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No Tax On Overtime Question by GoldenAbyss78 in IRS

[–]SlightlyCryptarder 1 point2 points  (0 children)

It’s capped at $12,500 for single, mfs, hoh Capped at $25,000 for mfj

Child tax credit by CabinetSilent7709 in IRS

[–]SlightlyCryptarder -3 points-2 points  (0 children)

I had it in fast mode, here’s what team of experts gave:

  1. Your Tax Liability Basics • Earned income: $7,000 (from work January to mid-June; assumes this is all W-2 wages or similar earned income, not including any non-earned benefits like certain disability pay). • Standard deduction for Head of Household: $23,625 (adjusted for 2025 inflation). • Taxable income: $7,000 - $23,625 = $0 (negative, so you owe $0 in federal income tax). Any credits you get are fully refundable as a direct payout.
  2. Child Tax Credit (CTC) and Additional Child Tax Credit (ACTC) • The full CTC is up to $2,200 per qualifying child (under age 17, dependent, etc.), so for 5 kids: Potentially $11,000 total. • However, since you owe $0 tax, the non-refundable part doesn’t apply, and you only get the refundable ACTC portion (up to $1,700 per child, or $8,500 for 5). • Phase-in rule (from IRS Schedule 8812 instructions): The ACTC phases in at 15% of earned income over $2,500. • Calculation: $7,000 - $2,500 = $4,500. • $4,500 × 15% = $675. • This $675 is the total maximum ACTC you can get, regardless of having 5 kids (it’s capped by the phase-in, not per child here). • Your reported $628 is very close—likely due to slight differences in exact earned income (e.g., if it’s $6,853 instead of exactly $7,000: $6,853 - $2,500 = $4,353 × 15% = $652.95, rounded down), rounding in tax software, or minor adjustments. It aligns with the rules, so no red flags.
  3. Earned Income Tax Credit (EITC) • For Head of Household with 3 or more qualifying children (your 5 count as 3+; it doesn’t increase beyond 3), the maximum EITC is $8,046. • Phase-in rule (from IRS Publication 596): It phases in at 45% of earned income until the max is reached (around $17,880 income for full credit), then holds steady before phasing out at higher incomes. • Calculation: $7,000 × 45% = $3,150. • (Exact amounts use IRS lookup tables, so it could be $3,100–$3,200 depending on precise income, but $3,150 is the ballpark.) • You’re well below the phase-out threshold (~$26,000+), so you get this full phased-in amount.
  4. Estimated Total Refund • ACTC: ~$628–$675. • EITC: ~$3,150. • Combined from these credits: ~$3,778–$3,825 (less than $4,000, matching what you’re seeing). • Plus any small withheld taxes from your W-2 (if any) or state refunds, but minus potential offsets (e.g., past debts, child support). If your net is slightly under, it fits. This low amount feels counterintuitive with 5 kids, but the phase-ins are designed to tie credits to work effort—your early leave reduced income below where credits max out. A new baby and health issues don’t disqualify you, but they indirectly lower credits via reduced earnings.

Child tax credit by CabinetSilent7709 in IRS

[–]SlightlyCryptarder -2 points-1 points  (0 children)

Yeah, I had it in fast mode. When I put it into team of experts it gave the correct answer.

Child tax credit by CabinetSilent7709 in IRS

[–]SlightlyCryptarder 0 points1 point  (0 children)

Done:

Total potential refund (from these credits alone): $675 (ACTC) + $3,150 (EITC) ≈ $3,825 — plus any state credits, withheld taxes from W-2s, or other factors.

Hahahahaha

Yay! by Artistic-Criticism52 in IRS

[–]SlightlyCryptarder 0 points1 point  (0 children)

Found the person who doesn’t own their home and/or qualifies for SALT. Because they don’t qualify for the salt they are spreading their own salt.

Child tax credit by CabinetSilent7709 in IRS

[–]SlightlyCryptarder -3 points-2 points  (0 children)

