Poll re Income Tax: are you expecting a substantial refund??

18 years ago

At an investment advisory that I check, they're running a poll today.

The topic, in these days on increasing interest in the income tax system, is asking what level of income tax refund we are expecting.

-large enough to buy a new car . . . . . . . . . . . 3%

-big enough to go on a major shopping spree . . . . . 28%

-sufficient to finance dinner and movie (skip popcorn) 16%

-I plan my tax carefully - don't pay more than I have to 14%

-*Refund?? ... I wish!!* . . . . . . . . . . . . . . . . . 39%.

Almost half say that they expect a refund.

Many personal financial advisors recommend working out your system so that you get a minimal refund ... or, better yet, none.

If you have a $1,200.00 refund, you made a $100.00 loan (interest-free) to the government at the end of January last year, another $100.00 at the end of February, building to $300.00 at the end of March. You are willing to have another $100.00 monthly added to that interest-free loan to the government ... until the grand total arrives at $1,200.00 at the end of December.

In Canada, that loan used to continue at $1,200. until the deadline date for the tax returns to be filed at the end of April, then began to accrue interest as of May 1 of the following year ... 15 months later.

A few years ago, they advanced the date at which they begin to pay interest to the middle of June. About the time that they begin to pay out the refunds, I guess.

If some of you are happy with being so generous ...

... I'm happy to join the line of folks that would like to receive the benefit of your largesse, making us a substantial interest-free loan (even if it may be somewhat temporary).

I'm thinking of buying some stocks, at the moment, and may use my current credit card to buy them, while applying for a 0.9% interest rate credit card that'll run for a number of months and transferring that amount to it when it is issued.

Then pay off that loan just before the low rate runs out.

And be careful not to charge anything else on that card until I pay off the full amount just before the low rate runs out ... and, being a senior, I can pay off that amount at my bank without transaction fee.

Then cut up the card, if I feel like it.

Maybe keep it for use when dealing with issues online, insisting that the issuer maintain a low credit limit, throughout.

I hope that you can avoid paying too high a rate of income tax.

I paid about 9% last year, I think.

ole joyful

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Comments (29)

Lillie1441
18 years ago
Sadly,I will be paying almost enough to "buy" a new car! Due to a large "windfall" from the sale of mineral rights inherited from DH's parents in 81 we will be paying a lot this year. Makes me sick that we have to pay so much but we were able to pay off all our debts from the sale,which will be nice since DH retired in Jan.
janemarie5
18 years ago
We are getting a nice little refund.. I may be in he minority but we like to get a nice little sum back. Last year we used it to help pay for DSD wedding and this year will use towards other DSD college. So, we will not be changing our deductions even though we get enough back to go on a shopping trip. We feel that it's probably money that would slip through our hands or waste.
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paula_pa
18 years ago
We cut it pretty close. We owed a few times but the past couple of years we worked it out so that we got a small refund.
organic_donna
18 years ago
I would never give the government my money. Last year I owed $500.00 and this year I'm getting back $100.00.
Donna
casey_nfld
18 years ago
We could go on a large shopping spree (we got our refund already) but we are banking it and saving it for a vacation to London England in September.
lydia1959
18 years ago
I like getting the refund back, for me it's like a mini savings account (no interest of course). We've always used the money for home projects - new carpeting, furniture that sort of thing. Now that DD is in college it will pay an entire year of dorm rent.
monica_pa Grieves
18 years ago
No refunds, I pay my taxes at the end of the year...why should they keep my money interest-free?
jannie
18 years ago
Not sure, I haven't prepared our tax return yet. I've been filing electronocally the last 5 years or so.
kframe19
18 years ago
No.

I try very hard to balance what I owe to the Feds with what I Get back from the state.

This year I owe $43 more to the Feds than what Virginia is returning to me.
joyfulguy
Original Author
18 years ago
Like I said ..

... if you're interested in giving out interest-free loans, let me know where the line starts for the hand-out ...

... even if it's only a temporary one!

Some rather interesting discussion of current money management in the U.S. milieu, these days, over on "Household Finance" and "Money Saving Tips" ... even the (rather sleepy) "Retirement" one.

Learning how money works is an interesting hobby ... and, plus taking full charge of yours ... pays well.

