3 Replies Latest reply on Apr 6, 2014 5:45 PM by JerryD

    Income Tax Federal return filing

    BoBraxton

      My spouse was ordained (Presbyterian) 1980 June 15. As soon as she accepted a "call" as Associate Pastor, I have sought professional "help" to file clergy-related income tax returns, both in NJ and in Virginia (beginning 1984). Now the person (CPA) most recent announced her own retirement - however, after dropping fifty of her clients, she relented and offered to do our income taxes this year (for 2013) and we just took all our records (summaries) on Friday (yesterday). I spend a lot of time and effort, so this milestone is traditionally a huge relief ("off my shoulders") - an even greater one when we see the finished product and "sign the papers." You?

        • Re: Income Tax Federal return filing
          JerryD

          Not that long ago, I did our taxes "by hand". Then a couple of friends convinced me to look into a software package (I hope that I can say it), TurboTax. Saves a lot of manual stuff/errors and brings forwards last year's data and what I did then. And since I do IRA -> Roth conversions late every tax year and pay little other tax during the year, I use it to ballpark my 4th quarter taxes due very early the next year. Unfortunately, my state and also more often the Feds do not have tax forms ready soon enough to make this 4th quarter deadline. This year I resorted to blind faith that, if I paid as much as last year, at least there would be no penalties.

           

          A downside to this software approach is that now I get the pleasure of doing the taxes for all of the kids too! Oh well, at least I can get some real facts on their financial status.   :-)))

          • Re: Income Tax Federal return filing
            BoBraxton

            Sunday afternoon we have signed (she two times, he two times) and the tax returns (Federal and state) will go out, followed by direct deposit. Filing is electronic. Relieved and happy for another tax year.

              • Re: Income Tax Federal return filing
                JerryD

                Sunday afternoon and evening and still fighting with Form 2210A from our state which figures out if you owe penalties for any insufficient taxes paid throughout the year and this is after doing the "easy" taxes for one of the kids and filing electronically. I once had a conversation with a senior tax auditor for the state who was a CPA in a former life about this form and he told me that he had never figured the form out so he could not answer any questions. The form has over 40 steps, many more than the Federal equivalent which my tax software handles automatically. In the past I had to create a spreadsheet following the calculations instructions. Some very strange calculations that refer to cells below the cell of interest contrary to the normal top left to bottom right flow of most spreadsheet calculation dependencies. I had to go to previous years spreadsheets and 1040 equivalents to even make sense of what numbers I needed to enter.

                 

                YIKES!!! I have to stop doing these large IRA to Roth conversions late in the year and paying t]most taxes in the 4th quarter and start paying the taxes fairly evenly throughout the year like a good boy.