My taxes and H&R Block?
Question: H&R Block has a tax calculator and I went in and filled in my basic info like money made and income tax paid and it says I should owe $70 but when I file my taxes through H&R block tax cut I owe the Feds $410. How could it be soo off. Anyone have this problem?
Best Answers: My taxes and H&R Block?
Camille, I file my own taxes so I have not had that problem but based on the amounts you would owe it sounds like they did not gather all the data they needed to accurately calculate your taxes!! You can do your own taxes very easily!! Get the 1040 EZ form and instruction booklet from your local library or post office. If you have filed taxes in the past, the IRS will send you the same form and instructions you filed the previous year so you may already have them!!! I bet if you follow the instructions and fill in the amounts yourself, you will see which answer was closest to being right!! Your calculation will most likely be the correct one and H&R Block's will most likely be incorrect to varying degrees. Unless you also answered questions dealing with how many exemptions you claimed and what filing status you claimed like single, married filing jointly, or head of household then they did not collect all the data needed to accurately calculate your tax due. The basic equation is income listed on box 1 of your W-2 you get from your employer. To this you add or subtract certain items like interest which is located on your bank statement, unearned income like lottery winnings and some other items. Look on the form to see what specifically is listed to report. This gives you what they call the "Adjusted Gross Income" AGI for short. From this amount you subtract your Standard Deduction. This amount is listed on a table on the form itself - for singles it is $5,350 for tax year 2007. You also subtract your personal exemption which is the number you claimed earlier. In my case it was 1 since I am single so that corresponds to $3,400. Total deducted from the AGI is $8,750. This will give you your Taxable Income. This is the figure you look up in the tax tables located in the instruction book. Write down the tax due amount on the appropriate line. Next you take the amount of taxes paid on your W-2, box 2 and write it down on the line indicated. You now do basic addition or subtraction. If the amount on box 2 is bigger than the amount of tax owed from the table, you get a refund!!! If the amount from box 2 is less than the amount of tax due then you owe the United States that amount of money!!! Follow the instructions in the book on how to remit payment. If you get a refund you can have it direct deposited into your bank account or get a check in the mail. It is that simple!!!! Just plain old math!!! If you contribute to a 401k at work and/or have student loan interest you paid and received a 1098 showing how much interest you paid, please use either Form 1040A or 1040. This will enable you to take the Student Loan Interest Deduction if you qualify, which lowers your AGI amount which in turn lowers your Taxable Income so you pay less Tax Due and may pay less or get a refund instead of paying, or get a bigger refund!! You may also qualify for the Saver's Credit if you contribute and meet income guidelines to qualify. You get a Tax Credit which reduces the amount of Tax Due you owe which like before may cause you to pay less taxes or get a refund instead of paying or get a bigger refund!! Based on your marital status, if you own a home, and the items I mentioned above, your tax situation may be different than my example based on my situation but DO NOT WORRY OVER THE LONGER FORM 1040A OR 1040!!!! The only difference is that there are alot of lines that do not apply to you that you just put a zero on!!!! When you come to a line that does not apply just put a zero on it and move on until you come to line that applies to you!!!! Easy as apple pie!!! Just as an example: If I did the EZ form I would have got a refund of $394.54 but by taking the student loan interest deduction of $2500.00 and getting a Saver's Credit of $200.00, I ended up getting a refund of $969.54 a bigger refund by 145.739%!!!! Each person's tax situation is different based on many factors so have a friend or family member who has been doing taxes longer check your work. You can always go to a tax service like H&R Block but why pay to do something so easy?!!! I suspect your taxes are not that detailed with stock dividends and itemized deductions otherwise you would already have a tax preparer to do that for you!! Good luck with your taxes!! I hope this helped!! Remember - taxes are nothing more than reading the instructions, writing down some numbers, and doing basic addition and subtraction!!!! Nothing to be worried about!!!
There are some professions that it is customary to tip, for example a waitress, or waitor, bartender, hotel service etc. There are some professions that you don't, like an ambulance driver, police officer, doctor, politician. The first group could be catagorized very loosely as luxury services, while the second could be categorized as services of necessity. In truth services of necessity more often cost more than services of luxury. I would categorize tax preparation as a service of necessity. Once I tipped the fed ex driver and I was unsure if I should. I wouldn't think of tipping anyone at the US post office or a delivery from the post office, then again I am a tax payer and we all pay for the post office in a way already. However, Fed Ex is a private company and I think it could go in either luxury or necessity depending on what you have being delivered. Since tax preparation is a necessity I think it woud fall into the "not to tip category." Also it looks in a way bad to give a tax preparer a tip or anyone who will decide what a service is worth or what to charge you for the service or good(s). I do know that McDonald's Restaurant has a plolicy of taking no tips as do many other places. Many retail stores have same policy. If ever in doubt as to whether to tip or not, just ask.
Did anyone at HR Block tell you that you could do a wire transfer with the Emerald Card? Did you check into it before attempting it? How is this problem the responsibility of the tax preparation place? You issues are with the banks receiving the money and the transmitter.
Mitt Romney doesn't realize that 100 dollars from a person with 1000 is more to them than 2500 to somebody with 100,000. The conservatives here have also fallen into the trap of thinking that people on welfare take more. They don't realize that every dollar spent on welfare is one the rich benefit from, even just from not losing money on security.
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