Understanding Your Tax Refund Results
Our tax return calculator will estimate your refund and account for which credits are refundable and which are nonrefundable. Because tax rules change from year to year, your tax refund might change even if your salary and deductions dont change. In other words, you might get different results for the 2021 tax year than you did for 2020. If your income changes or you change something about the way you do your taxes, its a good idea to take another look at our tax return calculator. For example, you might’ve decided to itemize your deductions rather than taking the standard deduction, or you could’ve adjusted the tax withholding for your paychecks at some point during the year. You can also use our free income tax calculator to figure out your total tax liability.
Using these calculators should provide a close estimate of your expected refund or liability, but it may vary a bit from what you ultimately pay or receive. Doing your taxes through a tax software or an accountant will ultimately be the only way to see your true tax refund and liability.
See How Much Your Refund Will Be
The H& R Block Tax Calculator is one of the better tax tools available on the web. It breaks down the data into three primary sections: About You, Income, and Expenses.
As mentioned above, this is a simplified way to look at your tax situation and see how much your refund will be, plus the impact of tax reform on you.
The biggest reason this estimator/calculator is so handy is that it brings a lot of variables into its estimate. For example, things like child tax credits, earned income tax credits, and other family deductions and credits are all considered in the input process.
Once you complete your input, H& R Block gives you a summary report of all your inputs. This is really handy for those looking at a quick calculation because you can print off the report and compare any facts or information you were unsure about. The report is printable, and they even offer a free set of tips and a checklist for getting ready to file your taxes.
How To Calculate Your Tax Refund
Every year when you file your income taxes, three things can happen. You can learn that you owe the IRS money, that the IRS owes you money or that youre about even, having paid the right amount in taxes throughout the year. If the IRS owes you money it will come in the form of a tax refund. However, if you owe the IRS, youll have a bill to pay. SmartAsset’s tax return estimator can help you figure out how much money could be coming your way, or how much youre likely to owe.
Why would the IRS owe you a tax refund? There are several possible scenarios. You might have overpaid your estimated taxes or had too much withheld from your paycheck at work. You might also qualify for so many tax deductions and tax credits that you eliminate your tax liability and are eligible for a refund. A tax return calculator takes all this into account to show you whether you can expect a refund or not, and give you an estimate of how much to expect.
You May Like: How To Calculate Mileage For Taxes
General Information Tips And Tools For Successfully Filing Taxes
It’s tax time once again, and for many people, this can mean anxiety. Thousands of people each year file their taxes for the first time. This task can be very daunting to anyone who has never had to file or has never filed on their own before this year. There is a multitude of tools and websites available to make this process an easy one, no matter what your technical knowledge is. This article will act as your ultimate guide to successfully filing your taxes. We will go over the documents you will need, tools you can use to file, tax experts who can help you, what forms to fill out, and how to handle things like overpayments, overdue amounts, and filing extensions.
Popular Tax Preparation Software
There are several tax preparation software tools and programs available to help you file your taxes correctly.
eFile.comeFile.com lets you file your 1040EZ return form for free. You have the option of filing individually or jointly with your spouse. State Filing can also be done for a fee of $19.95, and there is a support team available 24 hours a day, 7 days a week to assist you with any questions. You can’t claim dependents, make over $100,000 per year, or have a mortgage. The Standard package is free, and the Deluxe and Premium packages cost $29.95 and $39.95, respectively.
H& R Block eFile H& R Block offers a free e-File option that allows anyone who uses it to import their tax information into their system from any competitors. You are also able to directly upload any tax documents, and file your tax return on any laptop, desktop, or tablet. H& R Block offers three versions for e-filing. The Basic edition is free Deluxe is $54.99 a year, and Premium is $79.99 annually.
Tax Act Tax Act has free online filing for both state and federal taxes. They also have desktop software versions available as well. Their software works you through the pages using a question and answer format. They give you unlimited email and telephone support for all of your questions. You can track your refund directly once you file. Tax Act offers three versions of their software starting with the Basic free version. They also have a Plus package for $37 and a Premium package for $47 annually.
Don’t Miss: Payroll Tax Deposit Due Dates 2022
How To Use The H& r Block Tax Calculator:
Using the H& R Block refund estimator is now a lot easier and calculates a more accurate estimate of your refund. To use the tax calculator, follow these steps:
Thats it! I think youll agree the new H& R Block calculator is a much better experience than the old one.
Tip: If you need to go back to a previous question, dont use your browsers back button or youll start over! Use the on-screen arrow in the calculator instead!
