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re: Why do I owe money in taxes this year versus last year when little has changed?

Posted on 1/22/18 at 8:40 pm to
Posted by theunknownknight
Baton Rouge
Member since Sep 2005
57440 posts
Posted on 1/22/18 at 8:40 pm to
my base pay went up but that's it - still within the same bracket. It's clear as mud - might have to go to an actual CPA on this one.
Posted by Weagle25
THE Football State.
Member since Oct 2011
46221 posts
Posted on 1/22/18 at 8:58 pm to
Going through your 1040 and comparing it to last year should be pretty simple. Something had to have changed. Also as someone said earlier you need to be looking at tax liability (line 63) not your refund/tax owed.

If your AGI is fairly similar, then my next thought would be to check your itemized.
Posted by Saint5446
Member since Jan 2014
823 posts
Posted on 1/23/18 at 5:22 am to
The “bracket” isn’t the only thing that raises your taxes. If you make more in the same bracket as last year you still have to pay taxes on that even if you don’t meet the next bracket cutoff.
Posted by LSUFanHouston
NOLA
Member since Jul 2009
37171 posts
Posted on 1/23/18 at 2:12 pm to
quote:

my base pay went up but that's it - still within the same bracket.


Do you itemize? Did this change?

Is your additional income causing phaseouts of itemized deductions, exemptions, and credits?

Did your withholding increase enough to "keep pace" with the increased earnings?

Is your income earned pretty evenly through the year, or does it go up and down?
Posted by lsufan1971
Zachary
Member since Nov 2003
18396 posts
Posted on 1/23/18 at 2:51 pm to
quote:

might have to go to an actual CPA on this one.


Started doing this 2 years ago and it's worth it if you make over 150K per year IMO. My CPA has more than saved me what he costs.
Posted by TigerintheNO
New Orleans
Member since Jan 2004
41248 posts
Posted on 1/23/18 at 3:33 pm to
quote:

my base pay went up but that's it


yes, that would probably be it
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