All Posts

HOW DO I GET STARTED WITH TT DESKTOP   https://ttlc.intuit.com/turbotax-support/en-us/help-article/license-information/install-turbotax-cd-download-software-license-code/L1wFOSXur_US_en_US?uid=m5zp8c5h  

Revisit the interview on mortgage interest and points in TurboTax. As you are entering the information from your Form 1098 in TurboTax, when you see the question, "Did you pay points in 20xx when you took out the loan?", select "We paid points when we purchased or refinanced to improve our main home in 20xx" in order to deduct the points.    If you instead select "We paid points when we refinanced, purchased a second home, or opened a home equity loan in 20xx", TurboTax will set the points up to be amortized.   Generally, the Internal Revenue Service (IRS) allows you to deduct the full amount of your points in the year you pay them. If the amount you borrow to buy your home exceeds $750,000 million ($1M for mortgages originated before December 15, 2017), you are generally limited on the amount of points that you can deduct. The IRS also imposes the following requirements to deduct mortgage points:   The mortgage must be used to buy or build your primary residence The points must be a percentage of your mortgage amount The use of points must be a normal business practice in your area The amount of points paid must not be excessive for your area You must use cash accounting on your taxes The points must not be used for items that are typically stand-alone fees, such as property taxes You cannot have borrowed the funds to pay for the points from the mortgage lender or broker The amount you pay must be clearly itemized as points on your loan documents If you aren't able to deduct your points in the year you pay them, you may still qualify to deduct them over the life of the loan.   See this TurboTax Tips Article for more information on this topic.   If you receive two forms 1098, you can add the second form 1098 by following these steps:   In TurboTax Online, open your return and click on Federal Taxes then on Deductions & Credits Click Edit/Add next to Mortgage Interest, Refinancing, and Insurance On the Mortgage deduction summary page, click on Add a Lender and follow the prompts.   Please see IRS Tax Topic 504 for further guidance regarding mortgage points.  

I didn't really understand how to do multiple payments by different methods.    On my online account with the IRS   -  I need to first pick a payment method (bank or credit card )  and then can split it to 5 payments ...  but still all 5 will be of that same method , right ?      it says :   "You may include up to 5 payments per transaction and submit up to 4 transactions per day."    So -  do I need to do it in 2 separate transactions ?  (i.e.  one transaction paying by bank account and  another transaction paying by credit card ?   )  will that be OK ?   PS:  I filed  with turbotax  about a week ago asking to pay by check , as was recommended here , but   I still don't see the balance I need to pay on my online account with the IRS ,  so - which payment type should I chose ?   : -  2024 Income tax    or  - pay towards your balance  ? Thanks,  

It depends. In Pennsylvania (PA) you are not allowed to reduce your wages for money you contribute to a 401(k). This means that you paid tax on all of your contributions when you put them into the account.    For PA purposes, you can reduce the taxable amount of any distribution, by any of your contributions (basis of your retirement account/income). You must pay tax on any earnings, if part of your distribution is from the interest earned on your account.

I suggest you go through both years tax returns line by line. It sounds like it may be a credit that you didn't get this year. You can preview your tax return by going to:   On the menu bar on the left that shows. Select Tax Tools On the drop-down select Tools Tip: If you don't see the dropdown for Tools, minimize the Home feature. On the popup menu Select View Tax Summary On the left sidebar Select Preview my 1040. Schedules 1,2 & 3 are included if you scroll down past your 1040. To return to the entry screens press Back on the sidebar. Some key numbers on your 1040 tax return are: Line 9 - Total Income Line 11 - AGI Line 15 - Taxable Income Line 19 - Child Tax Credit Line 24 - Total Tax. Line 25 d - Withholdings. Line 26 - Estimated tax payments Line 27 - Earned Income Credit Line 28 - Additional Child Credit Line 33 - Payments including Credits. Line 34 - Overpayments. Line 37 - Tax owed.

Since there is only one HSA account to consider, the directions shared by dmertz will give you a message onscreen stating that your wife's coverage has lapsed due to a disability.     When this happens, you need to go back to the question about her coverage and answer that her coverage was 'none'.  That is because the HDHP health insurance was in your name only, even though she was covered under your plan.   If she had her own HDHP coverage and her own HSA under her name, then following the directions shared by dmertz would be correct unless she had self-only coverage in her name.     @disconinjagary 

If these are improvements directly to your home office and not improvements to the whole house that are partly for the home office then you can enter them directly as business expenses or business assets.     @j.hunter.mathews 

If you wife is under 59 1/2 then you will have to go back all the way to 2001 to figure out her net contributions prior to 2024.   If you wife is over 59 1/2 then this distribution is a Qualified Distribution and not taxable. Her Form 1099-R should have code T or Q and you can ignore the net contribution prior to 2024 question.

I doubt that you have done anything wrong.   In the Michigan Instructions, please look at page 24, worksheet 3.1, first line. "Enter $64,040 if single or $128,080 if filing jointly... "   Is $64,040 the number you meant?   See what the Michigan Instructions say at the beginning about "Expanded Deductions for Retirement and Pension Benefits".

Yes, only the business use of your phone can be claimed as a tax deduction.  If you use the phone 50% for your business, you can deduct 50% of your phone bill. Same for internet, only the proportion used in business is allowed as an expense.

Did you materially participate in the enterprise?  If not, you may not have qualified for the passive activity loss.   Review IRS form 8582 Passive Activity Loss Limitations.  See Part VIII for Allowed Loss.   In TurboTax Online, you may print or view your full tax returns prior to filing after you have paid for the software.   View the entries down the left side of the screen at Tax Tools. Select Print Center. Select Print, save or preview this year's return. In TurboTax Desktop, select FORMS in the upper right hand corner of the screen.   For more information, select the hyperlink Learn More at the screen Did You Participate?