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a week ago
In Florida
a week ago
@Hal_Al You've said taxable scholarships are a hybrid between earned income and unearned income. My question concerns when they flip from one to the other. My college student is applying for anoth...
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@Hal_Al You've said taxable scholarships are a hybrid between earned income and unearned income. My question concerns when they flip from one to the other. My college student is applying for another taxable scholarship, which could kick their total earned income above the dependent/standard deduction. Is that the trigger? (And which is correct below?) a) With no taxable income, no kiddie tax is due. (TT files Form 8615 to show that, right?) $9,013 net earned income + $6,950 taxable scholarship (earned income) = $15,963 earned income + $187 unearned income (529 taxable earnings) = $16,150 total income – $16,413 (dependent deduction: $15,963 + $450) = – $263 taxable income (no taxable income) b) But since $15,953 (or is it $16,150 or $16,413) is > $15,750 (2025 standard deduction), is the $6,950 taxable scholarship now considered unearned income? So, that’s $7,137 unearned income ($6,950 + $187), and the first $1,350 is not taxed, the next $1,350 is taxed at the dependent’s tax rate, and the last $2,700 at the parent’s marginal tax rate? (Or thereabouts?) Thanks for your help.
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a week ago
Sorry I have the same Q. The link you posted is not working. I just formed an LLC taxed as sole proprietorship. My trading activities would be under the LLC business brokerage account. If I'm getti...
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Sorry I have the same Q. The link you posted is not working. I just formed an LLC taxed as sole proprietorship. My trading activities would be under the LLC business brokerage account. If I'm getting it right, I would still receiving 1099-B for tax filing. But how would I be able to put those trading profits/loss as my business profits/loss? Thank you in advance.
a week ago
Federal and state refunds come from completely separate entities, There is no rule as to which one will come first or how much time there will be between their arrivals. Some states process returns...
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Federal and state refunds come from completely separate entities, There is no rule as to which one will come first or how much time there will be between their arrivals. Some states process returns quickly and some are very slow.
STATE RETURN
Make sure your state return was accepted: https://turbotax.intuit.com/tax-tools/efile-status-lookup/
To track your state refund:
ttps://ttlc.intuit.com/turbotax-support/en-us/help-article/tax-refund/track-state-refund/L3jgO8PGs_US_en_US?uid=lt447ebr
https://ttlc.intuit.com/turbotax-support/en-us/help-article/state-taxes/contact-state-department-revenue/L9qVToi02_US_en_US?uid=m6e06um0
a week ago
How long does it take to receive your New York State refund?
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a week ago
Were you self-employed? Did you use online Premium or one of the desktop download versions of the software to prepare a Schedule C for your business expenses? If you used online, only Premium can...
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Were you self-employed? Did you use online Premium or one of the desktop download versions of the software to prepare a Schedule C for your business expenses? If you used online, only Premium can prepare a Schedule C.
a week ago
2 Cheers
You are limited to the amount of your earned income so you can contribute an amount not to exceed $11,000.
a week ago
Correct. You need to uncheck the box that asks if you wish to use the Mortgage interest on this deduction. The interest is going to be considered "excess" so that is why you want to uncheck that box.
a week ago
You didn't say whether you are using TurboTax Online or the desktop TurboTax software. If you are using the desktop software, you can go to forms mode, open Form 8960, click on the space for the amou...
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You didn't say whether you are using TurboTax Online or the desktop TurboTax software. If you are using the desktop software, you can go to forms mode, open Form 8960, click on the space for the amount on line 6, and enter an amount. This is one of the few things that you can enter directly on Form 8960. In TurboTax Online there is no way to make the entry, because there is no forms mode in TurboTax Online.
a week ago
It takes three to four weeks for a human at the IRS to open your envelope and enter the information into the system. Then you can track your own refund on the IRS refund site.
TurboTax does ...
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It takes three to four weeks for a human at the IRS to open your envelope and enter the information into the system. Then you can track your own refund on the IRS refund site.
TurboTax does not receive any updates from the IRS. Your ONLY source of information about your refund now is the IRS.
You need your filing status, your Social Security number and the exact amount (line 35a of your 2024 Form 1040) of your federal refund to track your Federal refund:
https://www.irs.gov/refunds
a week ago
1 Cheer
"it seems like you're directing me to just claim this income as income from a US employer why failed to give me a w-2."
The income IS from a U.S. employer that failed to give you a W-2. A busines...
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"it seems like you're directing me to just claim this income as income from a US employer why failed to give me a w-2."
The income IS from a U.S. employer that failed to give you a W-2. A business with an employee in the U.S. is a U.S. employer. It doesn't matter if the employer's headquarters is in another country.
"There's no indicating that this income came from a foreign country"
The income is not from a foreign country. It's from work that you performed in the United States. It is U.S. income.
"There is a Canadian Tax ID number for the employer"
The Canadian tax ID number means nothing to the IRS. There is no place to put a Canadian tax ID number anywhere on a U.S. tax return. Nothing you enter in your U.S. tax return has anything to do with your refund from Canada. Your Canadian refund comes from your Canadian tax return.
