I really didn't think about the implications of all my moves this past year on our taxes. We walked into the free tax preparation service at Ft Drum at 3pm yesterday and didn't come out until about 5:30pm. We went in with 5 W2's (my company switched payroll services mid year) covering 2 states, 2 moves, a big loss in a mutual fund, donation of car & some student loan interest. At first they told us that we would have to come back another time...Then we got the master tax lady!
After a lot of laughs we ended up in a good place. Because this is a free service for soldiers we were definitely in a different situation than most of the people in there. There were not many other people laughing. There are still a few things that I am not totally clear on but I couldn't complain. Some of the other people were almost in tears looking at what they had to pay so I felt guilty asking the lady any more questions.
Somethings you might want to figure out before you go to do your taxes:
- It seemed to me like the stimulus check from last year was just an advance on this year's taxes. I don't think that was made very clear when they were giving it out. I guess something about the way the taxes are calculated this year it assumes you didn't get the stimulus check at first, then if you enter it in the line it adjusts to take it away. Maybe I don't have it right but when she added in the amount for the stimulus check it took down our refund by that amount...And we are not even sure if Dave ever got his. We filed as single individuals last year...who knows we are going to have to look!
- California is giving IOU's as for refunds??? What? Is that legal? I am sort of wondering if there are people really upset by that. It sounds like we are moving back to a state with some issues!?!?
- Review your W2's for mistakes...Mine had one big mistake!
For us it all worked out but I could see if you were in an tougher situation there are a few things the government could do immediately through this tax process to put more money in people's pocket. California could give you the money they owe you and the stimulus not deducted from this year's return.
Have fun with you taxes!
:)