Have you completed your taxes? I’ll be filing an extension. For all of my life until a couple of years ago I’ve always filed before April 15th. Always. But since Mr. A has his own business, and I have a few side gigs I have decided I will take my time instead of trying to rush and get everything done.
I prefer to use H&R Block At Home Premium + State 2011 and this year I bought the electronic download version. I have completed my son AJ’s taxes since his are straight forward, even though he does have a full time job and side gig.
One of the reasons I have decided it is okay to file an extension (well, it is okay and perfectly fine to file an extension but the perfectionist in me would like me to be done ON TIME and not file an extention) is because I read the book pictured above by June Walker Self-employed Tax Solutions, 2nd: Quick, Simple, Money-Saving, Audit-Proof Tax and Recordkeeping Basics for the Independent Professional. Mrs. Walker is a tax accountant for entrepreneurs and she actually encourages us to file an extension so that we can take our time in getting our taxes completed properly. Sometimes I’m very impressionable and Mrs. Walker’s rationale sounded good to me.
I sat down last weekend to make sure we did not owe anything. Mr. A’s business did very terribly last year, and I was sure we would get a refund, since I’d made estimated payments based on my estimation that he would net at least $9000. When I put my W2 information, we had a refund coming our way, since I also pay extra in with my paycheck so that we don’t have to come up with as much estimated payments. As I got to the self-employment section I put in Mr. A’s gross, and now we owed money. But then I started putting in materials and mileage, and office supplies, and everything else and I expected to see the amount owed turn into a refund, but it didn’t. I was alarmed! This meant I was going to have to get much more serious about looking at our taxes and RIGHT now because this meant we were going to have to come up with a payment by today.
I was so distraught I told Mr. A that I had to go lie down for awhile. When I had calmed down I got back on the computer and that was when I realized I just hadn’t gone far enough through the process because now the program showed we were getting a refund again.
I’m not happy about my money sitting there, so I’m not going to wait a full six months to finish our taxes, but I am glad for the option to file an extension for the time being.
So what about you? Are you all done?