How To Get An Instant Pay Raise

As a gentleman was leaving my class recently, he wanted me to clarify something I had said. He was making sure that he should take his four or five thousand dollar tax refund and pay off debt.

I was stunned. This money represented $400-$500 that could have been in his pocket every month. A survey of my friends this week revealed one who was getting back $2800 and one getting $3300 back this year.

Getting a large tax refund (over $500) means you are having too much money withheld from your check every pay period.

Many people use this as a forced saving plan and it does not make any sense. You are loaning the government YOUR money, interest free. Every $1200 in refund is an extra $100 per month you could have used to eliminate debt or invest for your future.

I 'd venture to say that most people who do get large refunds could use this money every month to ease their debt burden. This burden frequently leads to late charges and higher interest rates. Instead, they like the feeling of getting that big check in the mail and figuring out how to spend that chunk of money.

The ideal situation is to either owe or get back $100.

If you get a big tax refund then you should adjust your allowances. The more allowances you claim, the less money is withheld from your check for taxes. It generally does not matter how many allowances you claim. If the government gets it's money they really don't care how many allowances you claim.

Here is how to get it right. Take the time to complete the appropriate worksheets included on Form W-4. The worksheets will help you determine your withholding allowances based on your income, adjustments, deductions, exemptions and tax credits. The worksheets can help you figure the right amount so you don't have too little withheld.

The IRS now has a calculator on their website which you can now access anytime at: http://www.irs.gov/individuals/article/0,,id=96196,00.html

If you need help ask your payroll administrator at work or an accountant.

Keep your money working for YOU!

Leo J. Quinn, Jr. owner of http://www.LeoQuinn.com is a financial educator from the Albany, NY area. For over eight years he has been helping thousands of people get control of their finances and get out of debt in a fraction of the normal time. He has a special offer for readers of this newsletter at http://www.1shoppingcart.com/app/adt rack.asp?AdID=132551

In The News:

