I am currently over seas working tax free. If I stay 330 days I know I dont have to pay taxes due to the amount I make. If I choose to leave early I will have to claim it all and pay at the end of the year. How much will I have to pay on say roughly 60k? I own nothing and have no kids.However, I'm married and as of now my wife is a full time student. Would buying land by the end of the year help and how much?
2006-10-17 23:16:55 · 4 answers · asked by Anonymous in Business & Finance ➔ Taxes ➔ United States
Try the US Government Web site at First Gov.Gov. I have included a couple of links below for Publication 54 which discusses tax obligations for US Citizens and Resident Aliens working abroad as well as FAQ's for Aliens and U.S. Citizens Living Abroad.
I am not certain of what you are getting at by purchasing land before the end of the year. Purchasing undeveloped land or real estate property in general does not lend itself to any unique or particular tax shelters in and of itself. It is simply an investment in a given business venture whether it be farming; property development; or real estate management / development. But, this is really a question for your tax preparer.
Good luck
2006-10-17 23:42:50 · answer #1 · answered by Anonymous · 0⤊ 0⤋
On 60K with one dependent and having paid nothing so far, you would owe around 10 to 12 thousand in taxes. And no, buying land will not help you. You can take a credit for your wife's tuition and that will help some, but not much. Maybe you better consider staying the 330 days. Are you being paid by a foreign company or an American company. Cause foreign companies do not report wages to the IRS in America. Not suggesting you do anything illegal, just wondering.....
2006-10-18 06:29:10 · answer #2 · answered by nesmith52 5 · 1⤊ 0⤋
Working on assumption you are getting a W-2 and don't itemize the following numbers are for you: Federal Income Tax of $ 5,776.00. If your wife is a full time student you will have up to 2,000 in credits if you or she pays tuition and is eligible for Hope credit which would cut your federal tax to 3776.00. Your standard deduction amount was $ 10,100.00 and you would have to excede that amount with mortgage interest, property taxes and yaddah by itemizing; probably a no-go this late in year.
2006-10-18 10:45:02 · answer #3 · answered by acmeraven 7 · 0⤊ 0⤋
depends how angry the tax man is and how big of a baseball bat he has
2006-10-18 06:23:58 · answer #4 · answered by mboylan86 1 · 0⤊ 0⤋