to one baby. day care cost $500/ month. do u think that if i claimed exempt i coudl do without owing at the end of the year. u know once u add the child care tax credit and earned income credit ? my income isnt SUPER high.
2007-05-20 16:38:05 · 4 answers · asked by Anonymous in Business & Finance ➔ Taxes ➔ United States
No offense to the first answerer but i need to have the taxes witheld so i can afford my monthly day care cost. otherwise im going to wind up quitting my job and go on welfare. the pacyehck just wont cover everything with taxes being witheld.
2007-05-20 17:25:49 · update #1
With your standard deduction and personal exemptions your taxable income will be reduced to something like $7800 on which the tax would be $785 but your child care credit will reduce that to zero even before you get to child tax credit. Of the refundable credits you will get EIC of about $1600 and some of the $1,000 Additional Child tax Credit (I can't do the calculation for that one in my head). So reducing your allowances to have zero withholding will be just fine. The only caution is an event in which your income increases you will need to reconsider the approach.
2007-05-21 04:11:17 · answer #1 · answered by ? 6 · 0⤊ 0⤋
After reading your comments,i do agree that mothers single at that, have it generally from society a raw deal,but what makes it difficult to an an swear is you have said: a definite portion of society:the most portion of society work this is about single mothers and they need help SUPPORT and understanding .I think a some of the blame can be placed back to the iron lady's times and the influence she created which unfortunately has even grown even more to fuel people to anger in some cases hate its a subject open to so many debates but that doesn't help the here and now ,and as will all know there,s a,lot of contempt ,what a sad world
2016-05-22 15:42:40 · answer #2 · answered by ? 2 · 0⤊ 0⤋
Why not just pay taxes as you go and then be happily surprised by the refund you get? I, too, am a single mother and that's what I do. It never fails...there is always some unexpected cost that comes up around refund time and I wouldn't be able to pay if I had not had that extra money. It's always better to get money back than to have to pay for something unexpected!! Don't you think?
2007-05-20 16:48:24 · answer #3 · answered by aliciarhae 1 · 0⤊ 0⤋
Actually, the $1000 child tax credit will probably wipe out any tax you'd owe, so the child care credit probably won't even apply. Then you'll get about $1600 EIC. So you shouldn't owe anything even if you claim exempt, and would still get money back due to EIC.
Good luck.
2007-05-20 16:54:08 · answer #4 · answered by Judy 7 · 1⤊ 0⤋
Judy is correct you should be OK
2007-05-20 18:14:58 · answer #5 · answered by Eric R 3 · 0⤊ 0⤋