Tax preparation question??????

Question

I am a stay at home mom. Will we get more back for our tax refund because my husband now has 3 dependents with one income?
Also, I am curious about the H & R Block instant loan. Do they do it if you have your W2 to go off of instead of a pay check stub?

Answer 1

You and your husband will file as Married Filing Jointly status with 2 dependents. Your tax liability changes because of the amount of money you made as a household, number of exemptions and his withholding. You may get more money back or qualify for Earned Income Credit but not directly relates to you staying home.

If you already have your W2, you can go ahead and file your tax return. If you need the money immediately, H&R Block has another product called Instant Refund Advance Loan (IRAL). The instand loan you mentioned is based on the last pay stub, and IRAL is based on your actual filing using W2.

But if you can wait 2 weeks for the refund, choose the Refund Anticipation Check (RAC) preload to a Master Card option instead of IRAL. You will only pay $20 extra fee instead of the minimum 30% financial charges.

Best wishes.

Answer 2

You will most likely get a higher refund as long as your husband doesn't make the same amount of money this year as the two of you combined did last year.

To your second question, the RAL loan can be given with just your paycheck stub and will be provided within 24 hrs. The maximum you can qualify for is $1900. The 1 hour loan will only be given once you have your W2. They will go ahead and send your tax information to the IRS and it will wait until the 15th when the IRS starts accepting returns.

If you apply with your W2, they can give you the RAL and the 1hour loan. If your tax refund is larger than both of these amounts then you will get the balance once the IRS processes it.

Each loan has fees which will be taken out of the check that you get from H&R Block. Usually on the $1900 loan, the actual check is only written for about $1750. They also charge a pretty high interest rate on top of that.

Also, keep in mind that they have to do a credit check once they anticipate your loan amount and no matter what company files your taxes, the application fee will most likely come out of your refund amount when you actuall file if you are denied. If you are approved, it will come out of the loan amount.

Most tax prep places use the same bank so if you owe one company, the money comes out no matter where you actually file your return.

Answer 3

A larger return has more pages to it. I guess a tax preparer could submit a Form 1040 instead of 1040-EZ to make it "larger" but that won't make a dime's difference in your REFUND. A tax return is the forms and schedules that you file with the IRS. Any money that you get back when you file your return is called a REFUND. As to which way will put more money in your pocket, go with any free tax software, or grab the forms from the IRS website and do it the old-fashioned way, by hand. Your refund will the the same either way so you're $85 ahead by not paying for basic tax prep. The "creativity" of a true tax pro only kicks in when you have a complex tax situation. If you have questions like, "When should I sell my stocks to minimize the tax hit?" or "How should we handle this Net Operating Loss for the best tax benefit?" then a tax professional with extensive experience can be worth his or her weight in gold. Creativity on a simple return usually means disaster, such as a dishonest scam artist who probalby will have flown the coop by the time that the audit notice hits.

Answer 4

Your refund depends on a couple things.. amount paid in..and total amount of income .. chances are your refund will in fact be higher.. actually ill bet it will be.. as for h and r block.... I'm not sure what they use but i do know that Jackson Hewitt can use your last pay stub of the year and it is called pre-filing ( you APPLY for a loan) NOT a guarantee..after you get the loan (or not) then you return to the tax office when you get your w-2 and file your taxes .. all fees are taken out of your refund ..hope that helps...

Answer 5

You are not his dependent. You are married filing jointly with two dependents, unless you have three children. I'm not sure about HR block, but check out your nearest Jackson Hewitt. They have a money now prefile that can go off of his last pay stub; but when you get your w2s you'll have to file for real. There are bank fees involved with this or any other prefile product.

Answer 6

A spouse is never a dependent for tax purposes.

The instant loan has humongous interest rates. Unless you need the money badly that day, it really is not worth the cost.

Answer 7

it's not worth it to do that instant loan. you'll have to end up filing in the end either way you look at it. I got my w2 and filed at www.expresstaxrefund.com and was set up with my return and direct deposit in not even 30 minutes. Friends told me about the site and it couldn't have been any easier.

Answer 8

yes to both questions.