Any CALIFORNIA STATE TAX Guru's in the house???

[redgtxdi]

OK, so background is that last year my wife and I owed the state $13. (We've owed as much as a few hundred in the past, but I don't think anything over $500.

This year we over $1,029!!!!!!!!!!!!!!!!!!!!!!!! WTFudge???


Our combined California Taxable income went up approximately 20% from '04 to '05. (Yippee), and it appears that our State withholdings INCREASED 33%......(obviously these #'s are relative to themselves in the previous year, but still)........but the California State Tax also went up 33% and so I just assumed things would be close.

Apparently the itemized deductions must've changed (?) for California this year as we made *more* this year, and had about 10% less in itemized deductions. Also......(though Turbo Tax doesn't show it in the "bottom line") there appears to be missing about $480 in a childcare credit that is not applied for Cali., this year.

Did California tax laws really change that much this year??? (bummin'!) 🙁

 

[redgtxdi]

Bump!?

 

[mugs]

Compare your tax returns from the two years and look for the differences? 😕

Do it by hand

 

[bmacd]

you know, there's a HUGE tax thread stickied at the top of these forums. I'm sure they'd be willing to help you out if you posted it in their thread.

-=bmacd=-

 

[redgtxdi]

Originally posted by: bmacd
you know, there's a HUGE tax thread stickied at the top of these forums. I'm sure they'd be willing to help you out if you posted it in their thread.

-=bmacd=-

Ya, just that if you read in the OP of that, they let you know up front........"States are their own animal, sorry!"

That's why I started this thread.


Also..........I've compared the two side-by-side.....(actually this year's turbo tax does a great job of that).......and it simply looks like, besides going up in the tax bracket, taxes also increased and credits/deductions simply lessened. After the Fed & State I'll still end up w/ some money back so I'm not in trouble or anything, I just thought the difference was amazing.

Guess I need to have more kids........................LOL!!!! :laugh:

 

[AccruedExpenditure]

My 2006 CA state taxes are going to kill me, i see it already. Oh well, better find some conferences to attend in southern california...

 

[Ronin]

15% raise in income, and my refund was about the same between last year and this...$1500 from State. I suppose that yes, that means I'm paying more in taxes each year and that the government is getting that money + interest...however, I'm already claiming 4, and I'm not interested in toying around with my dependent count.

Sounds like in previous years you've planned well with tax bracket vs dependents, but something changed this year. Do it by hand and find out where.