More considerations after tax season...
More considerations after tax season... Tax documents and tax withholding are just a couple of concerns addressed by Roseville CPAs from Cook CPA Group.
Maybe you aren’t worried about an audit? Instead, you just want to file those tax documents away and be done for the year! Here are some things to consider before putting that paperwork on the shelf or in your file cabinet:
Check your 2013 tax withholding
Did you owe taxes or did you receive a sizeable refund for the 2012 tax year? If so, you may need to check and adjust your withholding.
Remember, when you overpay, you are making an interest-free loan to the government. To reduce your tax withholding, all you need to do is complete a new Form W-4 with your employer. The form’s worksheet can help you to figure out how many allowances you should claim. You can also check with Cook CPA Group for help with tax estimates.
If you owed money last year, and you are concerned about underpaying taxes, which could expose you to penalties, there are a few rules you should know. You won’t usually incur a penalty if you pay, for the 2013 year, at least 100% the amount you owed for 2012 taxes (110% if your adjusted gross income is over $150,000), or if you pay at least 90% of what you will owe for 2013.
Contact Cook CPA Group if you need advice on withholding. Cook CPA Group at evelyn@cookcpagroup.wpengine.com or 916-432-2218.