Biggest Tax Refund You've Ever Gotten?

[PM5K]

I know some of us/you would be happy with any refund, I'm self employed which means I have to pay for my own Social Security and a few other things that I don't want to think about, but at some point we've all probably all gotten or are getting a refund.

So what's the biggest you've ever gotten (Get your mind out of the gutter CF)?

[CosmicCowboy]

This year will probably be the biggest. I expect to get about $12,000.

[Drachen]

with or without a homebuyer tax credit.


Without - ~10k
With - ~2200

I still have my first tax refund check. I was 14. It was $1.

[I. Hustle]

32,000

[austN Spur]

$900

I didnt work this year should i file my taxes? or at least the fact i didnt work. i wouldnt want them to come back and say hey i want proof you made nothing

[mrsmaalox]

The biggest was about $10k. Last 10 yrs or so it has averaged between $2k to $4k. This year I have to pay about $600 :depressed

[JudynTX]

32,000

:wow How many kids do you have?

[SpursStalker]

This year will be the biggest I've gotten ..

:D

[CosmicCowboy]

The biggest was about $10k. Last 10 yrs or so it has averaged between $2k to $4k. This year I have to pay about $600 :depressed

A lot of people that are accustomed to getting refunds are going to be paying this year...that "tax cut stimulus" last spring wasn't a tax cut at all...the tax stayed the same they just changed the withholding to not hold as much back from everyone's check.

[JudynTX]

This year will be the biggest I've gotten ..

:D

"That's what she said"!

[SpursStalker]

"That's what she said"!

:lol

Now to find the he

[Viva Las Espuelas]

A lot of people that are accustomed to getting refunds are going to be paying this year...that "tax cut stimulus" last spring wasn't a tax cut at all...the tax stayed the same they just changed the withholding to not hold as much back from everyone's check.


Hoax and chains. I adjusted my witholdings accordingly when that sham pushed through.

[PM5K]

The reason I ask is because I do a friends taxes every year for the past few years, and her refund is bigger than it's ever been.

I think it goes without saying that we are now much closer friends ;-)

[I. Hustle]

:wow How many kids do you have?

I just wanted to sound like a richer. The biggest was probably just under 6K.

[Thunder Dan]

correct me if I'm wrong, but don't you not want to get a big refund? A big refund is basically just a loan you gave the government and didn't earn any interest off it. So basically you just got screwed. The goal should be to not get a refund and not have to pay anything.

[Viva Las Espuelas]

correct me if I'm wrong, but don't you not want to get a big refund? A big refund is basically just a loan you gave the government and didn't earn any interest off it. So basically you just got screwed. The goal should be to not get a refund and not have to pay anything.

Is it even possible to know what to claim and what to withhold to break even? I don't believe that's possible.

[Thunder Dan]

Is it even possible to know what to claim and what to withhold to break even? I don't believe that's possible.

the IRS has the tax calculator on it's website which makes it pretty simple. The only thing you would have to account for is tax credits like the home buyer credit, but as far as income tax goes you should be able to nail it. My tax return was like $50 last year

[Viva Las Espuelas]

the IRS has the tax calculator on it's website which makes it pretty simple. The only thing you would have to account for is tax credits like the home buyer credit, but as far as income tax goes you should be able to nail it. My tax return was like $50 last year

I see. Then again it's only 12 months. I don't think you could make a whole hell of a lot on interest. That is if your return is less than a million dollars. But I understand what youre saying.

[Soul_Patch]

How the hell do you guys get refunds that big? My average is around 600 to 900 bucks. im fairly sure, due to some contract work my wife did this year, that we will be paying...

Sucks too since i bought a home this year, and dont even qualify for the damn house credit thing...since i closed like a month too early.

[Thunder Dan]

I see. Then again it's only 12 months. I don't think you could make a whole hell of a lot on interest. That is if your return is less than a million dollars. But I understand what youre saying.

I'm just saying. There should never be a goal to see if you can get a huge refund, the goal should see how little of a return you can get without having to owe.

