 
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