CPA's Annual Tax Time Help - Filing Day is over. This thread can be unstickied.

[CPA]

Generally, you can use your social security number for identification purposes under a sole proprietorship.

 

[Fingolfin269]

Ugh, here's my situation. My work didn't take out enough in taxes (my fault for following the form's instructions and not marking less exemptions I guess) so I'm gonna have to pay around $550.

I don't know if I'll have enough in 15 days so what are my options?

 

[alkemyst]

Originally posted by: bleeb
Does being a sole proprietor mean I have to still be registered with the state (oregon) to get my EIN??

EIN is usually just your social as a sole proprietor.

However, you are supposed to file for a reseller cert so the Dept of Revenue has record of business dealings, and in most places county and city business license if you are a business, even if it's a internet only business.

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[alkemyst]

Quote

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Originally posted by: EagleKeeper
Attach to your tax return a Form 9465?Installment Agreement Request
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This was just answered near the end of the last page if you want more info.

 

[CPA]

Originally posted by: Fingolfin269
Ugh, here's my situation. My work didn't take out enough in taxes (my fault for following the form's instructions and not marking less exemptions I guess) so I'm gonna have to pay around $550.

I don't know if I'll have enough in 15 days so what are my options?

You can always pay by credit card or you can request an installment agreement. You will have to pay an application fee and interest, though, so it could get costly.

 

[CPA]

Originally posted by: alkemyst

Originally posted by: bleeb
Does being a sole proprietor mean I have to still be registered with the state (oregon) to get my EIN??

EIN is usually just your social as a sole proprietor.

However, you are supposed to file for a reseller cert so the Dept of Revenue has record of business dealings, and in most places county and city business license if you are a business, even if it's a internet only business.

Å

I might be wrong, but a reseller cert is usually used for sales tax purposes, and Oregon doesn't have a state sales tax. But, I don't live in Oregon, so I can't claim 100% accuracy on this.

 

[Fingolfin269]

Originally posted by: CPA

Originally posted by: Fingolfin269
Ugh, here's my situation. My work didn't take out enough in taxes (my fault for following the form's instructions and not marking less exemptions I guess) so I'm gonna have to pay around $550.

I don't know if I'll have enough in 15 days so what are my options?

You can always pay by credit card or you can request an installment agreement. You will have to pay an application fee and interest, though, so it could get costly.

Blah! No credit cards here man... Okay, I'll come up with a way even if it takes a visit to the blood bank. Thanks.

 

[alkemyst]

Originally posted by: CPA

Originally posted by: alkemyst

Originally posted by: bleeb
Does being a sole proprietor mean I have to still be registered with the state (oregon) to get my EIN??

EIN is usually just your social as a sole proprietor.

However, you are supposed to file for a reseller cert so the Dept of Revenue has record of business dealings, and in most places county and city business license if you are a business, even if it's a internet only business.

Å

I might be wrong, but a reseller cert is usually used for sales tax purposes, and Oregon doesn't have a state sales tax. But, I don't live in Oregon, so I can't claim 100% accuracy on this.

That's correct, CPA, New Hampshire, New Mexico, Montana and Oregon reseller's will have no reseller certificate.

 

[FreshPrince]

This might not even be an issue...however I'd like the peace of mind.

I took my w2, bank interest rates, etc to H & R block.

Watched them do their thing on the computer. Later I found that the guy rounded off the cents on my income and interest rates earned! Is this ok? Will uncle sam come after me 10 years later to collect a thousand dollars because this guy forgot to put in the 40 cents?

He rounded my income down and interest rates up to the dollar.

thx for any input.

-FP

 

[EagleKeeper]

Originally posted by: FreshPrince
This might not even be an issue...however I'd like the peace of mind.

I took my w2, bank interest rates, etc to H & R block.

Watched them do their thing on the computer. Later I found that the guy rounded off the cents on my income and interest rates earned! Is this ok? Will uncle sam come after me 10 years later to collect a thousand dollars because this guy forgot to put in the 40 cents?

He rounded my income down and interest rates up to the dollar.

thx for any input.

-FP

It should not create a problem. The amount delta should only affect less than a couple of dollars.
If Uncle comes back at you (very very unlikely for that reason), you can point the finger at Block and they will have to pay the penalty. You would only have to pay the extra $1 tax if there is additional tax

However, you should be ashamed of going to any Tax service if you are smart enough to ask questions here.

Enough advice is available and there is always Tax S/W that is cheaper than any preparer. Also, depending on your situtation, you can electroinic file for free.

 

[abc]

alke, are you saying that if you keep a stock for 10 years, each year you have to report on your taxes the amount it has gained, up till the sales date?

 

[alkemyst]

Originally posted by: abc
alke, are you saying that if you keep a stock for 10 years, each year you have to report on your taxes the amount it has gained, up till the sales date?

I am not sure how this other person's situation worked...I am not sure if it was due to dividends or because the 'value' of the gift or whatever, or he did something with the 'value' of the stock allowing him to hold it but use it's worth, I don't know much how stocks work other than the problems I have talked to others about.

Å

 

[FreshPrince]

Originally posted by: CPA

Originally posted by: Fingolfin269
Ugh, here's my situation. My work didn't take out enough in taxes (my fault for following the form's instructions and not marking less exemptions I guess) so I'm gonna have to pay around $550.

I don't know if I'll have enough in 15 days so what are my options?