The IRS will charge you interest if you owe them $1, but you can theoretically loan them thousands and not see a dime of interest for that loan. For a standard 2% savings account, you would gain $20 for each $1,000 you didn't loan to the government. I know it's not alot, but it's the principle of the thing. Why loan money for free to someone who will charge you interest they loan to you? Why not maximize the money you can make?

[Thunder Dan]

How the hell do you guys get refunds that big? My average is around 600 to 900 bucks. im fairly sure, due to some contract work my wife did this year, that we will be paying...

Sucks too since i bought a home this year, and dont even qualify for the damn house credit thing...since i closed like a month too early.

they aren't using the standard deduction we all get. You can itemize and get huge returns but you have to qualify. There are so many things that you can get money for: buying a home, moving for a job, buying things for a job, gas for certain things, charitable donations, kids, education, disabilities....all kinds of stuff.

Most people don't have itemized deductions that exceed their standard decution which is why you don't get these huge returns. For example, you may buy a home this year and get $8,000 which would take you over the standard, and you could write off things like giving clothes to Good Will and some other small things like education. The next year you won't see any money because you don't have that $8,000 to take you over that and the little money you get for the small donations doesn't take you over the standard deduction threshold.

[Drachen]

How the hell do you guys get refunds that big? My average is around 600 to 900 bucks. im fairly sure, due to some contract work my wife did this year, that we will be paying...

Sucks too since i bought a home this year, and dont even qualify for the damn house credit thing...since i closed like a month too early.

I am not sure that you have looked at things correctly. There has been a house tax credit in varying forms since late 2007. Now if you aren't a first time homebuyer, then that makes sense, since it is only the most recent one that allows for a current owner tax credit.

[CubanMustGo]

they aren't using the standard deduction we all get. You can itemize and get huge returns but you have to qualify. There are so many things that you can get money for: buying a home, moving for a job, buying things for a job, gas for certain things, charitable donations, kids, education, disabilities....all kinds of stuff.

Most people don't have itemized deductions that exceed their standard decution which is why you don't get these huge returns. For example, you may buy a home this year and get $8,000 which would take you over the standard, and you could write off things like giving clothes to Good Will and some other small things like education. The next year you won't see any money because you don't have that $8,000 to take you over that and the little money you get for the small donations doesn't take you over the standard deduction threshold.

The tax credit is just that, a credit and not a deduction. You don't have to itemize or exceed the standard deduction - you just get a credit of $8K against your net tax liability. It doesn't factor at all into whether or not you can (or should) itemize deductions.

[Thunder Dan]

Sucks too since i bought a home this year, and dont even qualify for the damn house credit thing...since i closed like a month too early.

you bought your first home from 1/1/2009-2/17/2009? ...damn that is bad luck. I would ask your Realtor if they is anything you can do to get the credit. They may know of something. Taxes are all about loopholes

[Thunder Dan]

The tax credit is just that, a credit and not a deduction. You don't have to itemize or exceed the standard deduction - you just get a credit of $8K against your net tax liability. It doesn't factor at all into whether or not you can (or should) itemize deductions.

yeah you are right, bad example. Make that $8,000 for buying work uniforms rather than a home

[CosmicCowboy]

How the hell do you guys get refunds that big?

This is how I did it...

https://www.freeelectriccar.com/images/cat_4.jpg
https://www.freeelectriccar.com/images/cat_6.jpg

[Soul_Patch]

No its not a first home.

[CubanMustGo]

I'm just saying. There should never be a goal to see if you can get a huge refund, the goal should see how little of a return you can get without having to owe.

The IRS will charge you interest if you owe them $1, but you can theoretically loan them thousands and not see a dime of interest for that loan. For a standard 2% savings account, you would gain $20 for each $1,000 you didn't loan to the government. I know it's not alot, but it's the principle of the thing. Why loan money for free to someone who will charge you interest they loan to you? Why not maximize the money you can make?

I don't know where you bank at to get a 2% return on your savings; even money market rates generally aren't that high.

As far as the gov't paying YOU interest, we actually did this year. I discovered an error on two years' prior returns; as a result, we were owed some money back and so we filed 1040-X's for the two years. The IRS paid the money AND interest on those amounts...and then sent us a 1099 this year so we would pay tax on the interest!

