kodex

Need HELP! 38 years Taxpayer borrowed about $77,000 ( a distribution from IRA account ); federal taxes were withheld ( about $8500); Distribution code is 1. This distribution increased his taxable income significantly. He owes federal about $25,000 and state about $7,000 as a result. He used all the distribution (money) to buy a House ( primary residence ) on 10-01-08. He had heard candidate Obama mentioned that people would be allowed to take funds out of the IRA without any penalty; he is hearing that the government is giving away $7,500 ( now $15000 ) to a first time homebuyer... Will appreciate any info. on the possibility of LEGALLY reducing he tax liability. ANY suggestion ? Anyway to legally get around the penalty for taking the distribution?

Has anybody else noticed that the dependent child care credit for NY State/ NYC not adding properly on the IT-216? Or is it just me? :unsure:

IRS began allowing ITIN to be efiled last year. I sent many and they were accepted. But I noticed last it took longer to get an acknowlegment from IRS last year. But they were accepted. Note: this year I sent four already two days ago; so far, I only "Validated by EFC." I don't know if it is an IRS or an ATX issue. I am thinking it is probably ATX...