Shutdown may delay IRS refunds for Americans who need them the most

originally posted by: angeldoll
If I remember correctly, I didn't like paying so much at the end of the year.

That's the flip side to getting a large refund, you can pretty accurately determine your Federal taxes to the point where you should owe or be owed very little. Trust me, I have a big brain. The best brain.

originally posted by: AugustusMasonicus Trust me, I have a big brain. The best brain.

It's true.

I've seen it.

It's in a big jar on his desk.

a reply to: AugustusMasonicus

Trust me, I have a big brain.

Me too, but I'm pretty sure it's from swelling, and also not positive.

Even with my impairment though, I can calculate what I will owe even in the future based off of my salary.

I typically do get some back though as I cannot predict how many miles I will drive for work in a year. And seeing as the government put Ms Cleo in jail, there's just no getting around that booger.

originally posted by: DBCowboy

originally posted by: AugustusMasonicus Trust me, I have a big brain. The best brain.

It's true.

I've seen it.

It's in a big jar on his desk.

That was such a sweet kid too.

Oh well, science doesn't dwell on the individual, but the whole. That and Tuesdays at the lodge get a little out of hand sometimes.

dbl

originally posted by: CriticalStinker
I typically do get some back though as I cannot predict how many miles I will drive for work in a year. And seeing as the government put Ms Cleo in jail, there's just no getting around that booger.

That aspect is understandable, I'm also due a refund for something that arose this year which I thought would be resolved via a lawsuit but I wasn't relying on that money.

originally posted by: AugustusMasonicus
a reply to: angeldoll


If someone needs the money why are they giving it to the government for up to 14 months interest free?

I imagine the ones complaining and need their 'refund' the most are the folks who work below poverty level and owe no taxes...but have become dependent on the bonus EIC refund each year.

Many years ago, I was working low wage job as head of household and thought is was a whirlwind win! Then I discovered the ability to do Advanced Earned Income credit....it was added to my salary so each of my paychecks were bigger! I did not have to wait until tax time. (AEICwas estimated based on prior year filing)

Nowadays, it may be different for folks filing below poverty level income taxes? I know the EIC is still there but is the AEIC still available?

Edit add: just found my own answer...yes w-5 AEIC is still available for those qualified.

a reply to: CynConcepts


It appears that on IRS.gov it is still available.

a reply to: AugustusMasonicus
Thank you for such a quick response...I was editing my post when you were responding.

Unlike the last 3 years it will eventually be paid, I'm just wondering when the money that was stolen from me the last 3 years will be paid back to me with interest.

a reply to: FilthyUSMonkey

I know some folks who count on those refunds to pay down bills, get caught up on their mortgages, get their cars fixed before inspection time.

I've never understood this. How bad do you have to be with your money that you know you are letting the government "hold" it until the end of the year, then you have to do paperwork to get it back.

I've explained to so many people they just need to change their deductions and get more through their paycheck.
They said "but then it wouldn't be a like a "bonus". This is seriously the mentality.

The other thing is people who are cheating the system and claiming dead relatives, cats, dogs, other people's children etc

a reply to: JAGStorm

I know several folks who are below the poverty level. I know a family of 5, where the husband works and the wife stays home to raise kids. His W-4 shows 5 dependents (including himself) I have helped him with his taxes in the past. He earns less than $40 k a year. However, he gets federal tax withheld every pay check, along with FICA, state, local, un-insurance, etc. Every year he gets back all of his federal income tax.

Unless he lies on his W-4 and claims more dependents, federal income taxes are deducted from his paycheck each week.

So this guy is in a bind - lie to the federal government on his W-4, or wait for the refund at the end of the year.

What would you do?

a reply to: JAGStorm

I am guilty...I time my refund to pay my property tax. I like the fact that the government uses my money to fund Pakistani terrorists.


