Income Taxes

[Scooby]

oh I found a link for some of these deducts. I like the free beer one, you fellas probably like the boob job:

 

http://finance.yahoo.com/taxes/article/102...-Tax-Deductions

[BillyBalata]

oh I found a link for some of these deducts. I like the free beer one, you fellas probably like the boob job:

 

http://finance.yahoo.com/taxes/article/102...-Tax-Deductions

 

 

I called the IRS directly to ask how income from wcoff winnings would be treated. Since fantasy football is a hobby, if i derive some income from that where a 1099 is filed with the IRS, then apparently I can deduct expenses I put into my hobby, which includes the wcoff entry fee, air fare to vegas, and hotel room costs.

[twiley]

read somewhere on the internet that someone was able to deduct the cost of a pool as a medical expense

You can deduct practically anything as long as you have the paper trail to prove it's legit. I have no idea what turbo tax offers as far as advice like this but having/paying a great CPA that knows all the ins and outs on these things goes a long way come April 15th.

[twiley]

I called the IRS directly to ask how income from wcoff winnings would be treated. Since fantasy football is a hobby, if i derive some income from that where a 1099 is filed with the IRS, then apparently I can deduct expenses I put into my hobby, which includes the wcoff entry fee, air fare to vegas, and hotel room costs.

Did WCOFF issue you a 1099? If so, then have at it.

[BillyBalata]

Did WCOFF issue you a 1099? If so, then have at it.

 

 

Not this year. Since i received the check in Jan 2010, it will be 2010 income. So I will get the 1099 next year.

[bpwallace49]

You are significantly less likely to get audited if you use a CPA because the IRS prefers bullying tax payers, not tax professionals.

 

You are also 3 times more likely to get audited if you make more than $200,000 a year. Seems like profiling to me.

 

You poor, poor victim. . . .

[CowboysDiehard]

Got crushed, turbo tax. Employer took too little out of my checks, which converted to online pdf stubs & I didn't catch it until too late. I'm a dumbass.

 

ETA: Problem was last year, I had WAY too much taken out because of a change in employment status, and I made a change to my W-4 to compensate. Unintentionally, I over-corrected.

Edited April 14, 2010 by CowboysDiehard

[caddyman]

You poor, poor victim. . . .

What a shame...all of your degrees and your self-appointed genius and you don't make 200k? I am starting to get the picture now.

[bushwacked]

I called the IRS directly to ask how income from wcoff winnings would be treated. Since fantasy football is a hobby, if i derive some income from that where a 1099 is filed with the IRS, then apparently I can deduct expenses I put into my hobby, which includes the wcoff entry fee, air fare to vegas, and hotel room costs.

 

I can't remember if I got a 1099 or something else; 1099-MISC? I remember it specifically was listed as gambling winnings or prize money. You can claim fair market value of the prize, so I deducted entry fees, hotel costs; think I even figured in the Huddle membership. I also seem to remember entering extra deductions as I had gambling losses documented on my casino cards.

 

You are also 3 times more likely to get audited if you make more than $200,000 a year. Seems like profiling to me.

 

 

I got audited the year I won money for WCOFF, even though my info was completely legit. Clearly, you are not always the victim.

Edited April 14, 2010 by bushwacked

[BillyBalata]

I can't remember if I got a 1099 or something else; I remember it specifically was listed as gambling winnings. You can claim fair market value of the prize, so I deducted entry fees, hotel costs. Since it was specifically spelled out as gambling winnings, I also remember entering extra deductions as I had gambling losses doucmented on my casino cards.

 

You would have had to gotten a w-2g if it was gambling winnings. I'm not sure if they have changed things since then, but now wcoff doesn't treat them as gambling winnings and specifally says they are not. I think i remember reading something that there was some kind of court case a few years ago that determined fantasy sports are not considered gambling. Not sure. What I have been told from Wcoff this year is it's considered a Prize/Award which is income and they said they'll be sending me a 1099Misc for it.

 

 

Either way, whether it's gambling or hobby expenses, both can be deducted. One difference now, if I have a profit at my hobby 3 consecutive years I have to declare myself a business.

[bushwacked]

What I have been told from Wcoff this year is it's considered a Prize/Award which is income and they said they'll be sending me a 1099Misc for it.