Pence’s Tax Returns, Like Trump’s, Stay Out of Sight  The Wall Street JournalVice President Mike Pence has filed three tax returns since taking office, but he hasn't publicly released any of them.
Form 16: New format for salary TDS certificate makes it difficult to fudge income, tax breaks  Economic TimesThe CBDT has notified a new format for Form 16 – the salary TDS certificate – requiring a detailed break up of tax exempt allowances paid to the employee and ...
Still Haven’t Filed Your Taxes? Here, Last-Minute Advice  The New York TimesFewer taxpayers than last year had filed by late March. That may be because of the new tax law. “This is the most complicated tax season ever,” one C.P.A. said.
A Roth 401(k) offers tax advantages. Here's how it works  CNBCWhen you contribute to a Roth 401(k), the contribution won't lower your taxable income today. But when you eventually take the money out, similar to a Roth IRA, ...
Four stages when you need to review tax-saving plans  LivemintIdentify your existing investments and expenses before putting more money to save taxes.Have different tax planning strategies when you are single, married, ...
Here's what will happen if you don't finish these 9 tax tasks by March 31  Economic TimesHere are 9 tax-related tasks you should complete before the March 31 deadline to avoid financial hardships.
Minnesota lawmakers get down to hard work on spending, taxes  Star TribuneMinnesota lawmakers got down to the hard work of the 2019 session Tuesday with just four weeks left and deep divisions remaining over spending and taxes.
How to start prepping your 2020 taxes now  Fox BusinessSome filers received tax day surprises this year as a result of changes to the tax law.
If you haven't filed your taxes yet, here are some last-minute tips  CNNTax Day 2019 is here! Whether you want to file for an extension, save money or even find the closest place to buy a stamp, here is your last-minute Tax Day ...
Investors panic as Income Tax seeks details from unlisted companies  Economic TimesAn income tax officer said the new details in question are being sought to create a database for future.
Buyer (and Seller) Beware: Changes to Transfer and "Mansion" Taxes | New York Law Journal  Law.comAs part of the New York State 2020 budget, the state Senate and Assembly adopted legislation increasing the real estate transfer tax on certain conveyances of ...
Here’s How TurboTax Just Tricked You Into Paying to File Your Taxes  ProPublicaCome along as we try to file our taxes for free on TurboTax!
Here's what to do if you missed the deadline to file your taxes  CNBCIf you missed the April 15th deadline to file your taxes, there are a few things you need to know to avoid some potentially serious penalties and steps you can ...
Unhappy with your tax return? How to prepare for 2019  CNBCYour refund tells only part of the story of how you fared under the Tax Cuts and Jobs Act. If you really want to dig into your taxes, check out your liability.
Trump tax cuts helped rich people in GOP states more than in Democrat states  CNBCPresident Trump's landmark tax legislation will benefit rich households in red states more than those in blue states, a new study finds.
Trump's tax law to boost incomes more in Republican states: researchers  ReutersA 2017 tax overhaul championed by President Donald Trump will cut household taxes more in Republican-leaning states than in states that lean Democratic, ...
Amazon, Netflix, Delta Air Lines, Salesforce. Can You Guess Which Company Paid the Least Taxes Last Year? (The Eye-Opening Answer Will Surprise You)  Inc.And so here we are. Tax Day 2019 has come and gone. Unless you're like me, and you're on extension. (What can I say, I've been busy.) But it's a time to step ...
Trump's tax cut was a disaster for some Gold Star families, but it's a symptom of a larger problem  Task & PurposeThis year's tax code had an immediate financial impact on many Gold Star families, but it may be an indicator of a much bigger problem..
I-T officers tasked with adding more informal sector workers to tax net  The HinduAction Plan (2019-20) of Central Board of Direct Taxes also directs I-T department to improve its performance in identifying cases of tax evasion.
Public Tax Returns? No, Just Those of the Well-Off  BloombergDisclosure would discourage cheating and give better insight into the extent of U.S. inequality.
Filing Your Taxes? Watch Out for Phishing Scams  WIREDThe Internal Revenue *Service* has warned taxpayers for years to be wary of online phishing, where criminals impersonate the agency using fake emails, text ...
US Workers Are Paying High Taxes. But Without Any of the Benefits.  Jacobin magazineThe United States is commonly thought of as a low-tax country. But workers effectively pay some of the highest taxes in the developed world — without getting a ...
Could Harry and Meghan’s child pay US taxes?  BBC NewsThe Duke and Duchess of Sussex are expecting their first child and along with the excitement and nerves of being new parents could come an unwanted tax bill.
Here's who's winning under Trump's tax law  CNNTax day isn't until Monday, but there have already been some surprises for Americans filing their first income tax returns under President Donald Trump's 2017 ...
Clubbing of income: When you are liable to pay tax on another's income  Economic TimesSometimes, a taxpayer may have to pay tax on the income of another person. Clubbing provisions in the I-T Act include reporting such income as the taxpayer's ...
