The IRS is taking $214.00 out of each of my checks when I get paid, can I take this off my total amount of yea

Question

The IRS takes $214.00 from my monthly retirement check. Can I take this off my total yearly gross amount when I do my taxes.
I mean that's $2500.00 of my supposed income, I don't even see.

Answer 1

No you do not deduct that from your gross income.

If your gross income for 2006 was 25,000.00
your standard deduction if single - 5,150.00
your personal exemption - 3,300.00
______________
your taxable income 16,550.00

tax liability 2,109.00

Federal tax withheld 2,500.00
(if that your number is for
federal withholding only

Refunded back to you $391
Telephone tax credit 30.00
________
Total refund 421.00


This is a basis scenerio to give you an idea of how the tax form works. the numbers could be different if the total gross income is more or less than stated above and if you are single or other filing status , whether you have any dependants that you claim. and whether you are eligible for any credits.

Answer 2

What is the $214 that is taken out? Is it withholding of federal tax? If so, then that will be a credit against taxes owed when you do your tax return.

Your yearly gross will include any amounts deducted, so no you can't reduce your taxable income by the $214 per month.

Answer 3

No, it's still included in your gross amount even though you don't see it. It's just like when you were earning a paycheck. If you had a weekly gross pay of $1,000 and a net pay after deductions of $750, you still got taxed on the full $1,000.

Answer 4

If what the IRS is taking is for back taxes then you cannot deduct it at the federal level. However, if you itemize on your state return then it is a deductible item in the year in which you lose it (have it taken).

Answer 5

you can take this off because look at it as if you are paying income tax like everyone else, you willl get some of that money back but not all of it

Answer 6

no