[CuckingFunt]

So what's the biggest you've ever gotten (Get your mind out of the gutter CF)?

Well, there was this one ex of mine...


I've only gotten one tax refund in my life. My longest stretch of employment was for family and my grandmother never figured things out right. Also, I was making so little at the time that it was easier to come up with a few hundred dollars once every year than it would have been to try and pay my bills on slightly less money every month.

She passed in late 2006 and left me a bunch of income property which I sold in 2007, so I got a nice return in 2008 of about $5,000. I've been unemployed and living off money in the bank since I came back to school, though, so I haven't even had to file for the last two years.

[Thunder Dan]

I don't know where you bank at to get a 2% return on your savings; even money market rates generally aren't that high.

As far as the gov't paying YOU interest, we actually did this year. I discovered an error on two years' prior returns; as a result, we were owed some money back and so we filed 1040-X's for the two years. The IRS paid the money AND interest on those amounts...and then sent us a 1099 this year so we would pay tax on the interest!

I was getting 1.69 at Ally online till about a month ago when it got knocked down to 1.49. ALLY, ING, and Etrade all had 2% at some time in 2009 I believe.

and I'm saying that the government doesn't add interest into your refund you get each year even though that is money they took from you for a couple months that you didn't need to pay to them. If I gave them $2,000 throughout the year to cover my taxes, and I only owe them $500, I don't see any interest on that $1500 they borrowed for a year. I could have used that money elsewhere for myself.

[Frenzy]

tax credit of 8,000 plus whatever return I usually get like 6,000. It all goes in the bank anyway.

[Sportcamper]

I am getting a larger than normal return because I am a timecard employee who claims “0” all year & I took advantage of some tax credits from the stimulus package…

Some of you folks are pretty savvy when it comes to finance & I hope you all continue to share your thoughts & information in 2010….:tu

[Soul_Patch]

Still waiting on 2 W2s for my wife, but based on what i entered so far from what we have, and estimating on the remaining W2s...we stand to get back almost $5000 dollars this year...

wut da fuck?!? sweet!

[JoeChalupa]

Looks we are going to have to pay this year.

[Frenzy]

Tax season.

I have friends in retail..they say people buying up furniture and electronics like hot cakes. I hope some people still save...for a rainy day.

[Soul_Patch]

Tax season.

I have friends in retail..they say people buying up furniture and electronics like hot cakes. I hope some people still save...for a rainy day.

pfft...who needs to save when the worlds going to end in 2012 anyway...MORE BLURAY PLAYERS!

[DarkReign]

I just wanted to sound like a richer. The biggest was probably just under 6K.

Richers dont get tax refunds, they get tax bills.

[DarkReign]

A person I work with paid $300k in taxes for 2009.

They then got a bill from the IRS for another $30k.

Thats a richer.

[CosmicCowboy]

A person I work with paid $300k in taxes for 2009.

They then got a bill from the IRS for another $30k.

Thats a richer.

I had to write a 232K check in 1996 when I sold a company I had started. I wanted to throw up.

[Soul_Patch]

I had to write a 232K check in 1996 when I sold a company I had started. I wanted to throw up.

Richer....




We do ok...when i was a kid, i thought people who made as much as my wife and i were rich...but now we are pretty much just average.

My tax returns have always been in the 100s...averaging around 600 dollars.

I think having the baby, me going to school, sending baby to daycare, really helped us with a ton of deductions this year.

[DarkReign]

I had to write a 232K check in 1996 when I sold a company I had started. I wanted to throw up.

...ouch...

Yeah, this person is heavily invested with real estate, stocks, precious metals and income.

I know its an excessive amount to pay in taxes...I'll never argue on behalf of government.

But lets not cry too many tears for a person who had an income in the 2 million-ish range. They got to keep 1.5 million. I am running out of kleenex, excuse me a moment...

[DarkReign]

By the way, I have no idea how much this person earned. I am guessing at $2 million. Could be less, could be more, I have no clue.

[CosmicCowboy]

...ouch...

Yeah, this person is heavily invested with real estate, stocks, precious metals and income.

I know its an excessive amount to pay in taxes...I'll never argue on behalf of government.

