Reply to Is it possible to owe money in taxes with 0 exemptions?

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[quote=Anonymous][quote=Anonymous]I was chatting with a friend of a friend who had recently done her taxes. She mentioned being shocked at how much she paid in taxes. She ran her stats by me and her withholdings sounded normal. Then she commented that she was surprised she was getting a refund at all since she is a “high earner”. She made roughly $135k. Maybe I’m jaded but I don’t consider that especially high, at least not for this area. The conversation went on and she mentioned how she claimed 0 exemptions and I thought well if they’re taking the full amount of taxes out wouldn’t you expect a refund of some sort no matter how little? Another person we were having lunch with pretty much said this and she countered by saying, again, that “high earners” have to have an additional amount withheld per month or pay period to ensure that they do not owe. I make a little more than this woman makes and I don’t have to do that but I have children and a mortgage, which she does not so our situations are different and I definitely claim exemptions.

I didn’t want to argue with her so I let her cook but … Is this right? At $135k no exemptions is a tax refund unlikely. No properties or multiple streams of income. This just sounded odd to me and I’m struggling to understand her point. Also the “high earners” bit kept throwing me for a loop.[/quote]
If these people can’t itemize, why would you think they would get a refund?[/quote]

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