ehowton (ehowton) wrote,
ehowton
ehowton

TurboTax Will be the Death of Me


Finally found a willing CPA to consult and my tax bill went from 27.9% down to 10.8%. Sure it ended up costing me $300, but I saved nearly $10k.

The CPA stated unequivocally that having used TurboTax herself, it can make many errors - she does not trust it. I don't know about you, but I don't dabble in tax law as a hobby, so all I knew was 27.9% was insane at the bracket I'd wrestled myself into. While she found the offending line item, I researched what had gone so horribly wrong:

W2 Box 12(b) appears as line item 60(c) under Other Taxes, with the code "UT" which is Uncollected Social Security & Medicare Tax on Tips or Group Term Life Insurance. This TOTAL AMOUNT WAS ADDED to my tax bill. Not only was the amount supposed to only be 6.65% of the amount, it was only applicable if reported as codes "A-B,M-N." Mine was listed as code, "D" which is Elective deferrals to a section 401(k) cash or deferred arrangement, which isn't even applicable.

Tags: tax
Subscribe
  • Post a new comment

    Error

    default userpic

    Your IP address will be recorded 

    When you submit the form an invisible reCAPTCHA check will be performed.
    You must follow the Privacy Policy and Google Terms of use.
  • 1 comment