Tuesday, February 3, 2009

Another Message I submitted to the whitehouse.gov feedback form.

“Don’t you think it’s odd that two people the President chose have had recent tax problems? Maybe taxation in the United States is too complex, and should be simplified. More specifically, small business taxation seems overly complex, and our new Health and Human Services Department manager, Daschle, can’t even figure it out. Or maybe he didn’t want or care to figure it out to save money…”

Hopefully they will take the hint and think about it. Double standards and unnecessary complexity. Integrity doesn’t seem to be in a politician’s dictionary.

Initial Tax Filing Success!

The taxes I submitted were accepted by the IRS and state. The only return I was not able to e-file was the business IL-1120-ST state return. I don’t expect any issues with that (assuming TurboTax calculated the replacement tax charge properly.). The reason I say initial success is because I assume audits come after-the-fact, so assuming they don’t do that to me, I should be done with taxes for 2008! Seeing as I tried to factor in every little thing, I should not have issues even if they try to audit me (although it will waste my time, and time is money…).

I should be getting back almost one invoice (after estimated taxes) worth of refund money.

Downsides:

– TaxCut (personal) and TurboTax (Business) ended up costing me around $270.
– Illinois business replacement tax exists.
– Wasted money using filetaxes.com for my w-2 when I probably could have used TurboTax business (which I didn’t have at the time). Although, filetaxes.com supports w-2c forms, and TurboTax does not.
– TaxCut advertised that their program would file pass-through business returns, but it does not.

Plus-sides:
– The programs made filing safer and less time consuming (although they still require large amount of background knowledge to use when doing business related taxation).
– I now know how to properly fill out a w-2 form.
– I paid a lot less in Illinois replacement tax than I thought I would. The reason being is that wages to myself don’t count toward the total and I had a few start-up expenses that I was able to write-off (anything under $5000 can be completely written off the first year).
– Overall I should come out in positive money.

Comments are closed.