2017 state tax refunds and AMT
Can I still get 2017 refund?
You had until May 17, 2021 to file and claim these refunds. Unfortunately, it is now too late to claim a refund for a 2017 IRS and/or state tax return and you may have missed out on a refund that was due to you! Still, it is recommended to file the return regardless.
What is refunds received for state local tax returns?
A refund of state or local income tax paid may in total or part be considered income in the year that it is received, provided the taxpayer claimed the taxes paid as an itemized deduction on the prior year return.
Does a tax refund count as income?
A federal tax refund is not entered on a federal tax return so it is not income. A state tax refund can be considered income on a federal tax return if you itemized deductions in the year of the tax refund.
What is taxable refunds of state and local taxes?
In general, state and local income tax refunds are taxable if the refunded tax was deducted in a prior year and you received a tax benefit from the deduction. Refunds are partially taxable if your itemized deductions last year exceeded your standard deduction by less than the amount of the refund.
Can I still file my 2017 taxes electronically in 2020?
Answer: Yes, electronically filed tax returns are accepted until November.
What is the last day to file 2017 taxes to get a refund?
May 17, 2021
The three-year window of opportunity to claim a 2017 tax refund closes May 17, 2021, for most taxpayers. If they do not file a tax return by May 17, the money becomes the property of the U.S. Treasury.
Are state tax refunds taxable on federal return?
If you chose general sales taxes, none of your refund is taxable. If you chose state and local income taxes, your state refund is taxable. However, it’s only taxable to the extent that it’s more than the refund you would have received by choosing the larger refund from these: Standard deduction.
What is the state and local income tax refund worksheet?
The State Tax Refund worksheet is used to determine how much (if any) of your previous year(s) State Tax Refund is included in taxable income for the current tax year.
What is state tax refund worksheet item Q Line 2?
State Tax Refund item Q Line 2 is your refund received in 2020 for state or local taxes paid. Your state or local tax refund is not taxable if you did not itemize your deductions in prior years. On the contrary, the refund would be taxable if you got a tax benefit for the deduction in a prior year.
Are state refunds taxable if you don’t itemize?
For instance, if you didn’t itemize your deductions last year and instead you took the standard deduction, then your state tax refund from the previous year is tax-free this year.
What determines your tax refund?
Your refund is determined by comparing your total income tax to the amount that was withheld for federal income tax. Assuming that the amount withheld for federal income tax was greater than your income tax for the year, you will receive a refund for the difference.
Why is my state refund higher than federal?
If your state refund is taking longer to arrive than your federal refund, remember that each state has its own processing protocols and security measures, some of which may require more time than the federal process.
Which tax return is bigger state or federal?
State income tax vs.
State income taxes are lower than federal income taxes.
Do you get more tax return from state or federal?
In 2018, the latest available data, the average refund across the board was about $3,660, according to the study. However, taxpayers in about 13 U.S. states saw average refunds higher than the national amount, while those in 37 states were cut smaller checks by the IRS.
What is the largest tax refund you can get?
There’s no limit on the amount your tax refund can be. However, in some cases, high-value tax refunds may be sent as a paper check instead of a direct deposit. The IRS doesn’t publish the threshold for when a check is issued instead of a direct deposit, but it does limit direct deposits to three deposits per account.
Will I get a tax refund if I made less than $10000?
If you earn less than $10,000 per year, you don’t have to file a tax return. However, you won’t receive an Earned-Income Tax Credit refund unless you do file.
How can I get $5000 back in taxes?
The IRS says if you adopted a child, had a baby, or became a legal guardian, you might be able to add $5,000 in your refund due to two new tax credits as part of the $1.9 trillion aid package President Joe Biden signed into law in 2021.
Is it better to claim 1 or 0?
By placing a “0” on line 5, you are indicating that you want the most amount of tax taken out of your pay each pay period. If you wish to claim 1 for yourself instead, then less tax is taken out of your pay each pay period. 2. You can choose to have no taxes taken out of your tax and claim Exemption (see Example 2).
Why do I owe so much in taxes if I claim 0?
You should not claim too many allowances, or you might end up having to pay the IRS. Claiming 0 allowances means that too much money will be withheld by the IRS. The allowances you can claim vary from situation to situation.
Can I claim myself as a dependent?
As long as you qualify, you yourself can be claimed as a dependent, even if you paid your own taxes and filed a tax return. But dependents can’t claim someone else as a dependent.
Why do I owe taxes after claiming 1?
Claiming 1 reduces the amount of taxes that are withheld, which means you will get more money each paycheck instead of waiting until your tax refund. You could also still get a small refund while having a larger paycheck if you claim 1.
Why do I owe state taxes?
If you paid too little in withholding then you may owe additional tax. If you live in a state that assesses income tax, then you’ll need to file a state return along with your federal return. This return determines what you owe in state income taxes, based on your income and which tax deductions or credits you claim.
Why do I owe taxes this year when nothing changed?
If you were overpaid, the IRS says it’s likely you may owe money back. Payments in 2021 were based on previous years’ returns, so some situations — like an increase in income during 2021 or a child aging out of the benefit — might lower the amount owed to the taxpayer.
Is it better to owe taxes or get a refund?
Underestimating your tax burden and not having enough money withheld from your paycheck will cause you to owe the IRS. Nobody likes to owe taxes, but sometimes it actually is the best tax strategy. “In most cases it’s better to owe than to receive a refund,” says Enrolled Agent Steven J. Weil, Ph.
How much should I get back in taxes if I made 85000?
If you make $85,000 a year living in the region of California, USA, you will be taxed $24,276. That means that your net pay will be $60,724 per year, or $5,060 per month. Your average tax rate is 28.6% and your marginal tax rate is 41.1%.
How much do you get in tax returns if you make 100k?
If you make $100,000 a year living in the region of California, USA, you will be taxed $30,460. That means that your net pay will be $69,540 per year, or $5,795 per month. Your average tax rate is 30.5% and your marginal tax rate is 43.1%.