SarcasticDwarf
Diamond Member
- Jun 8, 2001
- 9,574
- 2
- 76
Here's a new one:
I am going to be filing my federal return plus 2 states. I only have 2 copies of my W-2s for each state. What do I do?
I am going to be filing my federal return plus 2 states. I only have 2 copies of my W-2s for each state. What do I do?
- Oct 30, 2000
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For most W2s you get a Federal, State, personal and possibly one spare.
Unless each W2 has a line item for both states, unlikely, then you need to just send in the W2 taht corresponds to proper state that tax was withheld from.
If state tax was withheld from both states on a single W2, then if you are going to paper file, make a photo copy of the state and attach it to the second state. With mulitple states, you may have a problem using the Federal Tax program to file both states.
Some states will allow you to file directly without the Fed.
Most times, electronic filing will only work with one state.
SarcasticDwarf
Diamond Member
- Jun 8, 2001
- 9,574
- 2
- 76
My bad, i'm a dumbass. I was thinking they were half sheets, but they are 1/4 sheets.
Edit: Also decided not to file AZ taxes since I don't think I need to (my reffund would be a whopping #.33, even if I could ever find out what form I needed to use).
CPA. I have some money in Canada that I'm thinking about converting into US$'s.
Do you have to pay capital gains on curency exchanges?
Do you have to pay capital gains on curency exchanges?
My question is about the Retirement Savings Contribution Credit.
The rule for this credit states:
You are a full-time student if, during some part of each of 5 calendar months (not necessarily consecutive) during the calendar year, you are:
A full-time student at a school that has a regular teaching staff, course of study, and regularly enrolled body of students in attendance.
I was a fulltime student in a graduate program for our spring semester last year, then I transferred to the part-time night program for the summer and fall. So I'm not sure if I make it under the 5 month mark.
Officially the semester is from January 20 to May 22 of 2004. That would be 4 months and 2 days by my calculations.
January 20-February 20 (1st Month)
February 20-March 20 (2nd month)
March 20-April 20 (3rd month)
April 20-May 20 (4th month)
2 days in May
But my last final exam was on May 17th that year, which is definately within 4 months.
Do I qualify for the credit? I meet the other 2 qualifications since I am no longer a dependent under the Gross Income Test (I am 24 exactly)
Thanks in advance.
The rule for this credit states:
You are a full-time student if, during some part of each of 5 calendar months (not necessarily consecutive) during the calendar year, you are:
A full-time student at a school that has a regular teaching staff, course of study, and regularly enrolled body of students in attendance.
I was a fulltime student in a graduate program for our spring semester last year, then I transferred to the part-time night program for the summer and fall. So I'm not sure if I make it under the 5 month mark.
Officially the semester is from January 20 to May 22 of 2004. That would be 4 months and 2 days by my calculations.
January 20-February 20 (1st Month)
February 20-March 20 (2nd month)
March 20-April 20 (3rd month)
April 20-May 20 (4th month)
2 days in May
But my last final exam was on May 17th that year, which is definately within 4 months.
Do I qualify for the credit? I meet the other 2 qualifications since I am no longer a dependent under the Gross Income Test (I am 24 exactly)
Thanks in advance.
this is the first time i'm using an acct. it is an outfit someone I know referred me to. the firm has several processors, I'm assigned one of them. I'm using this thread to double check her savvy or lack thereof.
With 2004 being a house purchase and renovation costs, the 2004 tax form I feel should be done with a lot of care, because the tax strategies done for it now will carry over to subsequent years almost automatically without as much time needed as the initial planning.
- Nov 19, 2001
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Are you a US resident? Was this a result of a currency trade (like a commodity trade)? If so then, yes, you will have to file Form 6781.
*Girlfriend was a babysitter for a few months in 2004
*She didn't fill out a W2 , but gave her employer (the parents) her information
*method of payment: personal checks
*She didn't receive anything from them about taxes
She called the people she babysat for and they told her to talk to their accountant about filing taxes. The accountant just told her how much she would probably have to pay. However, they never gave her any information about how much she made or that she was even employeed with them. She keeps calling them, but nobody has any answers.
What does she do about taxes? File? Not File?
If she files it as extra income, does it matter what her employer files the money under?
What I mean is, can the employer tell the IRS that tax was supposed to come out of each of those paycheck.
