| Posted By |
Message |
| Pages: [1] 2 |
2BadSoSad
LIF Adult
Member since 8/12 6791 total posts
Name:
|
Tax credits - WTF
So we finally filed today and DH and I were both promoted this year. Therefore, our income exceeded 150K. Due to that, he is saying it wiped out our child tax credit? Is that right????
I am NOT ungrateful for the extra income FINALLY that put us in a new bracket this year, at all. We had a long hard road to get here.
BUT our salaries are not THAT high for the island. We don't owe, in fact, we are getting a minimal few hundred back still.
I know, I know, and I AM grateful for that, I just didn't realize you lose the child tax credit. Just want to make sure that is right since DH does our own taxes.
Message edited 4/15/2014 10:46:28 PM.
|
Posted 4/15/14 10:36 PM  |
| |
|
Long Island Weddings
Long Island's Largest Bridal Resource |
MsSissy
xoxoxo
Member since 3/07 39159 total posts
Name:
|
Re: Tax credits - WTF
Never mind. Read it wrong. 
Found this on line:
The child tax credit, like other credits, is gradually reduced based on a person's income for the year. The child tax credit starts to be reduced when income reaches the following levels:
$55,000 for married couples filing separately,
$75,000 for single, head of household, and qualifying widow(er) filers, and
$110,000 for married couples filing jointly
Message edited 4/15/2014 10:53:05 PM.
|
| Posted 4/15/14 10:39 PM |
| |
|
ElizaRags35
My 2 Girls
Member since 2/09 20494 total posts
Name:
Me
|
Re: Tax credits - WTF
The credit is limited if your modified adjusted gross income is above a certain amount. The amount at which this phase-out begins varies depending on your filing status. For married taxpayers filing a joint return, the phase-out begins at $110,000. For married taxpayers filing a separate return, it begins at $55,000. For all other taxpayers, the phase-out begins at $75,000. In addition, the Child Tax Credit is generally limited by the amount of the income tax you owe as well as any alternative minimum tax you owe.
Link
|
| Posted 4/15/14 10:50 PM |
| |
|
LL514
LIF Adult
Member since 4/10 1901 total posts
Name:
|
Tax credits - WTF
we don't get the child tax credit and we get only a $600 deduction for childcare. double edged sword for making a decent living
|
| Posted 4/15/14 10:53 PM |
| |
|
2BadSoSad
LIF Adult
Member since 8/12 6791 total posts
Name:
|
Re: Tax credits - WTF
Posted by LL514
we don't get the child tax credit and we get only a $600 deduction for childcare. double edged sword for making a decent living
geez, right?
I know this could come off as "oh you poor things"....and I shouldn't be complaining. I totally get that. I don't want to sound ungrateful bc that is not where this is coming from. Like I said, we had a long hard road here.
I just didnt realize. We usually use (while dont depend) on the money to pay for summer camp. It was just a nice chunk to get to cover that cost without having to dip into savings. I just didnt realize, that is all. Nothing more, nothing less.
Thanks for all the info everyone, much appreciated. Just wanted to make sure he was doing them correctly, and I am admittedly, not that well versed in tax law. Time to read up, I guess.
Message edited 4/16/2014 8:25:03 AM.
|
| Posted 4/15/14 10:58 PM |
| |
|
|
|
Re: Tax credits - WTF
I understand where you are coming from. We actually will be getting a nicer refund this year, but I also feel like COL has doubled. My utilities have with no warning at least......
I have so many bills due this month and next just related to COL alone that will equal our refund.
|
| Posted 4/16/14 6:53 AM |
| |
|
allIwant
Love my crazy life!
Member since 1/10 9170 total posts
Name:
|
Re: Tax credits - WTF
Posted by LL514
we don't get the child tax credit and we get only a $600 deduction for childcare. double edged sword for making a decent living
yes this is how my accountant explained it to me. It didn't affect us this year because I was on an unpaid maternity leave for 6 months but it will next year. My accountant did say it would not make a niticable difference in our refund though but that may be because we are not paying for Childcare this year but will be next year.
Either way  I know how frustrating it is to be "counting" on a certain amount of $ . Hope it all works out!
|
| Posted 4/16/14 7:32 AM |
| |
|
allIwant
Love my crazy life!
Member since 1/10 9170 total posts
Name:
|
Re: Tax credits - WTF
Posted by MorningCuppaCoffee
I understand where you are coming from. We actually will be getting a nicer refund this year, but I also feel like COL has doubled. My utilities have with no warning at least......
I have so many bills due this month and next just related to COL alone that will equal our refund.
not to crash OP but what the heck????? My electric bill has been out of control!! And cable just went up too.... It's crazy!!!
|
| Posted 4/16/14 7:34 AM |
| |
|
|
|
Re: Tax credits - WTF
Ha, ya. I just started another vent about this.
And I don't think you're crashing.
I feel like the harder you work, the more money is taken away.
If you get a raise, your bills go up.
|
| Posted 4/16/14 7:36 AM |
| |
|
BeachGrl
LIF Adult
Member since 10/11 2140 total posts
Name:
Kristy
|
Re: Tax credits - WTF
Posted by 2BadSoSad
[
geez, right?
I know to some this must come off as "oh you poor things"....and I shouldn't be complaining. I totally get that. I don't want to sound ungrateful bc that is not where this is coming from. Like I said, we had a long hard road here.
