Search found 4703 matches

by kaneohe
Wed Feb 28, 2018 12:31 pm
Forum: Personal Finance (Not Investing)
Topic: Turbo Tax computing AMT
Replies: 4
Views: 456

Re: Turbo Tax computing AMT

Do you have QDIV/LTCG income that is taxed at lower rates?
by kaneohe
Wed Feb 28, 2018 12:03 pm
Forum: Personal Finance (Not Investing)
Topic: 2018 Estimated Tax - form not available?
Replies: 17
Views: 1185

Re: 2018 Estimated Tax - form not available?

The people at IRS who are processing the forms don't always pay attention, or they pay attention to the wrong things. Remember, this isn't someone sitting at a desk leisurely perusing every piece of paper they get -their job is more akin to working on an assembly line. Give them the info ONLY in th...
by kaneohe
Wed Feb 28, 2018 8:52 am
Forum: Personal Finance (Not Investing)
Topic: 2018 Estimated Tax - form not available?
Replies: 17
Views: 1185

Re: 2018 Estimated Tax - form not available?

If you send that payment on a 2017 form, you can prepare yourself for a paperwork blizzard after IRS gets it misapplied in their system. Either use the 4868 or sign up for EFTPS, as others have already wisely advised. Making an estimated tax payment on a prior-year form will accomplish exactly the ...
by kaneohe
Tue Feb 27, 2018 11:39 pm
Forum: Personal Finance (Not Investing)
Topic: Best Available 2018 tax estimator
Replies: 21
Views: 3042

Re: Best Available 2018 tax estimator

The HR Block tax calculator produces a 2018 result along w/ 2017. (fed only)
by kaneohe
Tue Feb 27, 2018 8:20 pm
Forum: Personal Finance (Not Investing)
Topic: 2018 Estimated Tax - form not available?
Replies: 17
Views: 1185

Re: 2018 Estimated Tax - form not available?

................................................. My question is can I just use the 2017 1040-ES, cross out 2017 and write in 2018? I just want it recorded that I've paid a certain amount of money to the IRS. ....................................... if you absolutely can't wait for the new form and ...
by kaneohe
Tue Feb 27, 2018 12:30 am
Forum: Personal Finance (Not Investing)
Topic: Missed 1099-R on taxes
Replies: 19
Views: 1613

Re: Missed 1099-R on taxes

How much do you think it will cost to process your amended return? Seems not a cost-efficient thing to do . I'd be inclined to let it ride.
by kaneohe
Mon Feb 26, 2018 7:03 pm
Forum: Personal Finance (Not Investing)
Topic: Paying estimated taxes for MRD
Replies: 8
Views: 720

Re: Paying estimated taxes for MRD

The default assumption is that your earnings are distributed evenly during the yr so if you pay accordingly, you should be ok.......that is pay 4 equal installments at the appropriate times. Yet I already “constructively received” the entire MRD in January. Does that default assumption apply? I bel...
by kaneohe
Mon Feb 26, 2018 3:55 pm
Forum: Personal Finance (Not Investing)
Topic: Tax question: Foreign Tax Credit
Replies: 33
Views: 3041

Re: Tax question: Foreign Tax Credit

Can't you switch methods each yr ? Use 1116 to save unusable FT credits and don't use it if it is better to just do the simplified method. Of course you will need to use 1116 to make use of saved credits which means getting your US tax rate higher than the foreign tax rate. I assume if you choose t...
by kaneohe
Mon Feb 26, 2018 3:40 pm
Forum: Personal Finance (Not Investing)
Topic: Paying estimated taxes for MRD
Replies: 8
Views: 720

Re: Paying estimated taxes for MRD

The default assumption is that your earnings are distributed evenly during the yr so if you pay accordingly, you should be ok.......that is pay 4 equal installments at the appropriate times.
by kaneohe
Mon Feb 26, 2018 1:53 pm
Forum: Personal Finance (Not Investing)
Topic: Tax question: Foreign Tax Credit
Replies: 33
Views: 3041

Re: Tax question: Foreign Tax Credit

Can't you switch methods each yr ? Use 1116 to save unusable FT credits and don't use it if it is better to just do the simplified method.
Of course you will need to use 1116 to make use of saved credits which means getting your US tax rate higher than the foreign tax rate.
by kaneohe
Mon Feb 26, 2018 9:39 am
Forum: Personal Finance (Not Investing)
Topic: Section 4797 Loss Carryover? Tax confusion
Replies: 3
Views: 363

