Have you accounted for the standard deduction?
For single filers for tax year 2021, the amount is $12,550. Subtracted from an AGI of $24,000 that would leave $11,450.
More information on the standard deduction is in this IRS publication:
Dependents, Standard Deduction, and Filing Information
If I have misunderstood your question, please provide more details.
I assume you mean your Line 1 on the 1040 "Wages, salaries, tips, etc" shows your $24,000 but the Taxable Income line is $12,000 (Line 15)?
That is a-ok! you get the standard deduction like the other poster said! Hope you can get a refund!
@dbrookshaw88 What is the issue? No one can see your tax return so we do not know how to help unless you explain the problem. All we know is how much you earned. You have not asked a real question or explained why you are upset.
My issue is the IRS said i owed them $1200 and took $84 and they say because of an error on recovery rebate credit but i didnt get one.
I was supposed to get 1328 but somehow i owed them 1244 idk for what and the adjusted amount is $84 but what could i have owed for? I got a refund last year
More specific information is needed to be able to say what might be going on. On your tax return can you tell us what you reported for the following:
It sounds like you got a bill from the IRS for some earlier charge and they applied it against your refund. What does the notice from the IRS say?
I got two W2s and 0 dependents.
the one job may have messed up on my taxes but idk, i filed single and 0 dependents you know like a normal person who is single and has a job does and I supposedly made 8000+ at that job but only paid 247 in fed taxes. Does that seem right?
idk this all seems off. I feel like its that job. Cause once i entered that W2 thats where the problem started. But 1244 is a very specific amount to owe.
and i told u what the IRS said it was some recovery rebate thing. But I didn’t get one.
@dbrookshaw88 If the IRS says you already received the $1400 stimulus and you say you did not receive it, you can have that traced and see where it went. First check your online account and see what the IRS shows there.
https://www.irs.gov/payments/your-online-account
If the IRS says you got $1400 last year but you did not receive it you can have it traced.
LOST THIRD STIMULUS CHECK
Now im curious is this for the covid relief checks they sent out? Because I didn’t think they could take that back? And clearly i make less than 75k which is supposedly the cutoff from that and i also think i only got one check at the very beginning so why am i being asked to pay that back?
You are saying you did not receive the stimulus check and the IRS is saying that they sent it to you. You both might be right. Some checks were stolen from mailboxes, some were sent on credit cards that looked like advertising and were thrown away. You need to contact the IRS and trace what happened to your payment,
@dbrookshaw88 If you received the $1400 stimulus check last year, then $1400 should not have been on line 30 of your 2021 tax return. If you put $1400 on line 30, you made a mistake and expected a larger refund than you could get. You do not get the $1400 twice. If you received it already that is why the IRS changed your refund and took it away.
See that doesn’t answer my question however. How do i owe 1244 and yes that’s the exact amount they say i owe.
also i am curious why is only half of my “gross income “ considered taxable yet i paid fed taxes each check. So what is that about.
also i am pretty sure 3 stimulus checks were sent out. Also my question is how are they taking that money back if they did give it to me.
my biggest issue right now is many people sat on their azz collecting these checks and i worked the entire pandemic and now they are taking money from me to compensate for this “free money” they gave out that i am pretty sure i didn't get. So while i got nothing for working the entire pandemic, not even a thank you other people got free crap and i get screwed by the IRS to compensate for bad policies while congress is giving themselves a raise and billions to ukraine but sure charge me, the hard working american.
The first EIP --or stimulus check--- was issued in 2020 It was for $1200 for adults and $500 for a dependent under the age of 17. The IRS used information from either your 2019 or 2020 tax return to issue those checks so they could send them out in a hurry.
The 2nd EIP or stimulus was issued in late 2020 or early 2021 and was $600 for adults and $600 for dependents under age 17.
If you did not receive the 1st and/or 2nd stimulus check you can get it by filing a 2020 tax return and using the recovery rebate credit in Federal Review. It will end up on line 30 of a 2020 tax return and will be added to your refund (or reduce your tax due).
The 3rd EIP--or stimulus check-- was sent out in mid-March or later in 2021 and was for $1400 per person--adults and dependents no age limit.
If you did not get the 3rd EIP payment you can get it by filing a 2021 tax return and using the recovery rebate credit in Federal Review. The credit will go on line 30 of your Form 1040 and will add to your refund (or reduce your tax due).
The IRS will send you a letter that explains why your refund was reduced. Meanwhile it might help you to check your online IRS account.
https://www.irs.gov/payments/your-online-account
https://blog.turbotax.intuit.com/tax-refunds/why-is-my-tax-refund-not-what-i-expected-49240/
So im curious is this saying i received the money? Also again why are they taking only one of them back. Im so confused. Also i was due like 1328 back and they took 1244 which netted me $84 but im tryna to figure out why i owed.
no one is answering that question.
