How many Tax Exemptions should I claim?
I file MARRIED FILING SEPARATE Work a full time job making 77K before taxes Work a part time job making 4K after taxes Will claim 1 dependent at the end of year (16 yr old son) Just bought a 330K townhouse a month ago.
Claiming Exempt on a bonus???????;;????;;;?
Not even a possibility. First of all, you can't legally claim Exempt unless you truly are. If you make 45k, you aren't exempt. Second of all, bonuses aren't subject to regular withholding. They are automatically withheld at 25%. And tax time is when you settle up with the government. A tax refund is simply what you overpaid the government. And when you owe, it means that you didn't have enough withholding throughout the year.
Can I claim exemption for my wife and child?
It depends on 3 factors. (1) If your wife and children were residents of Canada, Mexico or South Korea, then you may claim them on your tax return even though they were not in the U.S. during 2016.(2) if you are a U.S. citizen or Resident, then you may claim your spouse and children wherever they live.(3) Your visa status could impact your ability to claim a spouse and dependent. If you are on an F, J, M, or Q visa you will be filing a 1040NR for 2016. If you came on an H or other lettered visa, then it depends on whether you were here for 184 days or more in 2016. If you came as a refugee or asylee, then your residency is assured and you can file a 1040, with the potential of claiming your wife and kid if they came from a CA, MX or SK, where we have reciprocity.
CLAIMING EXEMPT TO GET NO TAXES TAKEN OUT ON YOUR CHECK!?
What you should have done is increase the number of your allowances on your W4. However, this also has its pitfalls because if you underwithhold, you have to come up with the money in April, and you may owe additional penalties and interest if the amount of underwithholding is significant. Exempt is only for people who know they won't earn enough to have to file a return. _
How many times can you claim exempt on your check?
You can only claim exempt from withholding if you meet BOTH of the following tests: 1. You had $0 tax liability last year. That means that the Total Tax line on your tax return was $0. 2. You reasonably expect to owe $0 in tax this year. If you wind up owing you will be facing penalties and interest for underpayment of tax in addition to the tax. If it appears that you knew (or reasonably should have known) that you would not be eligible to claim exempt status you will also be looking at a $500 administrative penalty for filing a fraudulent W-4. If that happens, the IRS may also direct your employer to withhold at a specified rate -- usually Single and 0 -- regardless of what you would otherwise be qualified to file. IMHO, it's not worth the risk.
Can a person claim exemption from interest from a home loan if he is earning rental income from another property?
I think I know where you’re going with this question, however one of the first things we’re taught in our Real Estate licensing classes is that we can not answer questions outside the scope of our expertise. Therefore, this question should be answered by your accountant or CPA. Hopefully, if you have an investment property, you are in contact with a professional who will help you.
Why don’t people claim exempt on their taxes so that they can collect interest on the money for an entire year before paying taxes?
Because your tax liability isn’t due just once a year. You are required to pay your taxes throughout the year, and to make adjustments quarterly as necessary if you have underpaid.Ideally your periodic tax payments will keep up so that when you file your annual return you will get back a small refund. If you consistently get a large return then you are overwithholding. In that case you have every right to reduce your withholding. The IRS is totally cool with that.Based on personal experience there’s not a problem if you occasionally underwithhold so that you owe a small amount with your tax return. I’ve done that a few times and never had to pay penalty or interest. But if it’s a large amount or you do it every year the IRS might question your practice.So follow the law and pay your taxes on schedule. Whatever little interest you might earn with your scheme just isn’t worth it.
What are the penalties for claiming exempt on your income taxes and then not filing a return for several years?
There may be perfectly legitimate reason for claiming an exempt status. According to Employee's Withholding Allowance CertificateIf an employee qualifies, he or she can also use Form W-4 to tell you not to deduct any federal income tax from his or her wages. To qualify for this exempt status, the employee must have had no tax liability for the previous year and must expect to have no tax liability for the current year.If you have no tax liability and do not have to file a return, there is no penalty at all, it is only if you are committing fraud that you have a problem.
Should I claim Tax Exempt or Claim 9 Dependents???
I don't plan on claiming Exempt or 9 Dependents when I file my taxes, I just want to claim one of them on my W-4. I'm trying to get the most money back, and I want to put money in a interest making bank account. I know I probably wouldn't make that much in interest, but that's what I want to do. So my question is... Will I get in trouble for claiming Excempt or 9 Dependents on my W-4, but not claiming it on my 1040EZ, then just paying back what I owe at the end of the year? Which one is better to claim Excempt or 9 Dependents? I make about 33,000 a year, Single, No Children. Thanks!