I am single, hv no dependant and just relocated to Missori, US.
I am staying with my friends in Kansas City MO.
Still confused with US tax rules. Dont know what is IRS, moving expenses and all. How can I get a good exemptions to reduce my taxes. How to calculate Taxable income ?
I have $50,000 annul salary... can anybody give me a detail description what will be my take home salary ?
To save tax what I will have to do ? Suppose If I will take 1 laptop, how much exemption I will get on that ?
One more question can I declare myself as Head of Household ?
Smart answers are expected.
2006-10-17 02:26:49 · 10 answers · asked by Bad_Boy 2 in Business & Finance ➔ Taxes ➔ United States
You can most likely deduct moving expenses, from the information you give. There are a few restrictions - download Publication 521 from irs.gov.
You'll get one exemption, for yourself. Head of Household status is only for people with dependents, so you'll be filing as single.
To calculate your taxable income, you'll add up all your income (salary, and any interest, dividends, other income), then subtract your exemption for yourself ($3200 last year) and your standard deduction (was $5000 last year for single).
If you use the laptop exclusively for work, you coujld deduct it, but you'd have to itemize to do that, so unless you have other deductible expenses, wouldn't be as much as the standard deduction. You get one or the other - the standard is what they give you without having to show any detail.
2006-10-17 04:23:11 · answer #1 · answered by Judy 7 · 2⤊ 0⤋
You cannot claim head of household without any eligible dependents. The best option is to be honest on your W-4 so that you have proper withholding. You can deduct moving expenses if you meet IRS guidelines in the link below.
If you have no mortgage interest, then you could likely have a small amount due at tax time. Having an extra $10-15 withheld from each paycheck could reduce or eliminate this gap.
When you decide to buy a home and begin deducting mortgage interest, then you will likely have a small refund.
2006-10-17 02:36:34 · answer #2 · answered by Anonymous · 0⤊ 0⤋
With your tax questions, I would consider getting an accountant. You don't want to fool with the IRS. The IRS is the Internal Revenue Service. They handle all taxation on a federal level in the US.
You can make deductions for business purposes (for instance your laptop if that's its primary use).
You can also deduct for many other things i.e. health expenses, retirement contribution, etc.
There are also vehicles to shelter money from taxes, i.e. life insurance, annuities, IRAs, etc.
Again, I'd see an accountant, or I believe someone else mentioned Turbo Tax, a computer program that helps with some of this.
2006-10-17 03:53:25 · answer #3 · answered by Anonymous · 0⤊ 0⤋
The only benefit in the list of things you mentioned is possibly the moving expenses... Just invest a few dollars in some tax software like TurboTax in a couple months when they come out and the software will guide you through the whole process using a question and answer approach... it will ask you questions, and then prepare your taxes based on your answers....
2006-10-17 02:39:41 · answer #4 · answered by Andy FF1,2,CrTr,4,5,6,7,8,9,10 5 · 1⤊ 0⤋
Take a mediclaim policy for self & family preferably from a PSU like The New India Assurance Co You can get a deduction up to Rs 15000 under section 80D If you have dependent parents take a separate policy for them. You can get an additional deduction Of Rs 15000 under the same section if you are the proposer. If one of the them is a SENIOR CITIZEN , then the deduction can go up to Rs 20,000. Max deduction under 80D = Rs 35000/= If you take a housing loan , interest repayment upto Rs 1.5 lakhs in a financial year is available for deduction. If you have an educational loan , interest repaid during the year is totally deductible from your gross income. under Section 80E
2016-05-22 08:26:03 · answer #5 · answered by ? 4 · 0⤊ 0⤋
if you are working for someone else then they will take taxes out automatically. and no you cannot deduct a laptop unless it is used exclusively for work, and you can only claim yourself as single, not head of household.
2006-10-17 02:35:47 · answer #6 · answered by george 2 6 · 0⤊ 0⤋
To be Head of Household, you need dependents.
2006-10-17 02:35:17 · answer #7 · answered by Jordan K 3 · 0⤊ 0⤋
That's a lot of information. You're making $50k, hire a tax consultant..
2006-10-17 02:35:32 · answer #8 · answered by butrcupps 6 · 1⤊ 0⤋
Oh, the IRS, that's nothing, just ignore them.
2006-10-17 02:34:41 · answer #9 · answered by Anonymous · 0⤊ 1⤋
this is the problem with immigration. seriously.
2006-10-17 03:30:27 · answer #10 · answered by jinenglish68 5 · 0⤊ 1⤋