Tax time

[Jstpssng]

I never could understand the value of a big tax refund... why write an interest free loan to the government? I try to keep mine as little as possible every year, and usually end up writing a check for a token amount. This year we got a 3 month reprieve. Funny thing, I've never heard a thing said about the deadline which ended today. I finally mailed mine in, walking it directly into the post office to ensure that it has today's post mark.

Hopefully I didn't misunderstand, or I'll be paying a minor amount of interest and penalties.

 

[Alan W.]

I never could understand the value of a big tax refund... why write an interest free loan to the government? I try to keep mine as little as possible every year, and usually end up writing a check for a token amount. This year we got a 3 month reprieve. Funny thing, I've never heard a thing said about the deadline which ended today. I finally mailed mine in, walking it directly into the post office to ensure that it has today's post mark.

Hopefully I didn't misunderstand, or I'll be paying a minor amount of interest and penalties.

Its was usually the other way around with us.
It has been our goal to make it as close to break even as possible.

 

[bigtiller]

I sent a pretty big check to them last Monday. I wanted to make sure it was in their hands before the 15th to avoid any chance of a penalty.

It made me smile knowing I was collecting interest for an extra 3 months on my tax bill. :dance1:

 

[4570Man]

I sent a pretty big check to them last Monday. I wanted to make sure it was in their hands before the 15th to avoid any chance of a penalty.

It made me smile knowing I was collecting interest for an extra 3 months on my tax bill. :dance1:

It makes me smile driving my truck with expired tags that are forgiven until August. I’m sure they’ll start the stamp back to March or whenever it expired but it makes me feel good for a little while.

 

[Howling]

I never could understand the value of a big tax refund... why write an interest free loan to the government? I try to keep mine as little as possible every year, and usually end up writing a check for a token amount. This year we got a 3 month reprieve. Funny thing, I've never heard a thing said about the deadline which ended today. I finally mailed mine in, walking it directly into the post office to ensure that it has today's post mark.

Hopefully I didn't misunderstand, or I'll be paying a minor amount of interest and penalties.

Big tax refund is saving account for those without the discipline to put money aside from each paycheck.

I sent checks to the IRS and state last week. To avoid the IRS penalty withholding has be at least 90% of this years or 100% of previous years taxes. The IRS did lower the 90% to 80 or 85% for 2019 taxes.

Knew a guy in 80/90's that had little or nothing withheld for most of year. Then 100% of December checks withheld.

 

[KennyG]

While working I usually managed the tax situation to have minimal refunds or pay just a little. Since retirement it has become surprisingly complicated. I never know just how large my investment income is going to be and when I will find it prudent to move money around and pick up capital gains. As a result, I have been hit with some pretty significant underpayment penalties. I make estimated payments based on the previous years return but "history is not an indicator of future performance."