tax returns and character & fitness

[chi2009]

I'm about to submit my tax returns and, already scared to death about the character & fitness exam, and double checking everything to make sure I have receipts, etc., to back up all my info.  Does anybody know how closely, if at all, tax returns are scrutinized on the character & fitness exam? 

[nealric]

Different states have different requirements. I wouldn't be worried as long as you are making every effort to be honest.

[cooleylawstudent]

Honestly I've never heard anyone be concerned about it before. I'll read between the lines here and give you the real answer to your real question. You either already have or plan to make questionable writeoffs, answer dont. Simple as that. Go to a tax professional to get help, or if you do it yourself don't do anything that you have to freak out and assume is an honor code violation. Here's a simple good for everything rule of life "Don't be stupid", if it seems bad it probally is.

I'm about to submit my tax returns and, already scared to death about the character & fitness exam, and double checking everything to make sure I have receipts, etc., to back up all my info.  Does anybody know how closely, if at all, tax returns are scrutinized on the character & fitness exam? 

[chi2009]

I am concerned because I have several 1099s for contracting work I did and used a home office and am deducting a lot of expenses related to that.  Obviously, I want to deduct as much as I can but I also want to be sure I can back everything up if it's reviewed.  Turbo Tax seems pretty liberal with the deductions it allows and I don't have enough accounting knowledge to know if it's all actually legit.  Guess I'll just bite the bullet and write a big check to uncle sam.

[cooleylawstudent]

Screw that. Don't feel that you have to pick between jail or debt. Just get a tax pro to help. I believe that H&R block has insurance where if they mess up its on their heads and not yours.

Could you afford that? I did contract work in the past, and sometimes the gross looks great but the net is pennies on the dollar. Been there, done that brother. 

I am concerned because I have several 1099s for contracting work I did and used a home office and am deducting a lot of expenses related to that.  Obviously, I want to deduct as much as I can but I also want to be sure I can back everything up if it's reviewed.  Turbo Tax seems pretty liberal with the deductions it allows and I don't have enough accounting knowledge to know if it's all actually legit.  Guess I'll just bite the bullet and write a big check to uncle sam.

[chi2009]

I didn't know that places like H&R block have insurance - I've always done them myself.  By the time I pay the taxes, my income is disgustingly low.  I've been procrastinating because I've been so freaked out about how much I'll have to pay, even after all my deductions.  Maybe I'll file for an extension and go that route. Whatever their fee is will be worth it for peace of mind.  Thanks for the advice - I really appreciate it.

Screw that. Don't feel that you have to pick between jail or debt. Just get a tax pro to help. I believe that H&R block has insurance where if they mess up its on their heads and not yours.

Could you afford that? I did contract work in the past, and sometimes the gross looks great but the net is pennies on the dollar. Been there, done that brother. 

I am concerned because I have several 1099s for contracting work I did and used a home office and am deducting a lot of expenses related to that.  Obviously, I want to deduct as much as I can but I also want to be sure I can back everything up if it's reviewed.  Turbo Tax seems pretty liberal with the deductions it allows and I don't have enough accounting knowledge to know if it's all actually legit.  Guess I'll just bite the bullet and write a big check to uncle sam.

[cooleylawstudent]

Glad that I could help. Call around get price quotes from others in the area too with insurance. I'm glad that I could authenticly help someone on this thing for a change. Feels good. 

I didn't know that places like H&R block have insurance - I've always done them myself.  By the time I pay the taxes, my income is disgustingly low.  I've been procrastinating because I've been so freaked out about how much I'll have to pay, even after all my deductions.  Maybe I'll file for an extension and go that route. Whatever their fee is will be worth it for peace of mind.  Thanks for the advice - I really appreciate it.

Screw that. Don't feel that you have to pick between jail or debt. Just get a tax pro to help. I believe that H&R block has insurance where if they mess up its on their heads and not yours.

Could you afford that? I did contract work in the past, and sometimes the gross looks great but the net is pennies on the dollar. Been there, done that brother. 

I am concerned because I have several 1099s for contracting work I did and used a home office and am deducting a lot of expenses related to that.  Obviously, I want to deduct as much as I can but I also want to be sure I can back everything up if it's reviewed.  Turbo Tax seems pretty liberal with the deductions it allows and I don't have enough accounting knowledge to know if it's all actually legit.  Guess I'll just bite the bullet and write a big check to uncle sam.

[cooleylawstudent]

Many areas offer low income free tax help too. You may want to look into that. I think they based it on net, so you'd be ok. What type of work do you do? Lawncare,delivery, construction,etc?

[chi2009]

I will do that.  Seriously, your response is extremely helpful.  Now I can finally get back to just worrying about finals and rest a little easier at night.

Glad that I could help. Call around get price quotes from others in the area too with insurance. I'm glad that I could authenticly help someone on this thing for a change. Feels good. 

[chi2009]

That's a good idea.  I'm definitely going to file an extension and do my homework, like I should have done months ago.  I do some freelance PR and marketing consulting, but mostly freelance business writing and editing.  I worked at a PR agency for a few years before that.  Now I do a lot of ghostwriting business articles for entrepreneurs who want to gain visibility in their industry but can't write to save their lives.  Believe me, there are thousands of them out there.

Many areas offer low income free tax help too. You may want to look into that. I think they based it on net, so you'd be ok. What type of work do you do? Lawncare,delivery, construction,etc?