*She didn't fill out a W2 , but gave her employer (the parents) her information
*method of payment: personal checks
*She didn't receive anything from them about taxes
She called the people she babysat for and they told her to talk to their accountant about filing taxes. The accountant just told her how much she would probably have to pay. However, they never gave her any information about how much she made or that she was even employeed with them. She keeps calling them, but nobody has any answers.
What does she do about taxes? File? Not File?
If she files it as extra income, does it matter what her employer files the money under?
What I mean is, can the employer tell the IRS that tax was supposed to come out of each of those paycheck.
- Oct 30, 2000
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If she provided the parents with her SS#, they will probably file for a dependancy care credit. One of those requirements is to provide the ID number of the care provider.
Uncle can then cross check that what they reports as an expense to a given SS# is also claimed as income.
The parents have no responsiblilty to provide any information to her. They did that originally in the form of a check. It was her responsiblity to keep track of her income.
She should declare the funds as income. She can file it under misc or "create" her own sitting service and use a Schedule C. Using the schedule C will allow her to write off some expenses and lower the taxable impact of the extra income.
Some-one as a courtesy should be able to inform her on how much was paid to her.
Hey all, thanks for taking the time to put on this thread, this is great.
Earlier last year (2004) I formed an LLC with two partners, with the goal of opening a retail store, along with some secondary goals. At the end of 2004, much of the inventory had been purchased, although the store had not yet opened (so our income was zero). For the business, we are filing for 1/1/2004 - 12/31/2004 similar to a personal return.
I am filing a 1065 as a partnership for the business return, with K-1s for each of the three partners, myself included. I am then including a Schedule E with my own 1040 to report a net loss for the year based on startup expenses, rent, etc.
My question is this: I need to figure out the distributive share of the loss between the three of us. I had hoped that we would each be able to claim the amount that we put in towards non-inventory costs (rent, utilities, office equipment, materials, etc) so we could write it off our respective returns. I went through the Business Expenses publication quite thoroghly and have all of the paperwork necessary to back up our write off claims.
On the Schedule K-1 form it asks to break down each member's share of the profit, loss, and capital, at both the beginning and end of the year. At the beginning, I am assuming that our shares are each 0, since the LLC did not exist (it indicated that somewhere in the instructions). So what I need to know is how to report the distribution for the end of the year.
I already have the figures for exactly how much each of us contributed, but it asks for a percent, which comes out to something like 65/20/15. Can I simply use those numbers? I read and re-read the sections about limits on the distributive share and how much we can report, and with my limited knowledge I am simply not sure.
Or am I barking up the wrong tree completely, and can write off these expenses in some other manner... or not at all?
If any of this doesn't make sense I would be happy to try to re-phrase. Thanks!
Earlier last year (2004) I formed an LLC with two partners, with the goal of opening a retail store, along with some secondary goals. At the end of 2004, much of the inventory had been purchased, although the store had not yet opened (so our income was zero). For the business, we are filing for 1/1/2004 - 12/31/2004 similar to a personal return.
I am filing a 1065 as a partnership for the business return, with K-1s for each of the three partners, myself included. I am then including a Schedule E with my own 1040 to report a net loss for the year based on startup expenses, rent, etc.
My question is this: I need to figure out the distributive share of the loss between the three of us. I had hoped that we would each be able to claim the amount that we put in towards non-inventory costs (rent, utilities, office equipment, materials, etc) so we could write it off our respective returns. I went through the Business Expenses publication quite thoroghly and have all of the paperwork necessary to back up our write off claims.
On the Schedule K-1 form it asks to break down each member's share of the profit, loss, and capital, at both the beginning and end of the year. At the beginning, I am assuming that our shares are each 0, since the LLC did not exist (it indicated that somewhere in the instructions). So what I need to know is how to report the distribution for the end of the year.
I already have the figures for exactly how much each of us contributed, but it asks for a percent, which comes out to something like 65/20/15. Can I simply use those numbers? I read and re-read the sections about limits on the distributive share and how much we can report, and with my limited knowledge I am simply not sure.
Or am I barking up the wrong tree completely, and can write off these expenses in some other manner... or not at all?
If any of this doesn't make sense I would be happy to try to re-phrase. Thanks!