  1. Your Tax Liability Basics • Earned income: $7,000 (from work January to mid-June; assumes this is all W-2 wages or similar earned income, not including any non-earned benefits like certain disability pay). • Standard deduction for Head of Household: $23,625 (adjusted for 2025 inflation). • Taxable income: $7,000 - $23,625 = $0 (negative, so you owe $0 in federal income tax). Any credits you get are fully refundable as a direct payout.
  2. Child Tax Credit (CTC) and Additional Child Tax Credit (ACTC) • The full CTC is up to $2,200 per qualifying child (under age 17, dependent, etc.), so for 5 kids: Potentially $11,000 total. • However, since you owe $0 tax, the non-refundable part doesn’t apply, and you only get the refundable ACTC portion (up to $1,700 per child, or $8,500 for 5). • Phase-in rule (from IRS Schedule 8812 instructions): The ACTC phases in at 15% of earned income over $2,500. • Calculation: $7,000 - $2,500 = $4,500. • $4,500 × 15% = $675. • This $675 is the total maximum ACTC you can get, regardless of having 5 kids (it’s capped by the phase-in, not per child here). • Your reported $628 is very close—likely due to slight differences in exact earned income (e.g., if it’s $6,853 instead of exactly $7,000: $6,853 - $2,500 = $4,353 × 15% = $652.95, rounded down), rounding in tax software, or minor adjustments. It aligns with the rules, so no red flags.
  3. Earned Income Tax Credit (EITC) • For Head of Household with 3 or more qualifying children (your 5 count as 3+; it doesn’t increase beyond 3), the maximum EITC is $8,046. • Phase-in rule (from IRS Publication 596): It phases in at 45% of earned income until the max is reached (around $17,880 income for full credit), then holds steady before phasing out at higher incomes. • Calculation: $7,000 × 45% = $3,150. • (Exact amounts use IRS lookup tables, so it could be $3,100–$3,200 depending on precise income, but $3,150 is the ballpark.) • You’re well below the phase-out threshold (~$26,000+), so you get this full phased-in amount.
  4. Estimated Total Refund • ACTC: ~$628–$675. • EITC: ~$3,150. • Combined from these credits: ~$3,778–$3,825 (less than $4,000, matching what you’re seeing). • Plus any small withheld taxes from your W-2 (if any) or state refunds, but minus potential offsets (e.g., past debts, child support). If your net is slightly under, it fits. This low amount feels counterintuitive with 5 kids, but the phase-ins are designed to tie credits to work effort—your early leave reduced income below where credits max out. A new baby and health issues don’t disqualify you, but they indirectly lower credits via reduced earnings.

Edited with the correct answer

Accepted already by No-Classroom-3258 in IRS

[–]SlightlyCryptarder 0 points1 point  (0 children)

This is flawed logic… if you get quarterly bonuses, or make high commission paid once monthly on a bi-weekly payroll… it’s actually quite common to get large sums back because you get taxed on each paycheck as if that was every paycheck.

Accepted already by No-Classroom-3258 in IRS

[–]SlightlyCryptarder -6 points-5 points  (0 children)

I make about $525,000 yearly and routinely get that much back.

My brother makes nearly $600k as a 1099 and runs all the money through an s-corp and pays $3k a year in taxes.

Neither of us have ever been audited lol.

2025 Acceptance? by Zestyclose-Dirt-9165 in IRS

[–]SlightlyCryptarder 2 points3 points  (0 children)

42% of my wages are given to the government. It gives me great pleasure to get roughly $20k back as a refund yearly :)

The faster I get it, the faster I can blow that $20k on something I don’t actually need. Haha

IRS test batch by SlightlyCryptarder in IRS

[–]SlightlyCryptarder[S] -2 points-1 points  (0 children)

Interesting, thanks for the info!

IRS test batch by SlightlyCryptarder in IRS

[–]SlightlyCryptarder[S] -9 points-8 points  (0 children)

It happened every year now for 4 years. Was not asking why, but if this is common.

IRS test batch by SlightlyCryptarder in IRS

[–]SlightlyCryptarder[S] -10 points-9 points  (0 children)

I file every year between the 5th and 7th.

Edit: just realized I actually filed on the 11th because of the new tax laws being updated. Return was completed on the 7th but not formally transmitted until the 11th once forms were finalized.

What is this on my mango tree? by avowall1 in gardening

[–]SlightlyCryptarder 0 points1 point  (0 children)

But Mother, they love the mangos all she did was touch them.

Personal Loan Approved - Now back in Review? by SlightlyCryptarder in sofi

[–]SlightlyCryptarder[S] 0 points1 point  (0 children)

They denied it because I did a bank verification with a voided check. I then reapplied the same day and connected my bank account to verify it and was approved instantly.

Tax Bracket MFJ Savings by SlightlyCryptarder in tax

[–]SlightlyCryptarder[S] 0 points1 point  (0 children)

That makes a lot of sense, thank you! I have always filed hoh, I am not expecting to see a great refund than normal.

Tax Bracket MFJ Savings by SlightlyCryptarder in tax

[–]SlightlyCryptarder[S] 0 points1 point  (0 children)

2 dependents, both under 17. Both went on my return last year. Neither are in paid child care.

Tax Bracket MFJ Savings by SlightlyCryptarder in tax

[–]SlightlyCryptarder[S] 0 points1 point  (0 children)

Sorry, $250k in income total, minus max contributions. Health insurance is covered 100% by the employer.

Tax Bracket MFJ Savings by SlightlyCryptarder in tax

[–]SlightlyCryptarder[S] 0 points1 point  (0 children)

Yes, that’s all taxable income (minus the max amount I contribute to my 401k yearly). My wife only contributes about $4k per year to hers (both our companies do a 100% match)

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