You don't sound ungrateful at all....I completely agree with you and am in the same boat you're in. Those who work hard shouldn't be penalized, plain and simple. It should be the other way around and it's not unfortunately. It's very unfair and I agree with you about cost of living on long island. It's really not that much when you look at all the expenses.
|
| Posted 4/16/14 7:38 AM |
| |
|
Mrs&MrsK
i need sleep ;-)
Member since 2/14 2008 total posts
Name:
L
|
Tax credits - WTF
omg this is nuts
|
| Posted 4/16/14 7:58 AM |
| |
|
|
|
Tax credits - WTF
Mo' money, mo' problems 
And I do feel there's that weird bracket where it looks like enough on paper but in reality, it's not - and it's that bracket where you lose some of the previous brackets breaks.
|
| Posted 4/16/14 8:07 AM |
| |
|
|
|
Re: Tax credits - WTF
Posted by EatingMyVeggies
Mo' money, mo' problems
And I do feel there's that weird bracket where it looks like enough on paper but in reality, it's not - and it's that bracket where you lose some of the previous brackets breaks.
I feel like this is the whole middle/working class .
|
| Posted 4/16/14 8:29 AM |
| |
|
FTM427
LIF Adult
Member since 1/12 1261 total posts
Name:
|
Tax credits - WTF
We are in the same boat, both work hard, make middle of the road salaries for the island/tri state area. Pay a ton for day care, and miss out on a lot of deductions (dependent care credit, deducting PMI, student loan interest to name a few). I have said for years the income levels where deductions are phased out should be by county or at the very least by region across the US.
|
| Posted 4/16/14 8:33 AM |
| |
|
luvmotherhood
california dreamin'
Member since 2/13 1443 total posts
Name:
love my family!
|
Tax credits - WTF
My Dh and I make a similar combined salary to u and we weren't eligible either. I also couldn't claim the interest on my astromnomical student loans. REALLY??!!
|
| Posted 4/16/14 8:37 AM |
| |
|
|
|
Re: Tax credits - WTF
We need to create a LIF island somewhere. Low taxes, good schools, close to a city/culture/shopping and no snow or traffic ever.
|
| Posted 4/16/14 8:38 AM |
| |
|
2BadSoSad
LIF Adult
Member since 8/12 6791 total posts
Name:
|
Re: Tax credits - WTF
Ugh, just sucks. Sorry for everyone else in the same boat.
|
| Posted 4/16/14 8:38 AM |
| |
|
evrythng4areason
And then there were 4
Member since 1/10 5224 total posts
Name:
Kayla
|
Tax credits - WTF
This is not going to make my husband happy next year haha. I thought we would get a decent refund after having a baby and the way my parents talked growing up, but if that's the cut off it won't help us
|
| Posted 4/16/14 8:48 AM |
| |
|
Mrs&MrsK
i need sleep ;-)
Member since 2/14 2008 total posts
Name:
L
|
Re: Tax credits - WTF
Posted by MorningCuppaCoffee
We need to create a LIF island somewhere. Low taxes, good schools, close to a city/culture/shopping and no snow or traffic ever.
YESSS!
Posted by evrythng4areason
This is not going to make my husband happy next year haha. I thought we would get a decent refund after having a baby and the way my parents talked growing up, but if that's the cut off it won't help us
I am with him! MAD! This year I thought being married would help somehow, but really it hurt us. boo!
|
| Posted 4/16/14 9:46 AM |
| |
|
AsItShouldBe
LIF Infant
Member since 6/09 91 total posts
Name:
Carrie
|
Re: Tax credits - WTF
Yes, my accountant told us this also. Never knew that and our bubble was burst too!
|
| Posted 4/16/14 3:37 PM |
| |
|
jessnbrian
Only God knows His plan for us
Member since 4/13 7238 total posts
Name:
Jessica
|
Tax credits - WTF
Yup, this year, we owed for the first time ever, and NEXT year our AGI is going to be even higher, by a lot, because of DH's new job, which only affected us from September on of last year. There were a few changes my accountant suggested that should help, but it's crazy. COL here on LI is insane, if you're not making in the area of $150K jointly, it's impossible to be comfortable.
|
| Posted 4/16/14 3:45 PM |
| |
|
Ian&EmmesMommy23
My family is complete!
Member since 11/08 12970 total posts
Name:
Diana
|
Re: Tax credits - WTF
i got half back this year for child credit AND i lost my student loan credit because i make too much. bullsh1t.
Message edited 4/16/2014 3:54:36 PM.
|
| Posted 4/16/14 3:54 PM |
| |
|
bunnyluck
LIF Adult
Member since 1/14 3196 total posts
Name:
|
Tax credits - WTF
I got really crazy a few months ago and did the math on how much of our gross income goes to a Tax (income, property, mortgage, sales, capital gains, etc) or other 'Fees' (tolls, gas, and other hidden government fees).
It was slightly over 50%. Talk about crazy.
It baffles me that we are so damn broke as a country!
|
| Posted 4/16/14 4:09 PM |
| |
|
MrsO
Big Brothers to Be
Member since 1/07 4521 total posts
Name:
Maureen
|
Re: Tax credits - WTF
The phase out amounts are the same if you live in the middle of nowhere or it a metropolitan area. - That is why the people in the metro areas are paying all the taxes in this country
|
| Posted 4/16/14 4:29 PM |
| |
|
TheLucille2
Yayicanpickmyowntitle!
Member since 6/11 1058 total posts
Name:
|
Re: Tax credits - WTF
Posted by luvmotherhood
My Dh and I make a similar combined salary to u and we weren't eligible either. I also couldn't claim the interest on my astromnomical student loans. REALLY??!!
THIS drives me INSANE!
|
| Posted 4/16/14 4:59 PM |
| |
|
| Pages: [1] 2 |
