If you made $39,598 gross annual income, and the federal tax withheld was only $4,430, what is the number of allowances claimed?
There is obviously a mistake somewhere as the allowance claimed should be zero. What are they actually saying was claimed?
2007-01-25 16:47:51 · 4 answers · asked by Timeless 3 in Business & Finance ➔ Taxes ➔ United States
the person uses standard deduction for married filing jointly, if that helps. Basically, the amount withheld is half of what it use to be.
2007-01-25 16:59:48 · update #1
Okay easy way to explain this... My brother claimed zero/married on his W4 at the beginning of the year, and they withheld $60 a week. Then changed it to claim 10/married while his wife went on maternity leave. When she went back to work he changed it back to claim zero/married again. They now only withhold $30.
Why is there such a difference if they are withholding for zero?
or
What are they actually saying he has claimed?
2007-01-25 17:11:22 · update #2
I prepare taxes and I am not sure what your question is. The allowance claimed on your W4 really has no bearing on what you actualy claim with your taxes. What you claim on W4 give the government a ball park figure of how much they should take out ahead of time... What you claom oin your taxes can be different. Email or IM me if you have more specific questions
2007-01-25 16:58:23 · answer #1 · answered by sweetsal 4 · 0⤊ 1⤋
Is this a real life question or a homework thing? If real life, talk to your payroll dept and see how many exemptions you have claimed for withholding purposes. For withholding purposes you should be allowed to claim more exemptions that you actually have but, you'll have a large tax bill come April 15th unless you have some other deductions to make up for it.
if this is a homework problem, are they using the standard deduction? What amount of tax was owed or refund was due? I must be missing some information here.
The basic calculation is:
Taxable income
- exemptions
- standard deduction or sum of all itemized deductions
- witholdings
= taxes owed / refund due
2007-01-26 01:06:59 · answer #2 · answered by Brad S 2 · 0⤊ 0⤋
You have to take into account personal exemption and standard deduction as well as allowances. Given these, the withholding tax could be as stated with zero allowances.
2007-01-26 00:56:51 · answer #3 · answered by Anonymous · 0⤊ 0⤋
Without even counting the kid, I make it a $1,200 refund, give or take, based on the information you have given.
Changing the W-4 like that makes no sense at all.
2007-01-26 07:14:36 · answer #4 · answered by skip 6 · 0⤊ 0⤋