Re: Section 4797 Loss Carryover? Tax confusion

https://www.nolo.com/legal-encyclopedia/tax-deduction-if-selling-rental-property-loss.html https://www.irs.gov/faqs/sale-or-trade-of-business-depreciation-rentals/sales-trades-exchanges/sales-trades-exchanges-1 Looks like it is an ordinary loss, not capital............learned something myself.....s...
by kaneohe
Sun Feb 25, 2018 8:14 pm
Forum: Personal Finance (Not Investing)
Topic: Section 4797 Loss Carryover? Tax confusion
Replies: 3
Views: 363

Re: Section 4797 Loss Carryover? Tax confusion

I don't know the answer but if you were supposed to use the loss immediately (and not capital loss) your time for amending past returns may be ending soon. Which lines of the 4797 for 2014 were filled out and where does it direct you to enter the loss?
by kaneohe
Sun Feb 25, 2018 4:49 pm
Forum: Investing - Theory, News & General
Topic: ROTH conversion taxation
Replies: 2
Views: 353

Re: ROTH conversion taxation

use F8606 to figure out what happens. Since 99% is pre-tax initially, only 1% of basis is used up the first yr, so most of basis remains from first yr. The basis is nearly double the 2nd yr, and the total has increased only a little, so roughly 2% is non-taxable, and 98% is taxable. Going thru the f...
by kaneohe
Sat Feb 24, 2018 6:52 pm
Forum: Investing - Help with Personal Investments
Topic: traditional TRA to roth conversion
Replies: 11
Views: 781

Re: traditional TRA to roth conversion

You tell IRS that the conversion to Roth is free (assuming you have no TIRAs w/ deductible contributions) by filing F8606 to declare the non-deductible contribution, not taking the deduction on the 1040, and then filling out a later section of F8606 to declare the conversion, and then the taxable am...
by kaneohe
Sat Feb 24, 2018 9:57 am
Forum: Investing - Help with Personal Investments
Topic: traditional TRA to roth conversion
Replies: 11
Views: 781

Re: traditional TRA to roth conversion

Do you have other TIRAs w/ deductible contributions? Are you taking a deduction for this contribution? I know you said you funded it with after tax dollars but sometimes folks use terms differently.
by kaneohe
Sat Feb 24, 2018 9:52 am
Forum: Personal Finance (Not Investing)
Topic: AMT Question - using H&R Block online
Replies: 3
Views: 324

Re: AMT Question - using H&R Block online

Rough numbers in the HR Block tax calculator showed 3K in AMT. You can play around w/ the variables of income, state income tax, mortgage interest, property tax and map out a region that caused the AMT. I reduced income by 30K and still got a 1K AMT.........I don't know what you used for state incom...
by kaneohe
Wed Feb 21, 2018 10:20 am
Forum: Investing - Help with Personal Investments
Topic: Average cost basis to shift gains between lots?
Replies: 1
Views: 151

Re: Average cost basis to shift gains between lots?

Dual category averaging (long term & short term) used to be allowed but since the new cost basis method arrived, only single category is allowed which means all your shares probably will be averaged together. Also since the order of sale for averaged shares is considered FIFO, that means that the ol...
by kaneohe
Tue Feb 20, 2018 9:30 am
Forum: Investing - Theory, News & General
Topic: Cap Gain Tax Q 2018 tax year
Replies: 4
Views: 461

Re: Cap Gain Tax Q 2018 tax year

viewtopic.php?t=86849

check out the stacked bar chart by tfb on 12/11/11 and the adjacent discussion to understand how this stuff works. Topic is about Qualified dividends but also pertains to LTCG.
by kaneohe
Thu Feb 15, 2018 9:32 am
Forum: Personal Finance (Not Investing)
Topic: Need help with Schedule D
Replies: 14
Views: 839

Re: Need help with Schedule D

was afraid you were going to ask that :happy not sure what the right answer is but I am sure that it is ok to do 8949 for both parts and then transfer to Sch D (the long way). I don't know if doing it halfway (part directly to 1A and the rest indirectly to 8B/9) will confuse IRS but it seems to me t...
by kaneohe
Thu Feb 15, 2018 9:10 am
Forum: Personal Finance (Not Investing)
Topic: Need help with Schedule D
Replies: 14
Views: 839

Re: Need help with Schedule D

Your instincts are correct Instructions for 8a: 8a Totals for all long-term transactions reported on Form 1099-B for which basis was reported to the IRS and for which you have no adjustments (see instructions). However, if you choose to report all these transactions on Form 8949, leave this line bla...
by kaneohe
Tue Feb 13, 2018 9:51 am
Forum: Personal Finance (Not Investing)
Topic: Question for TaxAide Volunteers
Replies: 10
Views: 887