Kamala Harris releases 15 years of her tax returns  CNNThrowing down the tax return gauntlet against both Democratic Sen. Bernie Sanders and President Donald Trump, Sen. Kamala Harris of California released 15 ...
This April 15, Don't Fall for the Right's Favorite Lie About Taxes  The InterceptYou've probably encountered propaganda using extremely misleading statistics to claim that the U.S. tax system is soaking the rich. It's not.
5 takeaways from Cleveland business group's study about our taxes vs. tax bills elsewhere  cleveland.comStudy finds low business taxes in Ohio, but for individuals combined local and state tax bill high in Cuyahoga County.
Tax evasion of over Rs 1,350 crore detected in raids against co owned by Kamal Nath's nephew  Economic TimesNew Delhi: The Income Tax department has detected tax evasion of more than Rs 1,350 crore during search and seizure operations conducted against ...
March saw income tax department go on an overdrive  LivemintMumbai: Every year in March, the income tax department chases tax collections in order to fulfil targets for the financial year. But this year the department had ...
Viewpoint | Resident of two countries – Will it lead to taxation in both countries?  MoneycontrolSanjeev Pandit. Can an individual be resident of two countries for taxation? Generally, a person has to pay tax on his world income in the country of which is the ...
IRS fails to meet congressional deadline for Trump tax returns  ReutersA deadline for the U.S. Internal Revenue *Service* to turn President Donald Trump's tax returns over to a congressional tax oversight committee expired on ...
Why Abe Should Postpone the Tax Hike  BloombergA higher levy undermines the central bank's ability to consider additional stimulus.
A Brief History Of Income Taxes : Planet Money  NPRTaxes have been around forever. But the income tax? In the U.S., it's relatively recent.
The income tax returns filing just got more complicated  BusinessLineThe revamp of the income tax return (ITR) forms has become an annual ritual and over the years, with the salaried class bearing the brunt of the changes.
California proposal to tax soda pushed to next year  Los Angeles TimesLawmakers won't vote on a soda tax or limit how much can be sold in a single cup this year, marking the latest California victory for the beverage industry.
Illinois Gov. JB Pritzker confident his 'fair' income tax plan will pass as he marks 100 days in office  WLS-TVIllinois Governor JB Pritzker spoke about his successes and expressed confidence about one of his hallmark proposals as he marked his first 100 days in office ...
Bernie Sanders releases 10 years of tax returns, showing how his 2016 presidential run vaulted him into wealth  CNNSen. Bernie Sanders on Monday released a decade of tax returns, providing new insight into how the Democratic socialist senator from Vermont became a ...
Shocked by Your Tax Refund? Next Year Could Be Worse Unless You Act Now  The New York TimesFewer taxpayers have received refunds so far this year, and refunds are smaller. Now is the time to check your paycheck withholdings.
As America files its taxes, Trump's only worry is disclosure  CNNEdward J. McCaffery is Robert C. Packard trustee chair in law and a professor of law, economics and political science at the University of Southern California.
Huntsville wants to end school taxes, ask voters to put them back  AL.comHuntsville is planning a complex process to expand its school property taxes to its new territory.
Can you claim tax benefit for tax paid on insurance premium?  Economic TimesPremium paid for life and medical insurance policies can be used to claim tax benefit under Section 80C and Section 80D of the Income Tax Act. But what about ...
Tax queries: Dividend earned from MFs is exempt from tax  Economic TimesDilip Lakhani, Senior Chartered Accountant, answers queries from our readers on income tax and other levies.
Putin Loses Popularity As He Raises Taxes And Rewards Oil Companies  OilPrice.comVladimir Putin is struggling to maintain his popularity with the masses in Russia as he hikes taxes while simultaneously paying oil companies for keeping fuel ...
How These Fortune 500 Companies (Legally) Paid $0 In Taxes Last Year  FortuneAccording to new data, 60 members of the Fortune 500 that made a profit paid no taxes in 2018.
This company pays more taxes than Apple, Alphabet's combined profit  Moneycontrol.comSaudi Aramco was found to be the most profitable company on Earth, beating giants like Apple and Alphabet comfortably. Here's how Aramco's numbers ...
The government took single mom's $3,063 tax refund to cover her student loans. She's trying to get it back  CNBCTax refunds are a lifeline for many low-income people. For the increasing number of people who've fallen behind on their student loans, however, that relief ...
ACC Q1 profit grows 38% to Rs 346 cr aided by tax refund; sales volume up 5.6%  MoneycontrolPan-India cement company ACC reported a 38.2 percent year-on-year (YoY) growth in first quarter consolidated profit at Rs 346 crore, driven by a tax refund that ...
When $30,000 property taxes hit a little harder  CNNIn the wake of recent tax reform, affluent homeowners are paying a lot more attention to their property taxes.
No political interference in tax settlement with Anil Ambani's firm: France  Economic TimesNEW DELHI: In the wake of reports that it granted huge tax waiver to Anil Ambani's French firm, France Saturday said a global settlement was reached between ...
