i estimated my taxes and i found out that my hubby and i paid out more in expenses than what we actually brought home, i just want to know if it is possible.
2007-03-28 18:10:37 · 6 answers · asked by jalex12 1 in Business & Finance ➔ Taxes ➔ United States
It is possible to get a refund if self-employed, even if no estimated taxes were paid. The refund would be generated by refundable credits which are based on a certain level of earned income. Refundable credits include the Additional Child Tax Credit (must have Earned Income over $11,300) and the Earned Income Credit (must have Earned Income under about $38,000 with two children).
The income level at which a self-employed taxpayer gets a refund is closer to the $11,300 level than the higher levels.
If all your income is self-employment, and your deductions are at least as much as your income, then you have no taxable income, will owe no tax, and get no refund.
2007-03-28 18:17:51 · answer #1 · answered by ninasgramma 7 · 0⤊ 2⤋
If you made estimated tax payments, then you should have no problem getting a refund.
If not, there are some, like the additional child credit and earned income credit may be applicable.
Also, for this year there is the telephone tax credit that could give you up to $60 back. I even noticed a tax form specifically for claiming that refund, so it alone could be an option even if there was nothing else to file.
2007-03-29 02:27:56 · answer #2 · answered by LDude7 2 · 1⤊ 0⤋
Sure it's possible. If you paid in more than your total tax liability you'll get that back when you file.
Most self-employed folks normally let that ride towards the next year's liability as it reduces the size of the quarterly payments that they need to make but you are entitled to a refund if you wish.
2007-03-29 07:42:15 · answer #3 · answered by Bostonian In MO 7 · 0⤊ 1⤋
Sure it's possible, if you made quarterly estimated payments and paid in more than your tax liability. You'd get the excess refunded to you.
2007-03-29 19:59:32 · answer #4 · answered by Judy 7 · 0⤊ 0⤋
If you've been prepaying your taxes you can. If you have a child and made less than thirty thousand you might still qualify for a refund even if you haven't been prepaying with earned income credit.
2007-03-29 01:15:24 · answer #5 · answered by Anonymous · 0⤊ 0⤋
and don't forget the home heating credit as well.
2007-03-29 01:18:33 · answer #6 · answered by dk 4 · 0⤊ 3⤋