 

Yea, it was a 1099-MISC, I think you snuck in before my memory recollection and subsequent edit to my post.

[BillyBalata]

Yea, it was a 1099-MISC, I think you snuck in before my memory recollection and subsequent edit to my post.

 

 

Yea, I'm sneaky like that.

[bpwallace49]

What a shame...all of your degrees and your self-appointed genius and you don't make 200k? I am starting to get the picture now.

 

"All my degrees?" W T Funk are you talking about?

 

And I do just fine Zeke . . . thanks for asking!

[Missoula Griz]

I claim zero & always get a very good refund. Kinda like forced savings. That extra money received by claiming 4 would just disappear.

 

 

This

[Ursa Majoris]

This

I disagree. A very large refund is the equivalent of an interest-free, year-long rolling loan to the government. Even with interest rates at a very low level, surely putting your money in a rainy day fund or something would be better? FWIW, I do like to get something of a rebate from the Feds myself as opposed to having to write a check but there are lots of calculators and tools available to make sure that refund is nice but not massive.

[driveby]

I disagree. A very large refund is the equivalent of an interest-free, year-long rolling loan to the government. Even with interest rates at a very low level, surely putting your money in a rainy day fund or something would be better? FWIW, I do like to get something of a rebate from the Feds myself as opposed to having to write a check but there are lots of calculators and tools available to make sure that refund is nice but not massive.

This.

 

Getting back about $600 this year, more than most years.

[i_am_the_swammi]

s I'm not into allowing the government that already takes too much of my money to borrow it interest free.

 

Of course not...why on earth would anyone want to voluntarily help their country?

[i_am_the_swammi]

if I have a profit at my hobby 3 consecutive years I have to declare myself a business.

 

The you had better incorporate or form an LLC, because if you don't, you'll likely have to file that income as "self-employed" earnings, and be subject to the 15% self-employment tax.

 

Cost to form an LLC over the internet is minimal.

[twiley]

The you had better incorporate or form an LLC, because if you don't, you'll likely have to file that income as "self-employed" earnings, and be subject to the 15% self-employment tax.

 

Cost to form an LLC over the internet is minimal.

If your LLC only has one owner you're still taxed as a sole proprietor.

[Perchoutofwater]

Of course not...why on earth would anyone want to voluntarily help their country?

 

You know you can pay more in taxes if you want to, but unbelievably all the liberals that want the "evil rich" to pay more don't seem to feel like they need to pay more voluntarily.

[bushwacked]

the liberals that want the "evil rich" to pay more don't seem to feel like they need to pay more voluntarily.

 

Do you ever get tired of blowing talking point smoke up your own ass?

Edited April 15, 2010 by bushwacked

[Ursa Majoris]

You know you can pay more in taxes if you want to, but unbelievably all the liberals that want the "evil rich" to pay more don't seem to feel like they need to pay more voluntarily.

No,but if taxes do go up for me, I'll pay them happily knowing I'm doing my bit to keep the country afloat.

[Perchoutofwater]

No,but if taxes do go up for me, I'll pay them happily knowing I'm doing my bit to keep the country a bloat.

 

Fixed.

 

If it was keeping the country as it was originally intended afloat, I doubt you would find any of us complaining. When almost half the population takes more from the government than they give to it, something is seriously wrong, particularly when the government is doing all kinds of things that would make our founders roll in their graves, but conveniently failing to do much of what it was created for if it means more people to vote for more government.

[nogohawk]

Got $ back ... though not too much - usually try and break even (why should the Govt hold my money).

 

Used our internal tax prep software and had to answer Accountant ... since IYAMWHATIYAM.

[driveby]

No,but if taxes do go up for me, I'll pay them happily knowing I'm doing my bit to keep the country afloat.

You're gonna be one happy mofo.

 

House Ways and Means Committee Republicans have issued a summary of the 25 tax increases signed into law by Mr. Obama so far. They total $670 billion over the next 10 years, including 14 tax hikes (including an annual tax on every insurance policy and an annual tax on brand-name drugs) that break Mr. Obama's solemn 2008 campaign pledge never to raise taxes on families making less than $250,000 a year.