Bar Refaeli ordered to pay NIS 16 million in tax  YnetnewsCourt rejects claim by model and TV star that her primary abode was in the US during the years 2009-10 and was therefore exempt from paying taxes on her ...
Why you should plan your investments and taxes in April and not March  Business TodayThe new financial year (FY) has just begun, and this is the right time to finalise your investments and taxes for FY20. While everyone knows the importance of ...
Some lawmakers still looking to cut Nebraska's corporate tax  Associated PressLINCOLN, Neb. (AP) — Some Nebraska lawmakers are still looking for ways to cut the state's top corporate income tax rate so that it matches the rate paid by ...
Tax preparation: Congress is set to pass a bill making taxes harder  Vox.comCongress is set to make it illegal for the IRS to create free tax preparation software, software that could save millions of Americans from wasting their money on ...
Face It: You (Probably) Got a Tax Cut  The New York TimesStudies consistently find that the 2017 law cut taxes for most Americans. Most of them don't buy it.
Tax Re-Assessment: SC To Hear Appeals Filed By Rahul, Sonia Gandhi In August  Live LawThe Supreme Court Tuesday said it would hear in August the appeals filed by Congress President Rahul Gandhi and his mother Sonia against the Delhi High ...
Why Democrats Like Taxes Again | by Bryce Covert | NYR Daily  The New York Review of BooksRep. Alexandria Ocasio-Cortez, Democrat of New York, addressing the third annual Women's March, New York City, January 19, 2019. Tax reform is rarely a ...
I-T dept proposes new norms for taxing MNCs in India  Moneycontrol.comThe CBDT committee report has proposed that sales, employees (manpower and wages) and assets in India of a multinational corporations (MNCs) should be ...
Elizabeth Warren Proposes New Corporate Tax  The Wall Street JournalWASHINGTON—Democratic presidential candidate Elizabeth Warren is proposing a new 7% tax on the largest, most profitable U.S. companies, a move that ...
Their Tax Rate Is 0%  The New York TimesYou should be jealous of Amazon, G.M. and Coors.
Everyone’s Income Taxes Should Be Public  The New York TimesDisclosure of tax payments would make it easier to hold politicians accountable. It also would help to reduce fraud and economic inequality.
To Get Trump’s Tax Returns, N.Y. Democrats Try a New Strategy  The New York TimesA new bill being introduced Monday in Albany would allow New York tax officials to release state tax returns to congressional committees.
France plans tax cuts to quell yellow vest anger  BBC NewsThe French prime minister says cutting taxes must be a priority, in response to a national debate that focused on the yellow vest protesters' grievances. Edouard ...
Why Amazon paid no 2018 US federal income tax  CNBCIn 2018, Amazon paid $0 in U.S. federal income tax on more than $11 billion in profits before taxes. It also received a $129 million tax rebate from the federal ...
Trump tax plan SALT cap has silver lining for CT  The CT MirrorWashington – “Blue” states like Connecticut that fought against the Trump tax plan's cap on state and local tax deductions are now seeing a silver lining – people ...
Your guide to filing income tax returns this year  LivemintMumbai: With the new financial year comes a new income tax return (ITR) form too. The income tax (I-T) department has said that the new ITR-1 and ITR-4 forms ...
France asks: Should billionaires get tax breaks on Notre Dame donations?  CNNLondon (CNN Business) One after the other, France's three richest families opened their checkbooks and pledged a combined $565 million to rebuild the ...
4 Tax Strategies That Could Make a Divorce Settlement Easier  The New York TimesDivorce negotiations are never easy, and they became more complicated this year, thanks to the tax overhaul. Here are four tips for taxpayers to consider.
Singletary: Start planning for your 2019 tax return now  Press HeraldWASHINGTON – People hate doing their taxes so much that, as soon as Tax Day is over, they want to retreat from anything related to their returns. But now is the ...
Taxes on telecom similar to non-essential items like liquor, cigarette: Vodafone Idea CEO  Moneycontrol.comThe telecom sector is being taxed like non-essential items such as liquor and cigarette, instead of being treated as a critical infrastructure, according to Vodafone ...
Meghan, Harry and the royal baby's US tax dilemma  CNNAs first time parents-to-be, the Duke and Duchess of Sussex have plenty to worry about already, but thanks to the US tax system, there could be one more thing ...
2019 Tax Deadline: File Your Bitcoin Tax Return – or Else  CCNThe IRS tax code is insanely complex. Crypto users will need to navigate through the murky rules and file their Bitcoin taxes by the April 15 deadline.
The Best Single Change to the Tax Code? We Have 7 Ideas  BloombergA Tax Day wish list, from lowering the estate tax threshold to doubling a tax credit for childless adults.
The White House has reached peak ridiculousness on Donald Trump's taxes  CNNCongratulations, Sarah Sanders! You just made the single worst argument for why Donald Trump shouldn't release his taxes!
In Haryana's rice bowl, taxes and unfriendly state policies blamed for closure of paddy processing mills  FirstpostThe Kaithal Rice Mill Association blames the Haryana government's policies for the losses that most of the 225 rice mills in Kaithal incur. Elections on the GO by ...
