Taxes Suck

[Catt]

That is all.

[Your Mom]

especially when you are losing in 06.

[Gildwulf]

OMG I PAID $1366 IN TAXES FOR LAST YEAR WHAT A JOPKE

[challenger84]

yep, i just put a nice new car in the mail today.

[kidcolin]

[ QUOTE ]
OMG I PAID $1366 IN TAXES FOR LAST YEAR WHAT A JOPKE

[/ QUOTE ]

OMG ME 2!!!!

[RickyG]

Taxes are legal extortion.

[Gildwulf]

[ QUOTE ]
Taxes are necessary for you to live in a productive society unless you live in a rentier economy and even then you trade off political participation for economic gain.

[/ QUOTE ]

fyp

[Hobbs.]

[ QUOTE ]
especially when you are losing in 06.

[/ QUOTE ]
This is seriously killing me right now. I'm about to drain my bank account in a couple of days [img]/images/graemlins/frown.gif[/img]

[Jeffage]

Don't you pay quarterly? It seems extreme that this would drain your bank account even if you made a little more than in the previous year. Tax planning is key to me. Though I must say, I always seem to run terrible around tax time and it's a huge pain in the ass - definitely dislike this time of year.

Jeff

[Catt]

[ QUOTE ]
Don't you pay quarterly? It seems extreme that this would drain your bank account even if you made a little more than in the previous year. Tax planning is key to me. Though I must say, I always seem to run terrible around tax time and it's a huge pain in the ass - definitely dislike this time of year.

Jeff

[/ QUOTE ]

Though not Hobbs, I'll answer since my ire is up. I did not pay quarterly in 2005 because (1) I didn't play full-time, (2) I really didn't think I'd have enough income to make a huge enough difference that couldn't be addressed with planning (and I eliminated all exemptions on witholding from my salaried position to help offset), (3) I knew I wouldn't be penalized for failing to pay quarterly, and (4) I ran some amateur simulations on what the poker income would likely do to my overall tax situation (I have decent W-2 income for the past year) and was segregating some funds for the looming tax bills.

Unfortunately, (1) my amateur simulations underestimated the increased tax burden poker winnings would impose, (2) I failed to appreciate that I would definitely have to pay quarterly for 2006 and - guess what? - the first quarterly is due on April 17, (3) I ran bad in March / April, (4) I left my salaried position at the end of Feb for reasons unrelated to poker and have not been looking for the next gig (just some time off, and poker - and the poker bankroll if poker didn't run well - was there to soften any financial blow from the lack of a salary), and (4) we're completing a home addition and I've been spending money to furnish it with furniture and home theater goodies . . . all of which adds up to the tax man's bite being especially distasteful just at the moment.

Adding to this is the worry about an automatic audit when I file the TD F90.22.1 in June reporting overseas holdings (I have scrupulously reported all poker income / activities accurately but do not relish an audit nor the possible argument arising from an audit over whether I properly filed as a professional since I have substantial non-Schedule C income) and I am just not terribly happy right now. Sigh.