Can I withhold all my income from payroll taxes?

Question

I am only planning to work part of the year this year. But the government always wants to take a big chunk of my paycheck in taxes. Knowing that my taxes won't be that big, what should I do to lower the amount the government takes out? I would like to keep all of my money and pay the government at the end of the year if I owe any taxes.

Answer 1

I don't know if you can avoid having *any* income tax withheld, but you can have less withheld by increasing the number of exemptions reported on your Form W-4.

This only affects your income tax withholdings, however. You cannot avoid having FICA (social security/medicare) taxes withheld, regardless of how much or how little you earn.

If you do decide to jimmy your W-2 to report more exemptions than the worksheet recommends, be careful that you don't report so many that you end up in a situation where you owe a penalty along with your taxes at the end of the year. Even self-employed people who don't get a payroll check have to file estimated quarterly returns. (Also, be advised that if you report 10 or more, your employer is required to file a report with the IRS.)

Answer 2

You can adjust your withholdings to keep them correct BUT you cannot claim so many that you have to pay in full on Tax Day. If you are underwithheld too much there may be penalties for underpayment of tax.

Taxes on income are due when the income is earned, NOT on April 15th as some folks seem to think!

Here's a link to what the IRS has to say (and does) about people who abuse the system and over-withhold: http://www.irs.gov/individuals/article/0,,id=139412,00.html

Answer 3

Not a good idea, if you dont report your earnings, you could end up in jail. If however you earn less than the minimum amount, you may not need to pay any taxes at all.

Never mind that paying taxes for Americans is actually not required - because the law was never ratified. However the IRS says you must pay.

All you need to do is demand that they show you the law that says a private citizen must pay taxes, and watch them squirm. But you still get jailed.

The law apparently says that only public employees are required to pay taxes - not private employees.

http://www.voluntarytax.info/ (scroll down to "Today's Income Taxes are illegal")

Answer 4

you're able to be reporting all your counsel on your corporation, and that they could be disposing of tax on the counsel besides as your hourly salary. counsel and hourly quantities are taxable earnings to you, no count what you do or do not checklist on your corporation. the quantity withheld varies reckoning on a good number of issues, alongside with how plenty you're making, the place you reside, and what you place on your W-4. Social protection and medicare are 5.sixty 5% in the present day, yet are scheduled to bypass decrease back to the traditional 7.sixty 5% on Jan a million.

Answer 5

You can claim 'exempt' status on your W-4 if you qualify, but you have to answer some questions on the form to do so. Your best bet would be to increase your number of exemptions or whatever they call them that you fill out. For example, you get one for you, and one for your spouse, and one for each child etc. You can claim as many as you want on the form. They take out less tax with each 'number' you have.

Answer 6

claim 10 dependents and I bet you'll get all your money then