Fed taxes sticker shock

[Anonymous]

My refund has been processing for over a month probably because of the child tax credit. What a horrible place next year I am going to under pay

[Anonymous]

Anonymous wrote:

Anonymous wrote:We always owe. Another 10k this year. Why do I bother working?!?!

Owing $10k means that you borrowed that much from the government over the course of the past year. People not understanding the basics of taxes as an adult baffles me.

I'd argue that the person enjoyed the benefits of the $10k and had the opportunity to earn interest on it before handing it over to uncle Sam. They didn't "borrow" it from the government since it isn't technically due until tax day. People not understanding the basics of taxes as an adult baffles me!

[Anonymous]

We e-filed on Mar. 31st and just received our refund yesterday, 4/17.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:We always owe. Another 10k this year. Why do I bother working?!?!

Owing $10k means that you borrowed that much from the government over the course of the past year. People not understanding the basics of taxes as an adult baffles me.

I'd argue that the person enjoyed the benefits of the $10k and had the opportunity to earn interest on it before handing it over to uncle Sam. They didn't "borrow" it from the government since it isn't technically due until tax day. People not understanding the basics of taxes as an adult baffles me!

+1. I’m glad you said it and saved me the trouble

[Anonymous]

Not happy this year we owe $30k. Granted we sold some stock but ouch it hurt.

[Anonymous]

2021 was our sticker shock year when we owed $8K when we always received a refund before. Turns out our withholding was way off the mark. We had always claimed zero exemptions just so we could be confident in knowing that we would not owe at the end of the year then I think with that tax law passed under Trump. It's screwed the whole claiming exemption process up. For 2022, I had $250 more taken out each paycheck for the feds and we are fine, with a Nice refund coming our way. And before everybody gives me the "you let Uncle Sam sit on your money rather than earning interest" I know. For my peace of mind and anxiety management having more taken out than we need to, works for us.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:We always owe. Another 10k this year. Why do I bother working?!?!

Owing $10k means that you borrowed that much from the government over the course of the past year. People not understanding the basics of taxes as an adult baffles me.

I'd argue that the person enjoyed the benefits of the $10k and had the opportunity to earn interest on it before handing it over to uncle Sam. They didn't "borrow" it from the government since it isn't technically due until tax day. People not understanding the basics of taxes as an adult baffles me!

No, if that were true there wouldn’t be an underpayment penalty.

[Anonymous]

Anonymous wrote:

Anonymous wrote:We always owe. Another 10k this year. Why do I bother working?!?!

Owing $10k means that you borrowed that much from the government over the course of the past year. People not understanding the basics of taxes as an adult baffles me.

Found the communist.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:We always owe. Another 10k this year. Why do I bother working?!?!

Owing $10k means that you borrowed that much from the government over the course of the past year. People not understanding the basics of taxes as an adult baffles me.

I'd argue that the person enjoyed the benefits of the $10k and had the opportunity to earn interest on it before handing it over to uncle Sam. They didn't "borrow" it from the government since it isn't technically due until tax day. People not understanding the basics of taxes as an adult baffles me!

No, if that were true there wouldn’t be an underpayment penalty.

There is. Ask me how I know.

[Anonymous]

Still in shock myself. Owed 22k federal and 9.7k DC. Could only afford to pay off the DC tax bill. so I've got the 22k hanging over me for the next 6 months.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:We always owe. Another 10k this year. Why do I bother working?!?!

Owing $10k means that you borrowed that much from the government over the course of the past year. People not understanding the basics of taxes as an adult baffles me.

I'd argue that the person enjoyed the benefits of the $10k and had the opportunity to earn interest on it before handing it over to uncle Sam. They didn't "borrow" it from the government since it isn't technically due until tax day. People not understanding the basics of taxes as an adult baffles me!

Not true at all, as anyone who pays estimated taxes will tell you., If you pay all the taxes you owe on April 15, you will incur a serious penalty.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:We always owe. Another 10k this year. Why do I bother working?!?!

Owing $10k means that you borrowed that much from the government over the course of the past year. People not understanding the basics of taxes as an adult baffles me.

I'd argue that the person enjoyed the benefits of the $10k and had the opportunity to earn interest on it before handing it over to uncle Sam. They didn't "borrow" it from the government since it isn't technically due until tax day. People not understanding the basics of taxes as an adult baffles me!

Yep. We ended up owing almost $150k. Not complaining, we sold a rental property for a nice profit and also DH got a bunch of corporate stock he sold. We knew this was coming we did additional withholding to put us in the safe harbor, and we got to earn interest on all the rest of the money for 4 months. Pretty sweet!

[Anonymous]

Anonymous wrote:There were no significant tax law changes. You either screwed up your withholding or something did materially change with your income/deductions.

They changed the child tax credit from $3600/$3000 to $2000 per kid. With three kids under 6, that would be a $4800 swing. And who knows about child care credits or
even the charitable deduction.

But nothing significant?

I love how people on here just say something with such certainty.

[Anonymous]

Last year we owe $100k but I sold half of my stock positions at the end of 2021 at profit. A little hid cup but we made more money so gotta pay tax up.

This year w owe 58k federal and get $8000 refund from state. Our stock is down and we file itemized deduction .

[Anonymous]

Anonymous wrote:Last year we owe $100k but I sold half of my stock positions at the end of 2021 at profit. A little hid cup but we made more money so gotta pay tax up.

This year w owe 58k federal and get $8000 refund from state. Our stock is down and we file itemized deduction .

We got hit with $200k tax bill this year. My friend/neighbor told me theirs was around that too. Last year it was lower for both of us.