Jump to content
ATX Community

Leaderboard

Popular Content

Showing content with the highest reputation on 07/05/2020 in all areas

  1. I can help you with the part year return. It is very simple, enter the dates lived in DC... I usually pay them their fair portion of the tax on DC 40. For example, is someone lives from January 1, to May 31, and then went back to his state and came back to DC September 1, and stayed for the rest of the year, I enter the dates to include 8 months in the district and since in this case the other state is far away, I enter the amounts based on the W-2 information. In this case, I would enter the whole amount for DC. DC doesn't have D-40NR Let's say that you work for the red cross and you lived 8 months in DC and 4 months in another state, I would use this formula to calculate DC fair's portion. I would enter the W-2 income on form 1040. That whole income would be transfer to DC income. On page 2, line 8, income received while non-resident, I would enter the enter =(W-2Income\12*4) and the rest will be done automatically. Provided that you... on data tab, entered the correct dates that will be ONLY 8 months. Same is true for someone who works in VA, lives in the District and in the middle of the year moves to MD keeping the same job. In this case, VA gets 0, MD gets 1/2 of the income and DC gets the other half due to the reciprocity agreements. People here in these three states only pay income taxes where they live. NT.- About 10 years ago, I sent ATX the formula that they should use to help us not to make a mistake when entering the dates of residency and they didn't fix it. So for example, you have a single person who lived in the district from June 1, 2019 until the end of the year and you by mistake enter from June 1, 2019 until Dec 31, 2020, the program will give you a standard deduction of more than $18,000. By the way, DC follow the new Federal Standard deduction and no personal exemption. And if you enter the date of Dec 31, 2021, you will get a bigger standard deduction and your Earn Income Credit which is 32% of the federal will be almost as big of the federal. Thank you for reading the previous paragraph which you can eliminate because we, tax preparers, never make a mistake, correct?
    1 point
  2. If taking the lesser of the three, and it's less than the HA, then the SE tax is lower than it could've been, too. The excess HA moves over to wages and is taxed for income tax purposes only and not for SE tax.
    1 point
  3. I’m well, I think. Trying to do the normal things I do around this time of the year, which includes not checking in everyday because I’m away from the office and being busy. I’ve taken on some home projects, taking a bicycle repair course, and calling friends, especially those who live alone. Missing restaurants has gotten me back to cooking more and surprisingly lost a few pounds. Been cutting my own hair, getting long in the back and the long length in front is now covering my bald spot. When I go back for a haircut I will tell my stylist; don’t take this wrong but just follow what I did. Other than that doing my part to stay safe and contribute to getting this situation out of our lives. Stay safe and sane everyone, hang in there and remember that everyone’s contribution counts! One last thing, in honor of Carl Reiner I watched the documentary If You’re Not in the Obit, Have Breakfast. I highly recommend it, you will feel good after seeing it.
    1 point
  4. This morning I would've left some school or church in central Appalachia in a van with another adult or college student plus five high school kids in a caravan with more than a dozen vans and meet up Sunday in CT with all 200+ people who just spent a week repairing homes. Appalachia Service Project is a relational ministry with a little home repair on the side! I miss it. My stepdaughter who brought me into ASP years ago with her next generation ASPer, son Everett:
    1 point
  5. Happy independence day to all you's........ With this heat wave, I just wanna go swimming......
    1 point
  6. I needed to see what wassup - so I am lurking.. way too busy - I needed the govt to say =- pay but ext to Sept 15.. We do tons of small businesses/farms that cannot do their own grants.. and help with that and are working mostly remote - had to pull in staff this week so I can get taxes file plus this now means file ext for them and still some 2016's why did I do taxes? and talking how to transfer my wisdom and sell?! I am tired of working so many hours.. D Be Safe!!
    1 point
  7. nice!! Still the land of free.. Count our Blessings.. too many taxes to do though by the 15th and still doing SBa grants.. Best, Be Safe! D
    1 point
×
×
  • Create New...