@dbrookshaw88 That partial screenshot you provided seems to show that you DID receive the $1400. For many people --receiving $1400 is memorable. Do you truly not know if you received a check for $1400 last year? Have you looked at your bank account? Was there a deposit for $1400 sometime in 2021? If you received that $1400, and then answered incorrectly on your tax return that you did not receive it----again---that is why your refund was reduced. The reason your refund was so small after that $1400 you were not entitled to was removed is because you only had enough tax withheld from your paychecks during the year to cover your tax liability with a small refund at tax time.
If you had prepared your tax return without the confusion over the recovery rebate credit, your refund would only have been that $84. Remember if you chose to have your TurboTax fees deducted from your federal refund you had fees plus the third party bank fees.
Did you choose to have TT fees deducted from your Federal refund? (Remember that if you did that, you also agreed to an extra refund processing fee of $39.99 or $44.99 in CA)
How can I see my TurboTax fees?
https://ttlc.intuit.com/questions/2565973-how-do-i-review-my-fees-in-turbotax-online
@dbrookshaw88 One other thing ----if that is what you are seeing for your own IRS online account---it looks like the IRS does not show that you received the $600 stimulus---the 2nd EIP payment. You could amend your 2020 tax return and use the recovery rebate credit for 2020 to get that $600. But you can only get it on a 2020 return.
Select your tax year for amending instructions:
The IRS says you got the $1400 stimulus. On your tax return, line 30, you said that you did not get the refund. The IRS will not give you the same money a second time. Since the IRS says you got it and you say that you did not, you need to trace the $1400 EIP. To request a payment trace, call 800-919-9835 or fill out IRS Form 3911, Taxpayer Statement Regarding Refund.
If the IRS subtracts $1400 from your refund of $1328, you would owe taxes, not get a refund- so I don't understand what you are saying. When you start a job, you fill out w4 paperwork so the company knows how much tax to withhold. It is possible for them to take out too much or too little which will affect if you get a refund or owe. To better understand refund vs liability, see another of my answers here.
@xmasbaby0 answer just popped with the rest of what you need to know.
The $1200 and $600 from 2020 - if you were paid the $1200 and claimed it on last year's tax return, then the IRS may have taken the $1200 because you got it twice. However, you did not get the $600 so you still deserve that money and it should have been on your tax return last year.
You can amend last year's return and add the $600 that you did not get. Please:
The issue is my refund dropped from 1300 to 84 after i added a second W2 it has nothing to do with the credit. Also again why is only half of my income taxable?
Again if i remove my second w2 this is what turbo tax says my refund would be. So again sorry explain why to me why when i added my second job this entire amount drops to $84.
It has nothing to do with the tax credit
@dbrookshaw88 It is normal for your refund to go down when you add more W-2's. More income = more tax
You started off with your first W-2 and your refund look high? Then you added another W-2 and it stopped looking so good? That is normal. When you added more income, your tax liability increased, so you saw your refund decrease. The program began by giving you your standard deduction—- which lowered your taxable income. So you are not being taxed on as much of the income on that first W-2. Then you added taxable income--so the refund went down. Your refund (or tax due) is based on the total of your income, not “per W-2.” Wait until you have entered ALL of your income and deduction information. You can't really tell anything until it is all entered. That “refund monitor” does not mean anything until everything has been entered.
https://ttlc.intuit.com/questions/2273878-why-did-my-refund-drop-when-i-entered-another-w-2
Its like people aren’t reading or maybe im not being clear. Idk. The second w2 was for 8k and according to the accountant i only paid 247 in taxes out if 8k because that was the tax bracket i fit into.
so in total i made 24k between both jobs and was only taxed on 12k and after adding the second w2 my taxes dropped significantly. And they now say i owe 1200 but again i paid my taxes that were required while earning the 8k.
so again my question is how do i owe now? Did i not pay enough taxes? Also why is only half my income being considered “taxable” yet i am told i owe.
none of this makes sense. And it has nothing to do with the tax credit.
It depends. In your example you made $24,000 in total which, if there is nothing else on the tax return, will be reduced by the standard deduction.
Using single, under 65, as the filing status the standard deduction is $12,550. The result is $11,450 as taxable income. If we go to the 2021 tax tables for this income amount the tax is $1,178 under the single column. You are basically at the 10% bracket so if we used even a few points lower on your $8k W-2 the tax would still be much higher than $247.
The Form W-4 is used so that your employer knows what tax to withhold, then it is also dependent on the number of pay periods and the gross pay per pay period. Employer withholding information can be reviewed in IRS Publication 15-T for 2022.
Double check your W-2s and the federal withholding for each of them. Then monitor your wages for 2022 with each pay check. You are allowed to submit a W-4 as many times as necessary to adjust your federal and/or state withholding. If your income will be similar in 2022, then you may want to add an additional amount on your W-4 (line 4(c) ) for job number 2. It's a good idea whenever you have two jobs.