Unanswered Tax Questions

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Frequently Asked Questions

How many children do I have?

2

Asked Sunday, June 18, 2023 by Kristy F.
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Payments and Penalties

Audited, claiming kids

I've claimed all 3 of my children since they were born, the eldest being 6. I complied with the requests for extra documentation and waited. They're now saying I can't claim them or the earned income credit and owe 1,000 + with interest, even though they're just now saying I owe something. I have been waiting since I filed in February and do not understand how they can claim that these children are suddenly not mine.

Asked Saturday, June 17, 2023 by Gage T.
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Payments and Penalties

can a owner of a job take taxes out of paycheck even if they don't have my social security number?

i started working and realized that the owner of the company were i work is taking taxes out of my paycheck, but they don't have my social security number, so is it legal? and what can I do about it?

Asked Saturday, June 17, 2023 by irma G.
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Miscellaneous

Donation

A person wanted to donate $4000.00 from their IRA to my church. At the same time, they wanted the church to give them $2000.00 so they could save on taxes. Is this legal, or is this a form of money laundering?

Asked Friday, June 16, 2023 by John A.
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Bookkeeping & Write-up

Are annual, unpaid interest payments compounded with principal if promissory note language excludes compounding clause?

Interest rates and payments are specified in a promissory note secured by a deed of trust. However, no interest or principal payments have been made and the property is about to be sold. The promissory note lacks a clause that specifies that unpaid interest shall accumulate to principal and compound year-by-year, so need to know if unpaid interest due should be compounded annually or not.

Asked Friday, June 16, 2023 by Alan L.
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Personal Taxes

Selling mutual funds

What tax implications would there be if I sold some mutual funds to get some cash to pay off debt? Is there any way to mitigate the effect on next year's tax return?

Asked Friday, June 16, 2023 by Charles M.
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Credits

Change withholdings to recoup solar credits

My normal withholdings are $6,500.00, the solar credit will be $12,000.00. Can I increase my withholdings from my IMRF retirement by $1,000.00 per month, for 6 months? Will I get all of my solar credit back when filing 2023 tax return?

Asked Friday, June 16, 2023 by Tom S.
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Tax Forms

W4- Married filing jointly

Hi, I was recently married and I switched my filing status from single to MFJ. I was under the impression that when you switch from single to MFJ the amounts that are taken in taxes from my paychecks would go down. But they are the same as my single filing status. Why? Did I fill out the w4 incorrectly? Can someone please help me understand this Thank you 😊

Asked Thursday, June 15, 2023 by Courtney F.
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Tax Filing Tips

Solar tax incentive

I’m trying to understand how installing solar and taking advantage of the 30% tax incentive will affect my return.

Asked Thursday, June 15, 2023 by Christopher C.
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Small Business

Payments received

I'm a local contractor just starting out. Haven't received my contractors license yet. I see other small companies taking on larger jobs than myself. They too do not have licenses. How are they able to receive higher paying jobs and not having to remain under the $500 job requirement. How or what allows me to take in more money without having a license at the moment?

Asked Thursday, June 15, 2023 by Kyle J.
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