Tuesday, December 20, 2011

Re:Income less than deductions!?

Okay. Thank you all for your help. I have about 4 months on income from job 10K and 6 months income from rent 7.8K and took out all my Roth (it had no interest but lost value so no tax on that) at 5.6K with a penalty of about $500. My deductions include Mort interest on rental aprox 10K and taxes on rental 1K other rental exp = $200 and my own mortg int ded 7K and home taxes $600 and other deduction from repaying overpayment of payroll from prev year = 2.5K and 2.7K in moving expenses (not reimbursed and 2K miles away for job). Other income and deductions are negligible. I paid 1.6K in taxes and with tax software I will only get aprox $200 back. Will going to a tax adv help or should I just eat the loss?

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