But lets not cry too many tears for a person who had an income in the 2 million-ish range. They got to keep 1.5 million. I am running out of kleenex, excuse me a moment...

Eh, I wish I had made that much. I built the company for 5 years and they basically took half the profit when I sold it plus recovered some startup loss write-offs.

[Wild Cobra]

I have never had a large refund and I find it ridiculous that people get large refunds. Cowboy's refund does not reflect on him, but the insane policies of our government. Nobody should be subsidized that can provide for themselves, except for temporary, emergency reasons.

The tax system should be simplified, and nobody surprised by what the owe.

As for large refunds, letting the government take way too much taxes out for a larger refund... Can you say "tax free loan" to the government! You'd be better off to put that money in a savings account.

Now I find this $400 "Making Work Pay" credit ridiculous that most of us will get. I do the best I can to have to pay the government a little rather than give them a tax free loan. If not for the $400 credit, I would be paying the feds $105. Instead, I'll be getting $295 back. If I didn't feel I already pay too much taxes, I wouldn't even claim it.

The part of the tax code that disgusts me is the "Earned Income Credit." Years ago, it only applied for someone of low income with 1 or 2 children. Then they added single people to it, and now they pay even more up to 3 kids.

I'm sorry people, but if you cannot afford to than kids... DONT!

Why are we subsidizing baby factories?

[Drachen]

I have never had a large refund and I find it ridiculous that people get large refunds. Cowboy's refund does not reflect on him, but the insane policies of our government. Nobody should be subsidized that can provide for themselves, except for temporary, emergency reasons.

The tax system should be simplified, and nobody surprised by what the owe.

As for large refunds, letting the government take way too much taxes out for a larger refund... Can you say "tax free loan" to the government! You'd be better off to put that money in a savings account.

Now I find this $400 "Making Work Pay" credit ridiculous that most of us will get. I do the best I can to have to pay the government a little rather than give them a tax free loan. If not for the $400 credit, I would be paying the feds $105. Instead, I'll be getting $295 back. If I didn't feel I already pay too much taxes, I wouldn't even claim it.

The part of the tax code that disgusts me is the "Earned Income Credit." Years ago, it only applied for someone of low income with 1 or 2 children. Then they added single people to it, and now they pay even more up to 3 kids.

I'm sorry people, but if you cannot afford to than kids... DONT!

Why are we subsidizing baby factories?

Well if you don't like the EIC adding single people, then you will love the fact that it rewards single parents over married filing jointly. My wife and I don't qualify for the EIC with our two kids because we make too much. However, if we were not married, and she claimed her daughter, and I claimed our daughter (each single with one child instead of married with 2 kids), then not only would we each qualify, but the aggregate sum of the two EIC's would be 1000 more.

[ashbeeigh]

I just checked...I got $981 last year. That was $200 more than this year. So that's the highest.

I think it was all the student loan payments that did it last year. It knocked down my net income like $1,500. This year it was only $200.

[Wild Cobra]

Well if you don't like the EIC adding single people, then you will love the fact that it rewards single parents over married filing jointly. My wife and I don't qualify for the EIC with our two kids because we make too much. However, if we were not married, and she claimed her daughter, and I claimed our daughter (each single with one child instead of married with 2 kids), then not only would we each qualify, but the aggregate sum of the two EIC's would be 1000 more.
Yes, I know. There are people who do manipulate the system as much as they can too. I can't really say I blame anyone for using the loopholes, but the fact it can happen is irritating.

[PuttPutt]

Here's my question.....

I have medical bills that piled up last year. I've set up payment plans with all the doctors, cause I can't afford to pay each bill all at once. Can I use those as deductions, even though I haven't fully paid them yet. My families medical bill adds up to like $6500 last year. $4000 for me & $2500 from our son being born. I have insurance, & thank goodness. The actual bills came out to like $45,000.

Without those deductions I'm getting $3400. Last year got $8200 from the original 1st time home buyer credit.

[CosmicCowboy]

Here's my question.....