I blame my Ohio edumacation.

a reply to: FilthyUSMonkey


I believe this is where the AEIC CynConcepts and I were discussing comes into play.

originally posted by: FilthyUSMonkey
a reply to: JAGStorm

I know several folks who are below the poverty level. I know a family of 5, where the husband works and the wife stays home to raise kids. His W-4 shows 5 dependents (including himself) I have helped him with his taxes in the past. He earns less than $40 k a year. However, he gets federal tax withheld every pay check, along with FICA, state, local, un-insurance, etc. Every year he gets back all of his federal income tax.

Unless he lies on his W-4 and claims more dependents, federal income taxes are deducted from his paycheck each week.

So this guy is in a bind - lie to the federal government on his W-4, or wait for the refund at the end of the year.

What would you do?

Tell him to also fill out a W-5 form to receive a portion of his Earned income credit refund in each of his paychecks instead of waiting. He will have to fill out a new w-5 every year with his employer.

If the shutdown goes for months, think of the windfall for the Public when all the IRS refunds are issued at the same time !!!

But desperate people can always get a bank loan in lieu of a refund 😁

originally posted by: CynConcepts

originally posted by: FilthyUSMonkey
a reply to: JAGStorm

I know several folks who are below the poverty level. I know a family of 5, where the husband works and the wife stays home to raise kids. His W-4 shows 5 dependents (including himself) I have helped him with his taxes in the past. He earns less than $40 k a year. However, he gets federal tax withheld every pay check, along with FICA, state, local, un-insurance, etc. Every year he gets back all of his federal income tax.

Unless he lies on his W-4 and claims more dependents, federal income taxes are deducted from his paycheck each week.

So this guy is in a bind - lie to the federal government on his W-4, or wait for the refund at the end of the year.

What would you do?

Tell him to also fill out a W-5 form to receive a portion of his Earned income credit refund in each of his paychecks instead of waiting. He will have to fill out a new w-5 every year with his employer.

Thanks. I will look into this and advise him what to do. He really will be frightened of doing anything like this however, as he is extremely fearful of all government, and would rather overpay each paycheck than ever even appear to be doing something that is unusual. The type of person who does not register to vote because "he doesn't want to cause any trouble."

a reply to: xuenchen


With the amount of texts messages I have gotten lately asking me if I need a loan I think I could have bought myself a small country.

originally posted by: lakenheath24
a reply to: JAGStorm

I am guilty...I time my refund to pay my property tax. I like the fact that the government uses my money to fund Pakistani terrorists.


I blame my Ohio edumacation.

So how are you going to pay your taxes if refunds get delays two months, six months...
See what I'm saying..

originally posted by: FilthyUSMonkey

originally posted by: CynConcepts

originally posted by: FilthyUSMonkey
a reply to: JAGStorm

I know several folks who are below the poverty level. I know a family of 5, where the husband works and the wife stays home to raise kids. His W-4 shows 5 dependents (including himself) I have helped him with his taxes in the past. He earns less than $40 k a year. However, he gets federal tax withheld every pay check, along with FICA, state, local, un-insurance, etc. Every year he gets back all of his federal income tax.

Unless he lies on his W-4 and claims more dependents, federal income taxes are deducted from his paycheck each week.

So this guy is in a bind - lie to the federal government on his W-4, or wait for the refund at the end of the year.

What would you do?

Tell him to also fill out a W-5 form to receive a portion of his Earned income credit refund in each of his paychecks instead of waiting. He will have to fill out a new w-5 every year with his employer.

Thanks. I will look into this and advise him what to do. He really will be frightened of doing anything like this however, as he is extremely fearful of all government, and would rather overpay each paycheck than ever even appear to be doing something that is unusual. The type of person who does not register to vote because "he doesn't want to cause any trouble."

Then I imagine that he really is not correctly filling out his W-4 form at work. If you are giving tax advice you may want to reread the IRS 2019 W-4 PDF publication and calculating sheet.

I have been trying to get my husband to update his W-4 with his employer and thankfully, being told he may have to wait due to shutdown he is starting to listen to me.

If your friend is only making $40,000 he should be adding additional deductions for each of his dependents! That is not falsifying that is accurately calculating per the worksheet. Check it out for yourself and see if you can make him understand.