Re: Question for TaxAide Volunteers

Just want to say that you all are good people and should be commended for volunteering!!! I have thought that I might be interested in doing that as well, but I am no tax expert, just a person who has been doing his own taxes for years and once passed the CPA exam. Anyone care to share some details...
by kaneohe
Tue Feb 13, 2018 1:43 am
Forum: Personal Finance (Not Investing)
Topic: Schedule B Interest Question
Replies: 14
Views: 1183

Re: Schedule B Interest Question

FiveK and kaneohe, thanks! Either way is fine. IRS is only concerned w/ the total. Might to useful tho to list as separate items to remind you that they are treated differently for state. If the IRS is only concerned with the total, what happens when you include a negative entry for accrued interes...
by kaneohe
Mon Feb 12, 2018 10:03 pm
Forum: Personal Finance (Not Investing)
Topic: Schedule B Interest Question
Replies: 14
Views: 1183

Re: Schedule B Interest Question

Either way is fine. IRS is only concerned w/ the total. Might to useful tho to list as separate items to remind you that they are treated differently for state.
by kaneohe
Mon Feb 12, 2018 6:32 pm
Forum: Personal Finance (Not Investing)
Topic: Question for TaxAide Volunteers
Replies: 10
Views: 887

Re: Question for TaxAide Volunteers

I had a person from another nearby site on Thurs. No carryover data.........used it as my excuse why I was so slow since I had to type in all that junk.
by kaneohe
Sun Feb 11, 2018 10:00 pm
Forum: Personal Finance (Not Investing)
Topic: How to file 1099-R to trust from inherited Roth IRA
Replies: 7
Views: 365

Re: How to file 1099-R to trust from inherited Roth IRA

don't know about TT Biz ...........typically 1099Rs from IRAs are entered on line 15a/b . Don't know how you get it there from TT but seems like there should be an IRA section. I think that is for form 1040. That does not seem to line up with form 1041 for trusts. I don't immediately see a place fo...
by kaneohe
Sun Feb 11, 2018 8:48 pm
Forum: Personal Finance (Not Investing)
Topic: How to file 1099-R to trust from inherited Roth IRA
Replies: 7
Views: 365

Re: How to file 1099-R to trust from inherited Roth IRA

don't know about TT Biz ...........typically 1099Rs from IRAs are entered on line 15a/b . Don't know how you get it there from TT but seems like there should be an IRA section.
by kaneohe
Sun Feb 11, 2018 7:31 pm
Forum: Personal Finance (Not Investing)
Topic: 2018 taxes and AMT
Replies: 13
Views: 1842

Re: 2018 taxes and AMT

Can anyone translate this for me? What is "phase-out" versus "exemption"? Does this mean that a single person can make up to $500,000 per year before invoking AMT? What happens if this person makes $510,000? Is $10,000 then taxed at 26% additionally? I don't understand the "exemption" threshold, it...
by kaneohe
Sun Feb 11, 2018 5:54 pm
Forum: Personal Finance (Not Investing)
Topic: Determining Correct Federal Income Tax Liability/Withholding
Replies: 9
Views: 956

Re: Determining Correct Federal Income Tax Liability/Withholding

I didn't check your calcs in detail but the methodology looks correct. The easiest way to fix is to change your W4 withholding to take an additional amount that you specify per pay period (line 6, I believe). Then you know exactly what will be withheld rather than fooling around with changing exempt...
by kaneohe
Sun Feb 11, 2018 5:41 pm
Forum: Personal Finance (Not Investing)
Topic: 2018 taxes and AMT
Replies: 13
Views: 1842

Re: 2018 taxes and AMT

thanks for starting this thread, Op. I am also very unclear on AMT changes with the new tax changes. If income is $500,000 and one takes deductions, will there be AMT? My taxes will go up 17k with the new tax reform changes due to losing state tax and limiting property tax deductions, but I paid 19...
by kaneohe
Sun Feb 11, 2018 10:13 am
Forum: Investing - Help with Personal Investments
Topic: Average Cost to SpecID questions: Did Vanguard do this correctly?
Replies: 52
Views: 2056

Re: Average Cost to SpecID questions: Did Vanguard do this correctly?