I have medical bills that piled up last year. I've set up payment plans with all the doctors, cause I can't afford to pay each bill all at once. Can I use those as deductions, even though I haven't fully paid them yet. My families medical bill adds up to like $6500 last year. $4000 for me & $2500 from our son being born. I have insurance, & thank goodness. The actual bills came out to like $45,000.

Without those deductions I'm getting $3400. Last year got $8200 from the original 1st time home buyer credit.

No if you have insurance then co-pays and insurance deductibles are not tax deductible.

[CubanMustGo]

Here's my question.....

I have medical bills that piled up last year. I've set up payment plans with all the doctors, cause I can't afford to pay each bill all at once. Can I use those as deductions, even though I haven't fully paid them yet. My families medical bill adds up to like $6500 last year. $4000 for me & $2500 from our son being born. I have insurance, & thank goodness. The actual bills came out to like $45,000.

Without those deductions I'm getting $3400. Last year got $8200 from the original 1st time home buyer credit.

From reading the IRS site, they key on "paid" expenses, not expenses incurred.


You can include only the medical and dental expenses you paid this year, regardless of when the services were provided. (But see Decedent under Whose Medical Expenses Can You Include, for an exception.) If you pay medical expenses by check, the day you mail or deliver the check generally is the date of payment. If you use a “pay-by-phone” or “online” account to pay your medical expenses, the date reported on the statement of the financial institution showing when payment was made is the date of payment. If you use a credit card, include medical expenses you charge to your credit card in the year the charge is made, not when you actually pay the amount charged.

See http://www.irs.gov/taxtopics/tc502.html and http://www.irs.gov/publications/p502/index.html.

If you pay them this year, you would add them to your itemized deductions (the amount exceeding 7.5% of your AGI, anyway). With a family it's hard to reach the standard deduction, but if you're already able to itemize, this will help.

[CubanMustGo]

No if you have insurance then co-pays and insurance deductibles are not tax deductible.

False. Any amount you pay out of pocket (that is not reimbursed by insurance) can be claimed (after deducting 7.5% of AGI). You can even claim your medical premiums, unless they are paid for by your company or you pay for them with pre-tax earnings.

From the same IRS publication:


You cannot include medical expenses that were paid by insurance companies or other sources. This is true whether the payments were made directly to you, to the patient, or to the provider of the medical services.

Amounts you have to pay in excess of what insurance pays, e.g. were NOT paid by insurance, are thus allowed. There are exceptions; if you have a health reimbursement account funded either by your employer or by pre-tax earnings, you cannot deduct anything you are reimbursed for from that account.

[CosmicCowboy]

False. Any amount you pay out of pocket (that is not reimbursed by insurance) can be claimed (after deducting 7.5% of AGI). You can even claim your medical premiums, unless they are paid for by your company or you pay for them with pre-tax earnings.

From the same IRS publication:


You cannot include medical expenses that were paid by insurance companies or other sources. This is true whether the payments were made directly to you, to the patient, or to the provider of the medical services.

Amounts you have to pay in excess of what insurance pays, e.g. were NOT paid by insurance, are thus allowed. There are exceptions; if you have a health reimbursement account funded either by your employer or by pre-tax earnings, you cannot deduct anything you are reimbursed for from that account.

True, but 7.5% of gross per year for the average person is a very high threshold.

[CubanMustGo]

True, but 7.5% of gross per year for the average person is a very high threshold.

:tu Now THAT is something we can agree on. :toast

[PuttPutt]

True, but 7.5% of gross per year for the average person is a very high threshold.


It is high, but medical bills add up quickly & insurance companies try to get out of paying for lots of things.

Had I paid them in full last year, my total paid would've been more than 7.5% of my gross profit.

[florige]

My brother bought his house in 2000, and he annually gets over 10k back.

[CosmicCowboy]

My brother bought his house in 2000, and he annually gets over 10k back.

Must be a hell of a house. He would have to pay 30K a year in interest for it to translate into 10K back on taxes.

[florige]

Must be a hell of a house. He would have to pay 30K a year in interest for it to translate into 10K back on taxes.



No it is a little two bedroom house that is really small. Idk how he manages to rake in that much every year. I know he isn't paying that much interest on that shitty house. I'm not sure how he gets back that much every year then.