I am married with one child. and we both work. My question is - what is the proper or correct exemptions/dependents/allowances to claim on our W4 with our employers?

[disqus1515]

ok thanks. So if there was a penalty assessed. Do they just mail you a bill after you file your taxes and send paynet for example of $200?

[SweetieJean]

<a rel="nofollow" target="_blank" href="http://incometax.utah.gov/filing/extensions-and-prepayments">http://incometax.utah.gov/filing/extens...>

[disqus1515]

Where does that say it on the link Hal_Al. thanks. Also Sweetie Jean, I am not sure what your link is referring to. Sorry I am new to this.

[Hal_Al]

SweetieJean, that link appears to be only  for late filers and late payers, even those who filed extensions, not those that file and pay by the due date.
disgus1515, the link I provided is a penalty calculator, that the Utah tax agency requires you to use to calculate the form TC-40 line 41 penalty. Plug in any numbers and you will get zero penalty, if the dates you enter are before April 15.

[disqus1515]

Ok thanks Hal. So if i understand correclty, there are no penalties for underpayment with the state of utah as long as you pay the state of utah ehat you owe and file on time before april 15th of each year, even if I owed them like $3000, correct?

[Hal_Al]

Correct.

[disqus1515]

ok thanks Hal. just curious, if there was a penalty assessed for something. Do they just mail you a bill after you file your taxes? Or how does it usually work?

[Hal_Al]

I cannot give you a Utah specific answer. In most states, you have a choice. You can use the state's  penalty form and calculated the penalty (TurboTax can  do  that) and submit it as an attachment to your return or just wait and see if the state bills you.

[Carl]

Understand that the W-4 goes to your employer only. The IRS never sees it. Ever. They employer uses that form to determine how much tax to withhold from your paychecks. If W-2 income is your ONLY SOURCE of income, then both of you can claim a maximum of 3 exemplions. One for yourself, one for your spouse, and one for your dependent child that lives with both of you, assuming you both live under the same roof.

If you claim less exemptions, that just means the employer withholds more from your paychecks. Then when you file your joint return claiming your self-exemptions plus your dependent child, you are practically guaranteed a refund.

[disqus1515]

We have been doing Myself claiming Married with 2 Dependents (myself and my daughter) with my employer and my wife claiming Married with 1 Dependent (for herself) with her employer and we get a small refund each year. So we can really put anything we want since the IRS will never see it? So I guess it is ok to leave it how it is?

[SweetieJean]

I do not totally agree with Carl. Since you both work, your Joint tax bracket may be higher than either of your individual ones are. And no, filing Separately will not help.

[disqus1515]

Does claiming number of allowances/exemptions/dependents on a W4 mean the same thing?