Tax filing question

[Penguinfan]

Finally have all my info for tax year 04 and I am not sure exactly what forms I have to use and if I can e-file through something like turbotax.com

I have one w-2 from my job (wife does not work)
w2-g forms from gambling winnings (I don't plan to go through the hassle of deducting losses)
My wife had money leftover in a 401k plan that she had to take out or they would start charging us to keep the account open from a job she had 4 years ago and we withdrew the money, 1099R form.

So thats
1. W-2
2. W2-G
3. 1099R

Those are the forms I have to file with, which form and can I e-file and if so who is the best to use?

Thanks if anyone can help, I'm sure I can go to the library and figure this out, but if anyone can help I'd appreciate it.

 

[BahamaMama]

do you itemize your deductions, or just take the standard deduction?

 

[ryson]

do you itemize your deductions, or just take the standard deduction?

PF,

That's what I was going to ask, I have used turbo tax and IMHO if you are filing anything other than a 1040EZ I would not use it. Bite the bullet and go to a pro. I paid out the a** while single then got married and had a kid and still ended up paying using turbo tax. I then went to an accountant and was able to deduct things that were not on turbo tax (e.g clothes for work etc) and have gotten money back since then. My guy charges a few hundred, but at least I do not have to pay!!

 

[Penguinfan]

Will probably take the standard deduction, but I am looking right now into what all I have to itemize.

2 kids also if that helps.

Thanks

 

[BahamaMama]

with turbo tax, it tells you if you are better off itemizing or taking the standard if it is too close for you to call, but if you DO end up itemizing, no sense in not writing off your gambling winnings.... that in itself may be a reason to itemize even if the standard deduction would be higher than the itemized deductions without claiming losses. Turbotax is free for all federal filers this year as long as you enter the site thru this URL http://www.taxfreedom.com/

no clue as to what your earned income is, but with 2 kids, you may want to see if you are eligible for the EIC.

turbotax will lead you by the hand thru EVERYTHING!!!

kind of a pain in the butt the first year, but much easier in subsequent years since it saves all your info.

 

[SixFive]

I've had a different experience than Ryson with turbotax. I like it, and I think it does fine even if itemizing. I've also deducted clothes for work using turbotax. Turbotax also imports all of your information from the previous year, so it's less to fill out and you don't have to look through the firebox to get the kid's social security numbers.

 

[yyz]

Let me hijack, here.

I have $2000 in W2-G........What do I need to do to claim that? I have zero receipts to "offset" the win, but people on another site told me for that little amount, I needn't really worry about it. (Is that true?)

If so, what do I need to do?


Thanks, and sorry for boosting the thread.

 

[BahamaMama]

yyz, there is a line on 1040A to claim gambling winnings.... if you do not itemize deductions, you aren't allowed to offset the winnings (what a RIP OFF)


so by not needing to *worry about it* do you mean for that little you don't have to CLAIM the winnings, or you don't need PROOF for the offset?

 

[Penguinfan]

I'd be a bit more careful about offsetting the winnings than that YYZ, I have heard people say they save losing tickets off the floor and use those to offset what they have to claim as winnings, but I'm not sure I would feel comfortable with that even.

In my case everything either went through a legal US based web-site that will send me transaction history for the year or was on my players card at the local OTB and if they looked at the total result from the year they would see that I was ahead for the year and thus probably want me to claim even more than just what is on the W2-g's.

 

[yyz]

I was told that I didn't need "proof" that I lost $2000, to offset the win.

(The reasoning was that the IRS isn't worried about a small amount like that. Something along the lines that anyone in a casino can easily lose a couple grand.)

I don't have any actual proof that I lost well over that, so I either try to claim with no "proof", or I don't claim at all.

 

[BahamaMama]

i wouldn't risk not claiming the 2000.... so hopefully you itemize.

i agree fully with the statement that you don't need proof to offset it. i'm not even sure that your plane flights and hotel expenses in vegas don't count (but don't quote me on that one)


the BARTENDER is in the house.....calling all COWS!!!!! ?????

 

[snoozer]

I won in vegas last year and Ihad to claim the money (slot payout of about $1700). I talked to our tax person and I was able to write off my airline ticket, hotel room and food expenses.

Do you know anyone in a lottery club? I was told to save all the lottery stubs as you can right those off.

 

[eman]

I have used Turbotax for years and I have never had any problem. I do taxes on the side for friends and Family. Turbo Tax will ask you almost every question that a tax pro will ask. It is alot cheaper to do the taxes on Turbo Tax than it is to take it to get it done. Where I work there have been 10 people to take it to H&R Block to get it done so they can get thier money today. Through turbo tax you will get your money in about 7-10 days. Good Luck on what ever you decide.

 

[BahamaMama]

info for ANYONE using turbotax this year:

do NOT go to www.turbotax.com


instead go to http://www.taxfreedom.com

 

[yyz]

mama,

I didn't mean "not claim it", even though that's what I wrote.

I meant I won't contest the 2 grand if I have to prove I lost 2 grand. (I will just pay the $600)

 

[BahamaMama]

the thing i'm trying to say YYZ, is if you do NOT itemize, you will not even have the opportunity to write it off.....so itemize, and it will not be questioned..... sounds as if i may have been right that airline tickets and ANY vegas expenses can be used to offset, and you should be able to show that with no problem

 

[yyz]

thanks!

 

[TAZ]

I may be of some assistance here...

If you got a W2G the IRS knows what you received. That amount and for that matter any gambling winnings are includable in your gross income. You may offset that amount (but no more) on schedule A. If you do not file schedule A you are SOL. If you are a professional gambler, you winnings are business income, losses (not to exceed winnings) are business losses, no schedule A needed. As far as deducting your gambling losses (to offset winnings) you will need to prove your deduction if challanged. This could be losing track tickets, lotto tickets, credit card charges, ATM receipts, cash advances, etc.
The key here is that you can never have a gambling loss for the year, at least for tax purposes

As far as the 401k withdrawl, if you are under 59.5 years old you will be paying a 10% penalty on the distribution. If it has been less than 60 days, roll that money into an IRA TODAY and you escape the penalty.

I have used turbo tax and prefer it to tax cut, the only other one I have used, if that helps anyone. Thing to remember with either is that to a certain point you have to expect what will happen when you answer the questions in the interview. For example, my wife did a day care out of our house and by simply answering the questions as asked tax cut gave me the wrong answers.

If I can be of any help, let me know. It's good to contribute something Get my e-mail from Jack or post here.

 

[Schouest]

HRBLOCK.COM

any idiot can use it--really..trust me...

 

[Doughboy]

I have used an accountant for 3 years now, and I wondered last year if it was worht the $150 I paid for it, so here is what I did. I did Turbotax, went through everything except the filing part,and it said I should get a $1500 refund. I then sent everything to my accountant and he got me $3000.

I was then sold on a professional. I do have plenty of deductions and write-offs, so I guess he is doing a great job.