I claimed 0 on my w4's with this employer and did not know until I went to file my taxes and I owed a rather large amount that they had taxed me 2 for fed/ 1 for state. I'm not sure what to do. my previous employers are being less then helpful. I can't find anything online about how to go about handling this situation. All advice/tips/laws/anything is a help.
2007-02-05 05:34:17 · 6 answers · asked by Anonymous in Business & Finance ➔ Taxes ➔ United States
Since you put 0 exemption in your w4, your employer might should have withheld more taxes
and you should get a good refund. Looks like your employer might have filed a different w4 (??) with IRS
or deducted wrong taxes from you paychecks. Maybe some data entry error, etc ? .. If you employer is
not cooperating you can always call IRS.
If you not enough taxes were withheld from your paycheck you need to pay it while filing taxes. No other
go. But you call IRS and explain your situation and ask for some help in paying. For the next year, you can use a w4 calculator like one at http://findtaxservice.com/taxcalculator/tax-withholding-calculator.html . This calculator tell you how many exemptions you can claim in w4 and is easy to use compared to one at irs.gov site.
2007-02-05 07:11:15 · answer #1 · answered by onlinetaxsiteswatch 2 · 0⤊ 1⤋
This happened to me several years ago. Turned out that if the employer doesn't have anything on file for you (and it can be their mistake, not yours) then they do the standard amount, which I think is what they did with you. We ended up owing. Best options are to borrow the money from family or friends, or take out a loan. File for an extension if you must, but I would avoid doing an extension. Just get it paid and get the IRS out of your life ASAP. Just learning this lesson is worth the hassle of paying the money - you will never ever *not* know what your allowances are in the future.
2007-02-05 13:42:26 · answer #2 · answered by darligraphy 4 · 0⤊ 0⤋
Handling it is pretty simple. You owe the taxes, so you have to pay it.
If you can't pay it all by April 17, file anyway - that will at least protect you from late-filing penalties. Send part of the money, or all of it if you can. The IRS will set up a payment plan for you to pay off the rest. You'll pay interest, and possible penalties for under-withholding.
Filing for an extension won't help, since you're required to pay in the taxes that you owe when you file for the extension. It's an extention to file your return, not to pay.
2007-02-05 16:04:16 · answer #3 · answered by Judy 7 · 0⤊ 0⤋
You're going to have to pay. Think on the positive side, you kept extra money throughout the year! It's not like you have to pay MORE because of the difference in withholdings, you just have to pay now instead of throughout the year. Sorry. Make sure they correct your withholdings ASAP so you don't have the same problem this year!
2007-02-05 13:41:26 · answer #4 · answered by AriesJWR 4 · 0⤊ 0⤋
Your ONLY option is to pay the taxes due.
The taxpayer alone is solely responsible for ensuring that sufficient tax is withheld.
There are no exceptions, exemptions or laws that dictate otherwise.
Sorry to be so blunt, but it's your fault for not ensuring that enough tax was withheld.
2007-02-05 14:04:30 · answer #5 · answered by Bostonian In MO 7 · 2⤊ 0⤋
You need to pay whatever you owe. You also need to file a new W-4 form with your employer (if you haven't already).
2007-02-05 14:01:56 · answer #6 · answered by Anonymous · 0⤊ 0⤋