And Then Your Tax Refund Estimate Will Appear:
H& R Block
The $75,000 earner used in our example could receive a refund of $3,136 in 2019 about three times higher than what they’re likely to get this year.
Once you’re ready to actually file your taxes, the IRS recommends e-filing and requesting direct deposit for your refund.
Popular online tax services like TurboTax and H& R Block are easy to use, even for tax novices. If your income was less than $66,000 in 2017, many online tax services offer the option to file for your federal taxes and sometimes state taxes for free. You can check your options using the IRS Free File Lookup tool.
Also Check: T Mobile Taxes And Fees
How To Make An Estimated Payment
We offer multiple options to pay estimated taxes.
- Individual online services account. If you don’t have an account, enroll here. You’ll need a copy of your most recently filed Virginia tax return to enroll.
- 760ES eForm. No login or password is required. Make sure you choose the correct voucher number.
- ACH credit. Pay by ACH credit and initiate sending payments from your bank account to Virginia Tax’s bank account. See our Electronic Payment Guide for details on requirements and set-up with financial institutions, which may include fees.
See all options to file and pay estimated taxes.
Electronic filing requirement
You must submit all of your income tax payments electronically if:
- Any installment payment of estimated tax exceeds $1,500 or
- Any payment made for an extension of time to file exceeds $1,500 or
- The total income tax liability for the year exceeds $6,000
If any of the thresholds above apply to you, all future income tax payments must be made electronically.This includes all payments for estimated taxes, extensions of time to file, and any other amounts due when a return is filed.
Changes In Income Or Exemptions
If your expected Virginia adjusted gross income changes during the year, re-compute your estimated tax to determine how much your remaining payments should increase or decrease.
A change in income, deductions or exemptions may require you to file an estimated payment later in the year. If you file your state income tax return and pay the balance of tax due in full by March 1, you are not required to make the estimated tax payment that would normally be due on Jan. 15.
If you file your return after March 1 without making the January payment, or if you have not paid the proper amount of estimated tax on any earlier due date, you may be liable for an additional charge for underpayment of estimated tax.
Read Also: Standard Tax Deduction Vs Itemized
Underpayment Of Estimated Income Tax
An addition to tax is imposed by law if at least 90% of your total tax liability is not paid throughout the year by timely withholding and/or installments of estimated tax except in certain situations. The addition to tax does not apply if each required installment is paid on time and meets one of the following exceptions:
- Is at least 90% of amount due based on annualized income
- Is at least 90% of amount due based on the actual taxable income
- Is based on a tax computed by using your income for the preceding taxable year and the current year’s tax rates and exemptions
- Is equal to or exceeds the prior year’s tax liability for each installment period and the prior year return was for a full year and reflected an income tax liability or
- The sum of all installment underpayments for the taxable year is $150 or less
If you do not qualify for an exception, your underpayment computation will be based on 90% of the current year’s income tax liability or 100% of your liability for the preceding year, whichever is less. The addition to tax is computed on Form 760C .
Free Income Tax Calculator
Tax codes have changed! Trust H& R Block to help you navigate changes in tax brackets and healthcare insurance forms for next year’s taxes with their free online income tax calculator. It will determine your approximate tax refund or guesstimate how much you owe. The free self-employment estimator can even help business owners determine any taxes that are owed.
Read Also: How Are Social Security Taxes Calculated
Tax Deductions And Tax Credits Explained
Remember that a tax deduction reduces your taxable income, cutting your tax bill indirectly by reducing the income that’s subject to a marginal tax rate. A tax credit is a dollar-for-dollar discount on your tax bill. So, if you owe $1,000 but qualify for a $500 tax credit, your tax bill goes down to $500.
What if youre eligible for tax credits that are greater than what you owe say, $1,000 in tax credits with a $500 liability? Whether you get that $500 difference refunded to you will depend on whether the tax credits you qualify are refundable or not. Refundable tax credits go into your tax refund if they exceed what you owe. By contrast, some tax credits are nonrefundable, which means they have the power to reduce your tax liability down to zero but cant be refunded to you if they exceed your liability. Our tax return calculator will take all of this into account when figuring out what you can expect at tax time.
Personal Information And Documents
As your deadline to file your taxes gets closer, it is a good idea to get all of the necessary personal information and documents together in one place. If you have everything organized and in one location, this will ensure you don’t forget anything and have problems with your taxes later on after you’ve filed.
