What's new
By:

Tax Halp!!!

Gameface said:
I really feel like these folks basically just fill out their own version of TurboTax for you while you sit there.
Click to expand...
Agreed 100%.
That's why I usually just do them myself.

Sent from my ONEPLUS A6013 using JazzFanz mobile app
 
Gameface said:
I really feel like these folks basically just fill out their own version of TurboTax for you while you sit there.
Click to expand...
Most have like 3 weeks of training... the idea is the software does the work... which for the most part it does.
 
fishonjazz said:
Yes there is but my insurance provider doesn't even allow me set up my deposits for more than that limit.
I only put like 2,000 dollars into my HSA last year.

I really think that the issue I'm having is a software issue. Which means I might have to go have my taxes done again somewhere else and pay to get my taxes done twice or something.

Sent from my ONEPLUS A6013 using JazzFanz mobile app
Click to expand...

Im sure Ms Serp would do them free for you. Would only take like 15 minutes. Lemme know if you’re interested.
 
fishonjazz said:
So I was doing my taxes myself online (only 1 W-2 and i dont have anything to itemize so my taxes are easy to do) and things were going fine until I was asked to enter my 1099-SA information (this is for my HSA) and then after I entered that info my refund plummeted by like 1,000 bucks. HSA is tax free and shouldn't hurt my tax situation in any way as far as I understand it so I stopped and decided to go to a professional.
Well the same thing happened when the pro did my taxes. Right when he entered the HSA information my refund decreased by like 1,000 dollars. Well I had to run home and get a medical bill as proof that my daughter is my dependent and while I was home I decided to use the google to look into this HSA stuff. Google confirmed what I already believed. On my 1099-SA form in box 3 (distribution code) I have a 1. A 1 in that box indicates normal TAX FREE distributions were made from my HSA.

From google: As needed you can take tax-free distributions from your account to pay for qualified medical expenses of the account of a beneficiary or the beneficiaries spouse or dependents. You will receive a 1099-SA form that shows the total amount of your annual distributions reported in box 1. Provided you only use the funds to pay qualified medical expenses, box 3 should show the distribution code No. 1, which indicates normal TAX FREE distributions.

So I told my tax guy to leave that HSA info out of my taxes because im not supposed to be taxed for those distributions since its all non taxable income and he said he would do that but he wrote up a legal document and made me sign it saying that he wanted to include info from that form in my taxes but I told him not to so that the IRS couldn't come after him.

So I feel like if I file my taxes without that 1099-SA info I will be committing tax fraud, which I dont want to do, but if I include that info then I get taxed on non taxable HSA use which I feel is tax fraud against me.

What the heck is going on and what should I do
Click to expand...

fishonjazz said:
So I was doing my taxes myself online (only 1 W-2 and i dont have anything to itemize so my taxes are easy to do) and things were going fine until I was asked to enter my 1099-SA information (this is for my HSA) and then after I entered that info my refund plummeted by like 1,000 bucks. HSA is tax free and shouldn't hurt my tax situation in any way as far as I understand it so I stopped and decided to go to a professional.
Well the same thing happened when the pro did my taxes. Right when he entered the HSA information my refund decreased by like 1,000 dollars. Well I had to run home and get a medical bill as proof that my daughter is my dependent and while I was home I decided to use the google to look into this HSA stuff. Google confirmed what I already believed. On my 1099-SA form in box 3 (distribution code) I have a 1. A 1 in that box indicates normal TAX FREE distributions were made from my HSA.

From google: As needed you can take tax-free distributions from your account to pay for qualified medical expenses of the account of a beneficiary or the beneficiaries spouse or dependents. You will receive a 1099-SA form that shows the total amount of your annual distributions reported in box 1. Provided you only use the funds to pay qualified medical expenses, box 3 should show the distribution code No. 1, which indicates normal TAX FREE distributions.

So I told my tax guy to leave that HSA info out of my taxes because im not supposed to be taxed for those distributions since its all non taxable income and he said he would do that but he wrote up a legal document and made me sign it saying that he wanted to include info from that form in my taxes but I told him not to so that the IRS couldn't come after him.

So I feel like if I file my taxes without that 1099-SA info I will be committing tax fraud, which I dont want to do, but if I include that info then I get taxed on non taxable HSA use which I feel is tax fraud against me.

What the heck is going on and what should I do about this?
Click to expand...
What line are u reporting 1099-SA? There isn't a specific one on the 1040, and no mention of 1099-SA in the 111 page instructions.

Make sure you fill out Form 8889 documenting. Follow the instructions to carry over to Schedule 1 additional income, then take that over to your 1040. The distributions and credits should cancel out to show no additional income.

Not sure why a tax pro couldnt figure this out. It took me ten minutes of looking over the forms.
 
Also, google free fillable forms. The IRS directs you to free tax places if you are under the income threshold, but also has a self serve program for those over or who want to do their own. I've used the latter the past two years and have been satisfied. They have a do the math button for each form, and the necessary numbers have carried from form to form correctly. Cuts down on transcribing errors. In this case, you would use the add button on the 1040 to add a Schedule 1, add on that form to get 8889, then the numbers would be added from Form 8889 to S1 to 1040 for you.
 
idestroyedthetoilet said:
Also, google free fillable forms. The IRS directs you to free tax places if you are under the income threshold, but also has a self serve program for those over or who want to do their own. I've used the latter the past two years and have been satisfied. They have a do the math button for each form, and the necessary numbers have carried from form to form correctly. Cuts down on transcribing errors. In this case, you would use the add button on the 1040 to add a Schedule 1, add on that form to get 8889, then the numbers would be added from Form 8889 to S1 to 1040 for you.
Click to expand...
I have had a lot of of luck with TaxAct. I tried TurboTax and others but TaxAct seems to cover the bases of helpful and ease of use, even when my wife had 3 weird income streams with different uses of a home office (state licensed child care, and 2 contractor-type jobs).
 
idestroyedthetoilet said:
I'm annoyed by this. You should demand a refund from that accountant.
Click to expand...
Me wife and I have floated that idea. I'm not typically very confrontational about things like that though. I tend to just usually say **** it and move on.

I'm still considering going back there and asking for a refund though.

Sent from my ONEPLUS A6013 using JazzFanz mobile app
 
You must log in or register to reply here.

Share this page
Back
Top