I always procrastinate. For a few years, when Alternative Minimum Tax kicked in, I hired someone to do taxes. Honestly, I'm too cheap to do that for very long. And the cost just kept going up! So I went back to TurboTax.
This year (well, 2013) I hope to file in Hawaii rather than Oregon. It will save me $2,000 in property taxes. Residents (who file Hawaii taxes) get a $300,000 exclusion in property value. Last year I did live there for 11 months. Now I have to look into the ramifications of doing this ... must I live there for six months and one day to qualify? Will it change where I vote? The tax rate is about the same for both states.
Stay tuned. Did I say I hate doing taxes??
I am just the opposite. I like getting my taxes done early and by a professional CPA. I hope he outlives me! I haven't done my own taxes since the 70s. I hope you don't get much of a shock from losing your husband last year---tax wise. I sure did and it wasn't a good shock and as a result I've had to start getting more money taken out from my pension so I don't have to pay the IRS next year which cuts down my monthly income now.
ReplyDeleteGood for me that opposites attract! Can I ask how much you pay to get taxes done? My guy was charging WAY too much ... in my opinion.
DeleteWe had four months of SS and a small pension. Since May 2013, nothing coming in. I'm hopeful that I can claim "married filing jointly" for 2013.
Yeah....I had a big tax shock as I lost my oldest daughter as a dependent AND I had a death in the middle of the year. I hope next year is better!
ReplyDeleteOh yuck. Double whammy. This will be interesting, I'm sure. I don't have his documentation from SS and IRA distributions ... I've already asked for them but my oh my do they make it difficult.
DeleteYou're really savvy - planning which state to live in the bulk of the year. And braver than I. More organized and methodical, too? I did use Turbo Tax one year, and much to my surprise never heard a peep from the IRS. Evidently I did fine, but I fretted so much about it was better to pay an accountant rather than a therapist to soothe my soul.
ReplyDeleteThe IRS is pretty comfortable with Turbo Tax I think. I'm seeing a therapist (after lecture from the DR) tomorrow so I will get soothed in many ways, I hope.
DeleteI really don't know how a therapist will "help" if I don't feel like I'm having any issues? First time with Dr. Gloria ... stay tuned!
While taxes might vary for different states, the idea of doing taxes can be quite stressful no matter what the case. It must've been nice that you had a smaller tax when in Hawaii – unlike in Oregon. But then again, it could have been affected by other factors besides your current residence. Anyway, thanks for sharing this with us. All the best!
ReplyDeleteWanda Hanson @ Tax Tiger