The taxman cometh

I owed $12K last year and I shudder to think what that's going to look like this year. Been caught up in the Alternative Minimum Tax trap for the last 5 or 6 years, so my deductions don't mean much on federal. They do help with state - usually get about a $1K refund there.

I have been putting off starting on taxes this year. Had a really good year financially and I am pretty certain it bumped me into a higher tax bracket.

I owed $12K last year and I shudder to think what that's going to look like this year. Been caught up in the Alternative Minimum Tax trap for the last 5 or 6 years, so my deductions don't mean much on federal. They do help with state - usually get about a $1K refund there. Originally Posted by SpankyJ

Normally, I'm not in that range but I too get caught in the AMT but this year is especially ugly not quite in the 5 digits but close enough to put a dent in funds for no matter how I find a solution. Already changed my withholding's yet again to include more $ to lessen the big hit for next tax season. There's got to be a better way. God forbid you have Cadillac health care, just another way for them to say BOHICA.

Most people will be better if taking the standard deduction this year. It’s hard to get to $12k ($24k for MFJ) in itemized deductions. Especially given all the work deductions are gone. What has happened is that a lot of people didn’t check their withholding last year, and didn’t pay attention to that bigger paycheck they were getting. Now the taxes are due, and folks aren’t getting that big refund or have to pay way more than expected.

It sucks, but that’s what it is....