Good wishes for increasingly skillful managment of your income and assets.

ole joyful
bulldinkie
18 years ago
No with both our businesses as usual the IRS is getting a sustantial refund check from us.
ruthieg__tx
18 years ago
No refund for us, we paid so much tax this year it was unbelievable. We had stock options in the company my husband worked for and they sold and bought off all the stock holders. We opted to pay the taxes quarterly and just finished up paying the last batch. ...but....we would never leave any amount of money on the table for the government...we would have it so we could invest it.
alisande
18 years ago
Ditto Monica.
grammahony
18 years ago
I haven't had mine figured yet either. I have an appointment on the 28th. I hope I don't have to pay in this year. I did take some money from my investments for my trailer last summer, so that could influence it.
Leslie
Kathsgrdn
18 years ago
I'm getting quite a bit less than I did last year so after I did my taxes I increased my withholdings again, so I will get less next year. I didn't want to increase them too much and then have to pay, so hopefully I'll be closer to $0 this coming year. I'm using my return to pay for a crown (tooth crown) and to pay off bills.
wildchild
18 years ago
We cut it pretty close. Just enough extra so we don't have to pay any taxes.

Next year we will have added income again from rental property but hopefully we'll have enough deductions to balance it out. DD is our accountant/tax person so she'll run the numbers for us.
vannie
18 years ago
I'm having to pay between $7-8,000. b/c TXU sold out. I had no say, b/c I wouldn't have sold it. I hope that's all we owe, but there's probably more.
susan_on
18 years ago
Vannie, OUCH!!
susanjf_gw
18 years ago
we'll get a refund, and then some this year..went from our one and only 6 figure year, to back to reality (dh was laid off) it will be the first time in years we'll be able to claim medical debts, lol...

we've always claimed 0..as mentioned before, it's a way of forced savings for us...

what we do with the check, i havn't decided yet...we do need home repairs...but then retirement is always looming...
kellyleeann
18 years ago
Vannie,
I got you beat!!! The IRS will recieve a nice $10,000.00 refund from me and my husband.
sniff sniff
susan_on
18 years ago
Wowk Kellyleeann, I can't imagine!
whidbeykathy
18 years ago
They are getting the same as from us as Kelly is send them,plus another $1800.00 Would be "nice" if they spent it on education/health instead of a war..Kathy
Toni S
18 years ago
We pay at the end of the ag year, In Feb. It only hurts for a day. No refund, no nothin.
marygailv
18 years ago
I'm retired. I owe to both the state and federal.
kathi_mdgd
18 years ago
We're retired and we already got ours back,over 3000.00.we banked part of it,got new tires for my car,had some plumbing work done etc.
Kathi
liira
18 years ago
I owe $998.00 this year. That's what I get for working a full time and part time job. I did ask my employer of my part time job to take an extra $20.00 per paycheque, but I guess that wasn't enough. I guess the goverment will just keep my GST cheques and knock it off on what I owe them.
Marcia Thornley
18 years ago
I won't get more than $100 back. It's usually the same every year. I don't like the government hanging on to my money. I'd rather bank it myself! I listen to others in the office arranging to have more income tax taken off their cheques each week so that they will receive refunds. Not Me!
I'd rather manage that money myself!
Lillie1441
18 years ago
We have Vannie and Kelly beat.We will be giving the IRS $18,000.! See what I mean about almost enough to buy a new car? LOL Talk about Ouch! All because we were fortunate enough to inherit oil property from in-laws in 81 and were even more fortunate to be able to sell last year at a very good price.We have paid an average of $3000. every year since in taxes on the oil royalties on 2 producing wells,plus about $1200. a year in property taxes.I think it is a little unfair to have to pay 18% taxes on that one time windfall but that's the way it is.So much for being one of those "rich" Texas oil people! LOL
joyfulguy
Original Author
18 years ago
Around here, a number of owners of land also own the mineral rights.

In the Prairie province where I went to University, settled much later (early in the last century) when farmers took over surface rights, it didn't include mineral rights.

Mineral rights continued with the government.

ole joyful

Poll re Income Tax: are you expecting a substantial refund??

Comments (29)

Lillie1441

janemarie5

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Poll re Income Tax: are you expecting a substantial refund??

Comments (29)

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joyfulguyOriginal Author

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