In order to properly file your taxes, the Internal Revenue Service has to know who is actually filing the tax return, as well as how many people will be covered or claimed on the tax return. You will need your social security number, your spouse’s social security number if you’re married, and the social security numbers of anyone you plan to claim as a dependent on your tax return.
You will need several important pieces to file your tax return efficiently and accurately. All of your income information must be documented, as well as your spouse’s if you’re married. The pieces you’ll need are listed below.
- 1099 Forms – These forms are used if you completed any contract work. If you’re married, you’ll need one from your spouse as well.
- Business Income – Accounting Records if You Own a Business
- Income from both local and state tax returns from the last few years
- Investment Income
- Moving Expenses
You May Like: Department Of Tax Debt And Financial Settlement Services
Farmers Fishermen And Merchant Seamen
Farmers, fishermen and merchant seamen who receive 2/3 of their estimated Virginia gross income from self-employed farming or fishing have special filing requirements, which allow them to make fewer payments. If you meet the qualifications of a farmer, fisherman or merchant seaman, you only need to file an estimated payment by Jan. 15. If you file your income tax return on or before March 1 and pay the entire tax at that time, you are not required to file estimated tax payments for that tax year.
Who Should Use H& r Block
For DIYers, H& R Block makes tax preparation simple by walking them through the process with interview-style questions, clear instructions, and in-depth explanations for different income types, deductions, and tax credits.
Customers can prepare their tax returns online, have their DIY return reviewed by an expert, or turn their return over to a virtual tax pro to handle preparation and filing from start to finish.
This range of options makes H& R Block a good tax software tool for people who want to try filing on their own, but also want the option to call in professional help if they have questions or get stuck.
Also Check: What Is The Maximum Tax Refund You Can Get
How H& r Block Stacks Up Against The Competition
H& R Block provides an easy-to-use platform, similar to meeting with a tax preparer. H& R Block walks you through an interview process, much like TurboTax, but itâs a little bit cheaper. TurboTax charges up to $119 for federal tax filing for its highest âdo-it-yourself taxâ package, while H& R Block charges up to $109.99 for federal tax filing for a similar package.
Similar to other online tax software programs such as TurboTax and TaxSlayer, if you need help along the way, youâve to upgrade to another pricing tier or pay extra to get it. But whatâs unique about H& R Block is that their options for tax experts help go beyond your computer screen. Starting at $80 to file federal tax returns , you can work with a tax professional virtually, in an H& R Block office, and by dropping off your tax documents at an office.
And while H& R Block tries to upsell you while filing your taxes, itâs not overwhelming compared to TurboTax, which attempts to upsell you multiple times while using the software.
Latest Tax Software Reviews
Tax Refund Schedule 2022Aug 04, 2022
If you’re like most people, you dread tax season. But if you’re expecting a tax refund, you may have something to look forward to. Most people will
Nov 18, 2022
The federal income tax rates remain unchanged for the 2022 tax year are 10%, 12%, 22%, 24%, 32%, 35% and 37%. The income thresholds for each bracket,
Aug 11, 2022
President Trump signed the Tax Cuts and Jobs Act into law in December 2017. This bill largely didn’t affect individual income taxes until the 2018
Apr 06, 2022
The start of a new year means its time to file your federal tax return. Many people stress about filing taxes, but there are a number of tax filing
Jan 12, 2022
Filing taxes yourself has never been easier. As long as you have internet access, you can submit your tax return from the comfort of your couch.
Also Check: How Much Is Tax At Walmart
These Are The Only Three Numbers You’ll Need From Your W
2017 total wages
Federal income taxes withheld
State income tax you can ignore this one if your state doesn’t tax income
In the example below, we entered figures for a single, 30-year-old with health insurance who earns a $75,000 salary and lives in Los Angeles.
H& R Block
After entering those figures, you’ll answer a few more quick questions about whether you own a home, have children, or expect to claim any other deductions or tax credits.
H& r Block + New Calculator = More Accurate Estimate
Sorry, I had to do a little math joke there. Oh, and I wish that was my federal tax refund!
Anyway, by using the H and R Block calculator, I was able to get a very accurate estimate of tax refund in just a few minutes. I invested a little more time for a more accurate calculation and dug out some info including capital gains on my investments and freelance income.
I hope the H& R Block calculator helps you get a better idea of your refund or what you owe the IRS so you arent surprised when you file.
If you arent using H& R Block to file your taxes, check out our exclusive discount on TurboTax here.
Thanks for stopping by Black Alliance!
Read Also: How Long Does My Tax Return Take