Trump tax cuts help state revenues rebound | TheHill  The HillState governments are collecting more in tax revenues than their pre-recession peak, thanks to both a booming economy and the 2017 Republican tax cuts, ...
Further delay to Scottish devolved airline tax plans  BBC NewsPlans to replace air passenger duty with a discounted Scottish alternative have been delayed until at least 2020. Scottish ministers want to set up a devolved air ...
Will We Ever See Trump’s Tax Returns—And Does It Matter?  FortuneEver since President Richard Nixon was found to have understated his tax liability in the early 1970s, it has become common practice for presidents to release ...
Which Presidential Candidates Have Released Tax Returns  NPRCongressional Democrats are embroiled in the fight to try to compel the release of President Trump's tax returns, which he continues to decline to do. But with ...
Gov. Ned Lamont, Democrats on collision course over capital gains taxes  Hartford CourantWith six weeks remaining in the legislative session, Gov. Ned Lamont and fellow Democrats are on a collision course over a controversial tax increase for the ...
Want to lower Maine's tax burden? Don't forget to consider raising incomes.  Bangor Daily NewsWith the April 15 tax deadline in the rearview mirror, several groups have been drawing attention to Maine's high tax burden.. Maine news, sports, politics, ...
Cuyahoga County's high taxes prompt discussion about consolidation  cleveland.comA recent analysis that suggests Cuyahoga County is unduly burdened has the Greater Cleveland Partnership wondering if local government should be ...
Why Bernie Sanders Won't Just Release His Tax Returns  The InterceptWhy hasn't Bernie Sanders just released his damn tax returns already? It's a question that's something of a Rorschach test for Democratic primary voters.
California soda tax bill shelved, in reprieve for beverage industry  CNBCLOS ANGELES — A bill that would have slapped a statewide tax on sugary drinks in California stalled Monday when the lawmaker who authored it shelved the ...
David Cay Johnston: What Is Trump Hiding in His Tax Returns?  The NationThe Pulitzer Prize–winning investigative reporter explains what's likely in Trump's returns.
"How About Your Taxes": Walmart Responds To Amazon's Challenge On Wages  NDTV NewsAmazon.com Inc Chief Executive Jeff Bezos on Thursday challenged retailers to hike their minimum wages to $16 an hour, prompting a comeback from Walmart ...
Sarah Sanders: 'I don't think Congress' is 'smart enough' to look through Trump's taxes  CNNWashington (CNN) White House press secretary Sarah Sanders said Sunday that she doesn't think congressional Democrats are "smart enough" to review ...
How France Wiped Out Tax Debt of an Indian Industrialist Associated with Dassault  The WireAnil Ambani, close to Prime Minister Narendra Modi, benefited from a 140- million Euro tax waiver from France at a time when Dassault was negotiating the ...
Overwhelming Majority of Bitcoin and Crypto Investors Refuse to Report Taxes  newsBTCAccording to a new poll shared on Twitter, bitcoin and crypto investors are refusing to report the crypto-related gains or losses on their taxes.
How to Make Trump’s Tax Returns Public? The GOP May Have Cleared a Path  BloombergIf Democrats now in charge of the House Ways and Means Committee ever get their hands on President Donald Trump's tax returns, they could thank their ...
All the new details required in income tax return forms for FY18-19  Economic TimesThe Central Board of Direct Taxes (CBDT) kickstarted the annual income tax return filing ritual recently. The new income tax return (ITR) forms for the ...
Episode 760: Tax Hero : Planet Money  NPRJoe Bankman, professor at Stanford, figured out a way to make filing your taxes easy and painless. Then the tax lobby found out about it.
Tax Day 2019 Reaches Astronauts in Space, Too  Space.comFor U.S. citizens, there's no escaping Tax Day — not even if you've left planet Earth. Millions of Americans are expected to have filed their taxes for 2018 by ...
No need to file income tax return if buying property or selling without capital gains  The Financial ExpressShould I file income tax return (ITR) if I purchase of property for above Rs 30 lakh; sell a property without any capital gain and give gifts to relatives? – Pardeep ...
To widen tax base, govt may tweak foreign taxation rules  LivemintIndia is set to revamp its foreign taxation norms in the upcoming direct tax code to widen its corporate tax base and prevent other nations from taking a bigger ...
Who Profits When You File Your Taxes? | On the Media  WNYC StudiosTax Day is behind us, but the Taxpayer First Act is not. The bipartisan proposal passed the House last week and is now under consideration in the Senate — and ...
ITR-1 for FY2018-19 asks for interest income break-up from tax payers  Economic TimesFor the financial year 2018-19, you will have to give a break-up of your interest income when filing the basic income tax return (ITR) form, ITR 1. This will make it ...
Income Tax Return filing: How freelancers, consultants can save taxes while filing ITR  The Financial ExpressEven freelancers and consultants can avail tax benefits and save taxes while filing the income tax return. Here's how to do it.
City looking at options to collect taxes on short term rentals  KRIS Corpus Christi NewsCity leaders believe Corpus Christi is missing out on hundreds of thousands of dollars a year in taxes from short term rentals on sites like AirBNB. The city has ...