You can always pay by credit card or you can request an installment agreement. You will have to pay an application fee and interest, though, so it could get costly.

are you saying that it takes more than 15 days to process payment?!?

I just sent in two checks to uncle sam via snail mail today, should I be worried?

 

[alkemyst]

Originally posted by: FreshPrince

Originally posted by: CPA

Originally posted by: Fingolfin269
Ugh, here's my situation. My work didn't take out enough in taxes (my fault for following the form's instructions and not marking less exemptions I guess) so I'm gonna have to pay around $550.

I don't know if I'll have enough in 15 days so what are my options?

You can always pay by credit card or you can request an installment agreement. You will have to pay an application fee and interest, though, so it could get costly.

are you saying that it takes more than 15 days to process payment?!?

I just sent in two checks to uncle sam via snail mail today, should I be worried?

I doesn't matter when they get the money as long as it's postmarked the 15th....the other poster was referring to the fact he couldn't raise the $550 to pay the IRS by the 15th.

Å

 

[SuperTool]

Hi, what happens if I sell a stock that I bought for $3K and it's worth $6K now, but I held it only since last october.
How much taxes will I have to pay next year? Isn't there a difference between short and long term? What does ordinary income, etc mean?

 

[CPA]

Originally posted by: SuperTool
Hi, what happens if I sell a stock that I bought for $3K and it's worth $6K now, but I held it only since last october.
How much taxes will I have to pay next year? Isn't there a difference between short and long term? What does ordinary income, etc mean?

You will have to classify this as a short term sale on your stock and pay as if it was ordinary income (wages, interest). The only way around this is if you have some losses you can apply against it, but it doesn't sound like it. Knowing that it is taxed as ordinary income means I can't really tell you what it will be taxed until you do your taxes at year end. But you should be able to estimate it based on your income level and a 2004 tax table.

 

[SuperTool]

Thanks.
I think I will sell it and offset it with some losses later on I do have a couple losses already, though not as big as this gain.

 

[CPA]

Originally posted by: SuperTool
Thanks.
I think I will sell it and offset it with some losses later on I do have a couple losses already, though not as big as this gain.

Keep in mind you can offset it with short-term and long-term losses.

 

[Pliablemoose]

Here's an odd one...

Wife was made administratrix of her dead ex's estate, we've been trying to turn in his final return for ~2 years now, IRS keeps "losing" the stuff we send or demanding replacement documents, or additional info. The return is worth ~$2K (estate is essentially valueless due to his piss poor money skilz, yeah I know he's dead, but he was an idiot who did things like take out 2nd mortgages to buy pot).

We've sent all the requested documents 3X now, (just fired off death certificate for the 3rd time yesterday) with tracking, return receipt etc, is there a way to complain without risking an audit ourselves?

 

[GasX]

When I started work for my former employer in 2002 I lived in NY state. Late in 2002, I moved to NJ. My employer kept paying tax to NY into the new year. I have my NY state return sorted out and am getting the over payment back. My NJ return is screwed up (I am using Tax Cut Software).

My W-2 federal info is spot on.
My W-2 also splits my income between NY and NJ
I have a NJ state filing copy that lists about 50% of this income as NJ state wages
I have a NY state filing copy that lists about 50% of this income as NY state wages

Problem The NJ state return is adding my federal income and my NJ state income and giving me a taxable income of ~150% of what I made at that job.

How do I correct for the fact that ultimately when I get it sorted out I will be reprting all of my taxable income to NJ despite the fact that my W-2 states only 50% counts?

edit: Another problem - the W-2 summary lists ~50% of the income as NY income but the NY state W-2 lists all of the taxable income as NY state income... :|

edit #2 I entered the amount in the NY State earnings summary instead of box 16 and everything seems to be fine - except for the difference between what I am reporting and what is on the NY W-2. However, there is a note on the NY Earnings Summary thatsays, "Note: New York requires total Federal wages to be reported in Box 16"

 

[GasX]

Is a stipend earned a director of a charitible organization reported on a 1099-misc self employment income?

 

[xSauronx]

i just remembered that my wife, working on commission...doesnt know where to start to take care of her quarterly taxes. is it best to use certain software for this? or is it simple enough that just filling out a couple of forms shouldnt be a problem? there shouldnt be anything complicated about her tax situation, she keeps up with he incomes and expenses...ive just never had to mess with this before and dont know what woudl be the easiest way to get it done. :/

 

[GasX]

One last question (can you tell I am doing my taxes today?)

I get the following message from my Tax Cut software:

Based on the information you have entered so far, none of your traditional IRA contributions for 2003 will be deductible.

How can that be?

edit: wow , I didn't realize that making more than $55,000 means you can't take any deduction...

more info

edit #2 I was only and active participant in an employee sponsored retirement plan for 1/2 the year. Does that count for anything?

 

[alkemyst]

Originally posted by: xSauronx
i just remembered that my wife, working on commission...doesnt know where to start to take care of her quarterly taxes. is it best to use certain software for this? or is it simple enough that just filling out a couple of forms shouldnt be a problem? there shouldnt be anything complicated about her tax situation, she keeps up with he incomes and expenses...ive just never had to mess with this before and dont know what woudl be the easiest way to get it done. :/

The easiest way is to get your tax software to generate it for next year....it's based on total tax owed though.

Otherwise it's just a matter of filling out a 1040-ES payment Voucher and if starting today mailing it in on 4/15/2004, 6/15/2004, 9/15/2004, 1/18/2005

Å

 

[SarcasticDwarf]

edit: nevermind