"My issue is, I've already been taxed by the Canadian government on that income, and I don't need to pay taxes to two countries for one income."
You need to look into the foreign tax credit. That's a credit on your U.S. tax return for income tax that you paid to another country. It reduces your U.S. tax to compensate for the tax you paid to Canada. It's very complicated, and I don't know much about it.
You could just go through the foreign tax credit interview in TurboTax. Go to Federal Taxes > Deductions & Credits. Under "Estimates and Other Taxes Paid" click the Start button for Foreign Taxes. I don't know how thorough this is.
You also need to take into account the tax treaty between the U.S. and Canada. I have no idea how that might affect your situation. This is one reason that you probably should consult a local tax professional who is familiar with U.S. and Canadian taxes.
In preparing your Canadian tax return, keep in mind that the income you received from your Canadian employer is U.S. income, not Canadian income. You earned it for working in the United States. You did not work in Canada. I'm not familiar with Canadian tax laws, but they probably should not have issued the T4, and probably should not have deducted Canadian tax from your pay. This is something else to discuss with a tax professional. Your situation is made more complicated by the employer not having handled it correctly.
There is another Champion in this U.S. TurboTax community who is more familiar with foreign taxes than I am. I don't know how much he knows about Canada specifically, but let's ask him. @pk can you help with this?
a week ago
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a week ago
Thanks for this. Sorry it’s actually line 6 in form 8960 that I need to update. I need to calculate my net inv income tax but turbo tax doesn’t know how to include my income from 8621 thanks!
a week ago
My wife and I are retired and looking to maximize ACA health insurance credits. She will have $11,000 of earned W2 wages for the 2025 tax year (plus significant non-earned income). Can we take a de...
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My wife and I are retired and looking to maximize ACA health insurance credits. She will have $11,000 of earned W2 wages for the 2025 tax year (plus significant non-earned income). Can we take a deduction for traditional IRA contributions of $8,000 for her and an additional spousal contribution of $8,000 for me, for a total of $16,000 - or will we be capped to a maximum of $11,000 due to earned income? Thanks for your help!
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a week ago
The 2024 Cedar Fair tax booklet states that if you have a passive loss to not report the amounts of lines 1, 9c, 10 or 17 (codes A & B) from the K-1 if you have not disposed of your units. It suggest...
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The 2024 Cedar Fair tax booklet states that if you have a passive loss to not report the amounts of lines 1, 9c, 10 or 17 (codes A & B) from the K-1 if you have not disposed of your units. It suggests to fill out Form 8582 to keep track of suspended losses. I get that I can't deduct this in the current year, but I'm not understanding why it is suggesting to not even enter these amounts. Please advise and thank you.
a week ago
@macey.karr , agreeing with the excellent / complete answers by my colleagues @Bsch4477 and @Hal_Al , just like to draw attention to the assumption here that this housing is in the USA and not abro...
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@macey.karr , agreeing with the excellent / complete answers by my colleagues @Bsch4477 and @Hal_Al , just like to draw attention to the assumption here that this housing is in the USA and not abroad and that the short time is less than a year.
a week ago
@TMM322 , thank you for your response ---
(a) why are you using "Bonafide Resident" ? This generally requires IRS approval and of course means you have declared yourself as a resident of the co...
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@TMM322 , thank you for your response ---
(a) why are you using "Bonafide Resident" ? This generally requires IRS approval and of course means you have declared yourself as a resident of the country. Most expats ( including myself back in the late eighties and nineties) stick to Physical Presence Test ( i.e. you file once you have met the 330 days away from the US in a 12 month test period). I will circle back if need be based on your answer
(b) Since we are volunteers ( and no financial or otherwise connection to Intuit and its holdings), we appreciate / love "Cheers/Kudos " or "Accepted" -- generally a sign that we are indeed helping others in preparing correct returns.
Of course if we do not reach that level of satisfaction, then you need to tell us what we can do more to deserve that accolade.
pk
a week ago
You can't just edit Form 8960. Almost everything on Form 8960 comes from somewhere else.
Let's start by clarifying precisely what you mean by "My capital gains is not included in my form 8960." A...
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You can't just edit Form 8960. Almost everything on Form 8960 comes from somewhere else.
Let's start by clarifying precisely what you mean by "My capital gains is not included in my form 8960." Are you saying that you do have Form 8960 in your tax return, but it does not include your capital gain?
Is there an amount (other than zero) on your Form 1040 line 7? If not, what capital gain do you have that you think should be included on Form 8960?
If you do have an amount on Form 1040 line 7, does the amount from Form 1040 line 7 appear on Form 8960 line 5a? If so, then your capital gain is included. Why do you say it's not included?
If the amount from Form 1040 line 7 is not on Form 8960 line 5a, what is on Form 8960 lines 5a, 5b, 5c, and 5d?
I assume that you are using the desktop TurboTax software. Is that correct? Make sure three are no overrides anywhere in your tax return. An override can cause the TurboTax calculations to break in unexpected ways, even if the override is in a place that you think has nothing to do with the problem. Occasionally people create an override accidentally by pressing Ctrl-D without realizing it. If an entry has been overridden, the value will be displayed in red instead of black in forms mode.