My impression is that you can change from AVB to specID. However if you have ever sold AVB shares previously, then all shares you own before you make the change, remain AVB. New shares you buy after you make the change become specID. If you had lots you bought for 20/sh, 60/sh, 100/sh with 100 sh/lo...
by kaneohe
Sun Feb 11, 2018 9:54 am
Forum: Personal Finance (Not Investing)
Topic: 2018 taxes and AMT
Replies: 13
Views: 1842

Re: 2018 taxes and AMT

As a general rule, I would say no. For example,for 2017, it is not true. You can use the std deduction and still have AMT. This just means the other method produces a higher tax. For 2018, the exemption is a bit higher and the phaseout income is a lot higher so it will be more difficult to have AMT,...
by kaneohe
Sat Feb 10, 2018 4:17 pm
Forum: Investing - Help with Personal Investments
Topic: Help with Tax Loss Harvesting
Replies: 13
Views: 850

Re: Help with Tax Loss Harvesting

I was also thinking if there was a way that I could basically just use my two funds and move the money from one to the other. I have about the same amount of money allocated to each fund. It would be great if I could just sell intermediate term and harvest the loss, and then immediately invest the ...
by kaneohe
Sat Feb 10, 2018 11:58 am
Forum: Personal Finance (Not Investing)
Topic: 2018 Tax Tables
Replies: 10
Views: 1710

Re: 2018 Tax Tables

For Oldcomputerguy it's the 2018 Table that I'm interested in and for Kaneohe & Jebmke a couple of things : (1) I agree that the tax delta for adjacent $50 income ranges is small but I anticipate an 8K taxable income drop in 2018 and (2) At this point I have no idea how the IRS develops the tables ...
by kaneohe
Fri Feb 09, 2018 8:23 pm
Forum: Personal Finance (Not Investing)
Topic: 2018 Tax Tables
Replies: 10
Views: 1710

Re: 2018 Tax Tables

At the highest income of 100K, the 2017 MFJ table varies $14 for $50 increments in income. In principle the formula runs a curve thru the middle of those points of the table so you should be off by no more than $7 by using the formula for 2018. You don't really need the table until over a yr from no...
by kaneohe
Fri Feb 09, 2018 11:31 am
Forum: Personal Finance (Not Investing)
Topic: Is there a way to figure 2018 taxes?
Replies: 18
Views: 2400

Re: Is there a way to figure 2018 taxes?

You can use this wksht https://apps.irs.gov/app/vita/content/globalmedia/social_security_benefits_worksheet_1040i.pdf to calculate how much of the SS is taxable. Then just input the taxable part of the SS in a tax calculator like Taxcaster or the HR Block calculator to determine the tax. Note: do no...
by kaneohe
Fri Feb 09, 2018 11:14 am
Forum: Investing - Help with Personal Investments
Topic: IRA withdrawals and withholding/underpayment question
Replies: 4
Views: 310

Re: IRA withdrawals and withholding/underpayment question

For whatever reason, IRS treats withholding differently (better) than it treats estimated tax payments. You can see it in the est. tax wksht https://www.irs.gov/pub/irs-pdf/f1040es.pdf where it subtracts out withholdings from your required annual payments before determining your estimated payments d...
by kaneohe
Tue Feb 06, 2018 9:45 am
Forum: Investing - Theory, News & General
Topic: Recharacterization/Conversion rules?
Replies: 4
Views: 329

Re: Recharacterization/Conversion rules?

Yes, I believe you are correct if your MAGI is less than something like 186K. Above that the benefit phases out gradually at 196K , it is gone.
Limits are for 2017 and may change slightly for 2018.
by kaneohe
Sun Feb 04, 2018 11:00 pm
Forum: Investing - Help with Personal Investments
Topic: Confused about tIRA deduction limits for MFJ
Replies: 6
Views: 603

Re: Confused about tIRA deduction limits for MFJ

Since you both have retirement plans I don't see how you could get a different number for each person. You might want to check out this calculator also https://www.schwab.com/public/schwab/investing/retirement_and_planning/understanding_iras/ira_calculators/roth_vs_traditional It seemed to give the...
by kaneohe
Sun Feb 04, 2018 8:08 pm
Forum: Personal Finance (Not Investing)
Topic: Another 8606 thread - IRS transcript shows all zeros
Replies: 15
Views: 1614

Re: Another 8606 thread - IRS transcript shows all zeros

Shouldn't the TAXABLE NONDEDUCTIBLE CONTRIBUTIONS line show 5500? Wouldn't that be line 15 for taxable contributions? I think yours are nondeductible but not taxable. Seems odd that the $5500 doesn't show on the transcript at all though... Line 15 deals w/ the taxable part of distributions and conv...
by kaneohe
Sun Feb 04, 2018 7:16 pm
Forum: Personal Finance (Not Investing)
Topic: IRS penalties for late payment of estimated taxes while under safe harbor?
Replies: 7
Views: 1050

Re: IRS penalties for late payment of estimated taxes while under safe harbor?

