Income tax refund yet

[mptjelgin]

1 hour ago, Barbaraok said:

Exactly.   We never get one because if we do make a small excess in estimated taxes each year, we just roll that rerun into next year's tax payments and recalculate our estimated taxes for the coming year.     

So what you are saying is that when you DO get a refund, you let the gov't borrow it interest-free for a year. 

[DanZemke]

3 hours ago, DKRITTER said:

If you're getting a refund you're doing your taxes wrong. You have to much coming out during the year, your net should be as close to $0.00 as possible.

We appear to live in different (thought) worlds.  Given today's interest rates, the potential loss of return on a small refund is trivial to me.  The refund is for my checking account, not my investment portfolio.

I trust that your advice was meant to be helpful. 🙂

[hemsteadc]

1 hour ago, mptjelgin said:

So what you are saying is that when you DO get a refund, you let the gov't borrow it interest-free for a year. 

What interest?  That used to be an argument years ago, if the refund was large enough.

[Jaydrvr]

14 minutes ago, DanZemke said:

We appear to live in different (thought) worlds.  Given today's interest rates, the potential loss of return on a small refund is trivial to me.  The refund is for my checking account, not my investment portfolio.

I trust that your advice was meant to be helpful. 🙂

The ongoing debate about excess withholding vs owing a balance is clearly a philosophical one and not a financial one, making it pointless to continue a debate on that topic. Jay

Edited March 8, 2021 by Jaydrvr
Typo

[RV_]

Our tax person is in Louisiana but like buying this house online and doing the paperwork to close online in 2019, we are able to do them remotely and we trust her (Retired USAF CMSgt) we had to wait while she checked into our tax break of $4k for buying a Tesla here last year. I thought it was a tax credit that we would not use because we live on our retirement only. But it turned out to be a cash payment! So ours went in last week. Thank you Colorado! But not yet for ours either. In New Orleans they would call that Lagniappe even though it is not a little something extra.

[hemsteadc]

1 hour ago, Jaydrvr said:

The ongoing debate about excess withholding vs owing a balance is clearly a philosophical one and not a financial one, making it pointless to continue a debate on that topic. Jay

X2.  Some people just like getting a refund.  

[DKRITTER]

2 minutes ago, hemsteadc said:

X2.  Some people just like getting a refund.  

I love how the government calls it a refund.  When an individual over pays their (in this case) taxes they are not getting a refund. It is a return of funds you over paid.

If I buy something at a store that's $15.00 and I give then a $20.00 I don't get a $5.00 refund do I? I get my change back.

[hemsteadc]

17 minutes ago, DKRITTER said:

 When an individual over pays their (in this case) taxes they are not getting a refund. It is a return of funds you over paid.

 Duly noted.  If the store held your $20 for a year, you might consider it a refund.

I've never understood why it's called a 'return.'

Edited March 8, 2021 by hemsteadc

[DanZemke]

2 hours ago, agesilaus said:

Well with the current administration you may get to see 10% interest rates again along with 20% inflation

We "may get" is almost always irrefutable.  Real life is all about the odds.  Let's have a little fun. 

I'll give you 5 to 1 odds, on a bet size, of your choosing, up to $1,000.

I'll be betting that the monthly US inflation rate, will not reach 10% , at any time, thru January of 2025. 

How much do you want to bet (put into an escrow account)?

Edited March 8, 2021 by DanZemke
clarity

[Barbaraok]

4 hours ago, mptjelgin said:

So what you are saying is that when you DO get a refund, you let the gov't borrow it interest-free for a year. 

Actually the first quarterly payment is due April 15th, so that’s what any rollover goes to.  So maybe 6 weeks they get to use it interest free.

[RV_]

We got our federal refund this morning a week after we filed. Now we'll see how long Colorado takes to send our incentive return.

[Ray,IN]

On 3/7/2021 at 1:48 PM, Barbaraok said:

Ken, I would be looking for another broker if they can’t get the information out by end of February.  

Yup, we are with Fidelity, we both got our statements in early Feb.

[palmeris]

Fidelity here as well.  They got the qualified accounts done in February but still waiting on the non qualified ones, saying march 15th for those.  

[Pappy Yokum]

On 3/8/2021 at 12:46 PM, DKRITTER said:

I love how the government calls it a refund.  When an individual over pays their (in this case) taxes they are not getting a refund. It is a return of funds you over paid.

If I buy something at a store that's $15.00 and I give then a $20.00 I don't get a $5.00 refund do I? I get my change back.

Call it what you like!

Just put these two words together and you should understand how that agency sees a portion of your $$:

The (and) irs = "theirs"

😉

BTW - filed Feb 25th - electronic "change" in ck account for both State & Fed first week of March.

I try to keep my "change" due as close to zero as possible - break even - with "no owe".....as in "mine".

~

 

Edited March 19, 2021 by Pappy Yokum

[RV_]

I forgot to mention we got our stimulus checks electronically Tuesday. All we are waiting for is the state incentive deposit for buying a Tesla last year.

[steiny93]

On 3/8/2021 at 5:01 PM, Barbaraok said:

Actually the first quarterly payment is due April 15th, so that’s what any rollover goes to.  So maybe 6 weeks they get to use it interest free.

exactly

We try to be within a few thousand one way or another; but it can be quite the math problem some years.  As long as I'm not paying penalties I'm happy; returns can always be leveraged against the first quarterly.