Hey everyone -
Today I received a W-2c from my employer but I filed my taxes a month ago. The only thing that changed was that the Ret. Plan box was checked in Box 13 in the W2c. I went back into TaxCut and checked the box and the refund didn't increase or decrease. Should I still file an amended return?
Thanks in advance.
Today I received a W-2c from my employer but I filed my taxes a month ago. The only thing that changed was that the Ret. Plan box was checked in Box 13 in the W2c. I went back into TaxCut and checked the box and the refund didn't increase or decrease. Should I still file an amended return?
Thanks in advance.
- Nov 19, 2001
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I wouldn't worry about it. The box is only for limitations to IRA contributions. It let's the IRS know whether you should or should not be able to contribute to an IRA, in most cases. Since I assume you didn't contribute to an IRA, you are fine. Plus, a 1040X is only used when there is an actual incorrect number used in the previous filing.
- Nov 19, 2001
- 30,322
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Since you have not had your opening day yet, all of your expenses are considered start-up costs, and must be amortized over 60 months. Those expenses will then be distributed among the 3 of you using the percentages that you calculated.
The inventory costs are not expensed. Inventory is an asset (presumably the cost of which you used to determine your capital ratios). When you open for business, the inventory converts to Cost of Goods Sold (COGS) as it is sold. It will be a reduction of revenue to get to Operating Margin.
alkemyst
No Lifer
- Feb 13, 2001
- 83,769
- 19
- 81
This is a very good point and a way small businesses get hurt..heck even large businesses. Hence all the end of year blowouts you see, it reduces the cost of the inventory and business 'worth'.
This is where an accountant consultation can pay off and get you off on the right path (esp with multiple partners with unequal shares) and prevent audits in the future. They will tell you ways you can liquidate inventory if you need to (during the memory price fall alot of businesses did so as the memory they bought at $40-50 a megabyte fell to about $10-20) and minimize the damage....but in those cases you still lose usually.
Almost all small businesses will be audited on average of 1 time every 5-7 years of business (I believe that is the current statistic). Of those audits almost everyone results in penalty/fines, the most common being sales/use tax violations.
- Oct 30, 2000
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Originally posted by: Googer
Originally posted by: iamwiz82
There is no point to the sales tax deduction?
Sure there is, if you bought a new car or boat this year i could me a few thousand dollars back.
1) You must itemize using Schedule A.
2) One must choose between the sales tax or income tax for the your state. You can not have both.
3) The sales tax benefit would be your income tax rate * your sales tax rate * price paid for the item.
Thanks for the response. It does lead me to a few more questions though (apologies in advance).
Our business has since opened, but revenue was 0 before the end of the year, so I am only thinking in terms of 2004 right now (unless I shouldn't be...).
When I originally figured all of this out, I was going by IRS Publication 535, Business Expenses, and this in particular, under "Business Start-Up and Organizational Costs" on p. 29:
"Costs paid or incurred before October 23, 2004, must be capitalized unless an election is made to amortize them. You can choose to deduct up to $5,000 of business start-up and $5,000 of organizational costs, paid or incurred after October 22, 2004, as a current business expense. The $5,000 deduction is reduced by the amount your total start-up or organizational costs exceed $50,000. Any remaining costs must be amortized."
Our costs were well below $50K (excluding inventory) and a large portion of them were made up of rent we paid on the facility (we began renting in July of 2004). My understanding was that rent, taxes and licenses, and repairs and maintenence were separate from start-up costs; please correct me if I am wrong.
Theoretically, then, would the purchase of a piece of a equipment (say, a laser printer) be considered a start-up cost and capitalized, or could it be deducted as a business expense?
We do plan to hire an accountant shortly, although I enjoy learning as much as I can about this kind of stuff. Thanks again.
I have twins(22 yrs. old) in college, but both work part-time jobs, also. Would it be best to use them as dependents on my return, or have each of them file separately?
Many, Many Thanks,
Joe
Many, Many Thanks,
Joe
- Nov 19, 2001
- 30,322
- 4
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If you paid first, last and security deposit for rent, then you have current expense, Prepaid expense and Deposits, respectively. Only the amount of rent associated to the first month is expensed and could be fully expensed in the current year - no depreciation. All other costs really depend on when you purchased them versus when you opened up. The equipment can easily be expensed in the current year.
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