How To Set Up A Tax-Saving Bookkeeping System

One of the most important, but least understood or appreciated... Read More

Taxing Overseas Firms for SOX Compliance

The Sarbanes-Oxley Act, also called the Public Company Accounting Reform... Read More

Furnishing Evidence in E-Tax Compliance

Self-assessment relies on taxpayers voluntarily meeting their tax obligations. This... Read More

Hurricane Katrina ? How To Use Your Business Loss To Get A Refund on 2004 Taxes

With the massive losses caused by Katrina, the economy of... Read More

Identity Theft ? Impacting Your Taxes?

If your identity is stolen, your finances can quickly become... Read More

Tax Deduction for Alimony Payments? - Yes!

Over 50% of marriages end in divorce in the United... Read More

Keeping Your Own Money ? NOT Handing It Over To The Taxman

Most people trying to make a crust online (or offline... Read More

Small Business Tax Deduction - Write-Off Bad Debts

Practically every small business has receivables that it cannot obtain... Read More

Estate Taxes - It Pays to Plan Ahead

Estate taxes. It's not enough to simply know they exist,... Read More

Gambling Income and Expenses - Tax Requirements

Hit a big one? With more and more gambling establishments,... Read More

E-commerce Taxation

The means and types of businesses have transformed with advent... Read More

Requirements To Produce Tax Information (Whats Up With That?)

"What we've got here is a failure to communicate." ... Read More

Business Tax Loophole: Leasing Assets To Your Corporation

While there are many equally valid reasons to incorporate, saving... Read More

Reducing Taxes Through Dividend-Salary Mix Calculations

Should I take wages or dividends from my privately owned... Read More

Complaince of Tax Return in Electronic Commerce Taxation

Emerging Legal issues of Tax compliance of e-business Self-assessment system... Read More

Amending Procedural Laws for Collection of E-taxation

The electronic transaction ordinance defines the certificated copies in which... Read More

Need an Offshore Sales Office in a Tax Free Environment?

The 100 year old investment-banking firm of... Read More

Save Money on Taxes - Is the Only Way to Get Your Tax Savings is to Sleep With an IRS Agent?

Tilting the Tax Laws in Your Favor.In order to accelerate... Read More

Home Business Tax Tips

If you have recently started an Internet or home business,... Read More

IRS Certifies 2006 Toyota Hybrid for Clean Fuel Deduction

The Internal Revenue Service has certified the 2006 Toyota Highlander... Read More

Rental Property Tax Deductions

Own residential rental properties? This article discusses how income from... Read More

What to Do If You Can?t Pay Your Taxes

The end of tax filing extensions is quickly approaching. What... Read More

Back To School ? Educators Deduct School Expenses

As teachers and students head back to school following a... Read More

Tax Reduction Tips

In the rush to get tax returns prepared and filed... Read More

Knock-Knock-Knock

Knock-Knock-KnockWho's there?The IRS!The next quarterly payment of estimated income tax... Read More