To find out how much you owe in taxes, you can call the IRS directly. The number to call is the IRS's toll-free general inquiry line at 1-800-829-1040. When you call, be prepared to provide your personal information, such as your Social Security number, to verify your identity.
California requires both residents and nonresidents that receive income from a California source to pay taxes. The state does offer tax deductions and credits that enable taxpayers to reduce their liabilities.
If you're unsure whether you owe money to the IRS, you can view your tax account information on IRS.gov.
If the standard deduction is larger than the sum of your itemized deductions (as it is for many taxpayers), you'll receive the standard deduction. Once you have subtracted deductions from your adjusted gross income, you have your taxable income. If your taxable income is zero, that means you do not owe any income tax.
If you owe money to a federal or state agency, the federal government may use part or all of your federal tax refund to repay the debt. This is called a tax refund offset.
In addition to federal income taxes, many states require state income tax. Whether you have to file state taxes this tax year depends on a few factors. In some cases, you may not be required to file state taxes if you only lived in the state a short time or if your income is below a certain level.
Typically, you would owe state tax because there was not enough tax withheld from your paychecks to cover your liability for state tax. You might owe state taxes even when you owed nothing to the Federal government because Federal and state governments have different tax brackets.
This means that people in the following states do not need to report these state payments on their 2022 tax return: California, Colorado, Connecticut, Delaware, Florida, Hawaii, Idaho, Illinois, Indiana, Maine, New Jersey, New Mexico, New York, Oregon, Pennsylvania and Rhode Island.
If you are receiving a tax refund, check its status using the IRS Where's My Refund tool. You can view the status of your refund for the past 3 tax years. If you owe money or are receiving a refund, you can check your return status by signing in to view your IRS online account information.
You will either see Federal/State Refund in green if you are due a refund or if you owe taxes, you will see Federal/State Due in gray or red, to the left of the screen in the software.
Common reasons include underpaying quarterly taxes if you're self-employed or not updating your withholding as a W-2 employee. You may also owe if you collected unemployment benefits, which are taxable.
Not everyone is required to file or pay taxes. Depending on your age, filing status, and dependents, for the 2023 tax year, the gross income threshold for filing taxes is between $12,950 and $28,700. If you have self-employment income, you're required to report your income and file taxes if you make $400 or more.
If you want to avoid a tax bill, check your withholding often and adjust it when your situation changes. Changes in your life, such as marriage, divorce, working a second job, running a side business, or receiving any other income without withholding can affect the amount of tax you owe.
The state return is not submitted until after the federal return is accepted. If your federal return is rejected the state return is not sent.
The form includes your exemptions and allowances, which directly influence how much taxes are withheld. You may ask yourself, "do I claim 0 or 1 on my W4?" In theory, the fewer withholding allowances you claim, the less money you owe the IRS. Sometimes, though, you may claim 0 allowances on your W4 but still owe taxes.
Why do I owe federal taxes but get a state refund? Because taxes are different at a state and federal level, sometimes nonresidents find they can owe taxes at a federal level, but may be due a refund at their state level.
Taxpayers who don't owe tax or are owed a refund
Taxpayers sometimes fail to file a tax return and claim a refund for these credits and others for which they may be eligible. There's no penalty for filing after the April 15 deadline if a refund is due.
There are lots of reasons why this might happen. In most cases, the IRS takes part of your refund to pay for outstanding government debts you might owe. These include: Overdue federal tax debts.
Not all debts are subject to a tax refund offset. To determine whether an offset will occur on a debt owed (other than federal tax), contact BFS's TOP call center at 800-304-3107 (800-877-8339 for TTY/TDD help).
Federal employment taxes generally apply to all 50 states, the District of Columbia and all U.S. Territories. For purposes of a Section 218 Agreement, a state includes the 50 states, Puerto Rico, the Virgin Islands and interstate instrumentalities.