....................................... I did not make federal estimated tax payments in 2017. ........................ I won't owe any penalties for underpayment in 2017 as I am covered by the safe harbor. ............................. What do you mean by these statements? Did you pay the safe har...
by kaneohe
Sun Feb 04, 2018 4:38 pm
Forum: Personal Finance (Not Investing)
Topic: Is taxcaster 2018 accurate for AMT?
Replies: 12
Views: 1139

Re: Is taxcaster 2018 accurate for AMT?

...................................................................... Taxcaster suggests no AMT for 2017 and since it seems AMT is less likely in 2018, I would guess no AMT in 2018. ............................................ But are you suggesting I plug in my 2017 information, but cap my SALT p...
by kaneohe
Sun Feb 04, 2018 9:51 am
Forum: Personal Finance (Not Investing)
Topic: Is taxcaster 2018 accurate for AMT?
Replies: 12
Views: 1139

Re: Is taxcaster 2018 accurate for AMT?

Thanks, all. Here's my situation (roughly): $550k W2 income (probably $75k gets taken out pre-tax), ~$5k in long term cap gains, MFJ, will max out SALT deduction, around $25,000 in mortgage interest deduction (perhaps $1-2k will be capped out), $5-10k in charitable contributions. Is the consensus t...
by kaneohe
Sat Feb 03, 2018 11:16 pm
Forum: Investing - Help with Personal Investments
Topic: Confused about tIRA deduction limits for MFJ
Replies: 6
Views: 603

Re: Confused about tIRA deduction limits for MFJ

https://www.irs.gov/pub/irs-pdf/p590a.pdf You might want to check out the wksht on p.17 to see how the calculation goes. Unfortunately the link is for 2016 so you need to change the line 1 number to 119K. Since you both have retirement plans I don't see how you could get a different number for each...
by kaneohe
Fri Feb 02, 2018 2:36 pm
Forum: Personal Finance (Not Investing)
Topic: Is taxcaster 2018 accurate for AMT?
Replies: 12
Views: 1139

Re: Is taxcaster 2018 accurate for AMT?

Try both for your conditions and see the results. They may very well be the same. HRB seems to have a problem w/ the 20% CG rate.
Try inputting 500K CG in both. Different results but if you input 250K, results are the same.
by kaneohe
Thu Feb 01, 2018 12:31 pm
Forum: Personal Finance (Not Investing)
Topic: Understanding allowances on W4
Replies: 12
Views: 1048

Re: Understanding allowances on W4

https://www.irs.gov/pub/irs-pdf/fw4.pdf

There is a more direct way to withhold more..........line 6 of the W4 asks for an additional amt /pay period to be withheld.
Then you don't have worry about what an additional exemption will do.
by kaneohe
Tue Jan 30, 2018 5:26 pm
Forum: Investing - Help with Personal Investments
Topic: Backdoor Roth IRA Tax Question (two rolls in one year)
Replies: 5
Views: 602

Re: Backdoor Roth IRA Tax Question (two rolls in one year)

Your 1099R is as good as it's going to get ..........taxable amount not determined since the bank has no idea of your personal situation. Generally that box should be checked (not determined) most of the time since the bank generally doesn't know if your contributions were deductible or if you rolle...
by kaneohe
Sun Jan 28, 2018 10:16 am
Forum: Personal Finance (Not Investing)
Topic: Safe Harbor Withholding in year following Windfall?
Replies: 7
Views: 728

Re: Safe Harbor Withholding in year following Windfall?

....They will both produce your results based on 2017 rules in some detail and also on the final results page produce a 2018 number without details. If both produce the same 2018 number you might have some confidence in that. You can use the 90% of current yr safe harbor. I have iOS app of TaxCaste...
by kaneohe
Sun Jan 28, 2018 9:31 am
Forum: Personal Finance (Not Investing)
Topic: Safe Harbor Withholding in year following Windfall?
Replies: 7
Views: 728

Re: Safe Harbor Withholding in year following Windfall?

............................................................................. I paid estimated taxes for 2017 with the safe harbors in view. Because my income has now returned to “normal,” 2018 presents a dual challenge: the safe harbor of withholding my taxes owed from 2017 is not practical, and t...