0
that's why it's taxable yes it is based on the wages you make throughout the year and the taxes they take out of your check for example state and local taxes are taken out of checks The above may be a bit misleading: YES the FIT you pay is determined ultimately by the taxable income calculation, minus tax credits available. Taxable income, like ALL income, is many, many more things than your wages (if any) - interest, investments, self employment, etc all count, and the amount you pay has nothing to do with the amount of estimated payments or wittholding that was done through the year. Your GROSS income or wages are virtually never all taxable, with many changes and deductions determining not just if, but when that income is ever included. Your tax is also based on your filing status (single, married filing jointly, etc.) and the type of income. For example, the tax rate on qualified dividends is different than the tax rate on non-qualified dividends even if the taxable amounts are the same.
Wiki User
∙ 14y ago
Add your answer:
Earn +20 pts
If you paid 765 dollars this year in federal tax payments that were owed for a previous year is this your deductible?
Federal taxes paid or payable, (even if paid in the current year), aren't deductible in calculating your federal taxable income. State income tax payments may be deductible in determining your federal tax taxable income. And refunds received of a prior years State income tax may therefore be included in the current years federal taxable income.
Is there a Federal deduction for state back tax payments?
State income taxes are deductible from Federal taxable income in the year they are paid, regardless of when they were due.
Does Federal Income Tax get deducted from bonuses?
Sure...you can call income from your employer anything you want, (and it doesn't matter if you get paid by say, having the use of a car or house), it is income and taxable.
What is the best definition of taxable income?
For Federal income tax purposes, taxable income is the portion of a taxpayer's gross income on which his regular income tax liability (before payments and credits) for the year is based. Income from any given source is taxable, unless the Code specifically says it isn't taxable. Calculation: Taxable income starts with gross income, which according to the US Internal Revenue Code, is all income from whatever source derived. Gross income is then reduced by certain adjustments allowed by the IRS (e.g. for student loan interest, alimony paid, and 10 or so other specific items) to get adjusted gross income. Adjusted gross income is then reduced by exemptions (both personal and for any dependents) and itemized deductions (or the standard deduction) to arrive at taxable income.
Is income from a garnishment taxable?
Income from a garnishment is just as taxable as the same income would be if the person had paid the bill in the first place without the need for garnishment.
If you paid 765 dollars this year in federal tax payments that were owed for a previous year is this your deductible?
Federal taxes paid or payable, (even if paid in the current year), aren't deductible in calculating your federal taxable income. State income tax payments may be deductible in determining your federal tax taxable income. And refunds received of a prior years State income tax may therefore be included in the current years federal taxable income.
Is there a Federal deduction for state back tax payments?
State income taxes are deductible from Federal taxable income in the year they are paid, regardless of when they were due.
Is disability income taxable?
Determining if the benefits are taxable depend supon whether the premiums were paid before or after taxes. If before taxes, the disability income you receive is taxable. If youpremiums were paid after taxation, the disability income benefits you receive are not taxable.
Is disability insurance taxable income?
Determining if the benefits are taxable depend supon whether the premiums were paid before or after taxes. If before taxes, the disability income you receive is taxable. If youpremiums were paid after taxation, the disability income benefits you receive are not taxable.
Does Federal Income Tax get deducted from bonuses?
Sure...you can call income from your employer anything you want, (and it doesn't matter if you get paid by say, having the use of a car or house), it is income and taxable.
What is the difference in taxable income and nontaxable income?
Taxable income is stuff that you paid for that will benefit you for your job or business. Nontaxable income is income that isn't necessary to needing it to be taxed.
Is disability income treated as part of gross income?
Basically, to the degree that you paid for the premium of the policy, that income is not taxable. If it was all paid for by your employer, as virtually all public programs are, then the payment is taxable.
Why are teaspoon loans reported as taxable income?
A tsp loan is not taxable income unless: 1 you default on the loan, 2 you miss a payment, 3 you retire or leave the federal service before the balance is paid off. In any of the scenarios above it is only the unpaid balance that is taxable.
What is the best definition of taxable income?
For Federal income tax purposes, taxable income is the portion of a taxpayer's gross income on which his regular income tax liability (before payments and credits) for the year is based. Income from any given source is taxable, unless the Code specifically says it isn't taxable. Calculation: Taxable income starts with gross income, which according to the US Internal Revenue Code, is all income from whatever source derived. Gross income is then reduced by certain adjustments allowed by the IRS (e.g. for student loan interest, alimony paid, and 10 or so other specific items) to get adjusted gross income. Adjusted gross income is then reduced by exemptions (both personal and for any dependents) and itemized deductions (or the standard deduction) to arrive at taxable income.
What are the implications of reported income?
U will see whether it is taxable or below taxable limit. As long it is beyond taxable limit, u will have to pay tax on taxable income on prescribed rates. If all the income is below taxable limit, no tax to be paid
Is long term disability income taxable?
It depends on how the premiums for the long-term disability policy are paid. If the premiums are paid with pre-tax dollars (such as through an employer-sponsored plan), then the benefits are generally taxable. However, if you pay the premiums with after-tax dollars, then the benefits are usually not taxable.
Is income from a garnishment taxable?
Income from a garnishment is just as taxable as the same income would be if the person had paid the bill in the first place without the need for garnishment.
