Do it Yourself

[LawrenceGR]

I have a friend who went on line to TaxSlayer "Do your own taxes free" site and of course after the fact brought to me. They couldn't figure out why they had to pay so much this year when they never paid before. I looked over the return and found a note on line 63 other tax that was about how much they had to pay. I said all that so I could ask the question does anyone have an idea of what U.T stands for? These people have a pretty ordinary return: 1040 Sch A.

[JoshinNC]

unreported tips

someone worked as a waitress, hostess, etc. and didn't report tips for SS and Medicare (at least that's what the system read the W-2 to say)

[LawrenceGR]

Thanks

for the info since she works in a school I'm sure the information was miskeyed somewhere.

[Jiggers]

Do-it-yourself-ers

for the info since she works in a school I'm sure the information was miskeyed somewhere.

Don't you just love it!

I charge extra to correct their "do-it-yourself" returns.

[LawrenceGR]

The Funny Part

The funny part of this story is, I don't charge my close friends and relatives. I told these people early in the season I would do their return free of charge, I understand these matters are a little delicate but I am a professional I honor peoples privacy. I have a feeling they will come see me next year. P.S. I think this post makes a me senior member.

[WhiteOleander]

Check the W-2's. UT is usually SS/Med tax that the employee pays stemming from something off the W-2. There are various reasons they might have to pay their own FICA.

They may have input something incorrectly and not owe the tax at all. I would look at the W-2's first. Go from there.

HTH

[natiro]

Do it yourself

I had a client who did the same thing in 2005. He mis-coded his 403b contribution of 14,000 and was assessed the 14,000 as additional tax on his self-prepared return. The only reason it was discovered was that he also didn't report any 1099B transactions and got a notice regarding that issue. Had he filed the Sch D originally, he would have paid 14,000 too much in tax and would have never noticed.

It cost about $150 more to fix his return than it would have cost had I prepared it originally.

[DonPriebe]

Code M or N in W2 box 12

will end up as "UT" on line 63 on the 1040.

[Zee]

Code M or N will end up as "UT" on line 63 on the 1040.

Code M – Uncollected Social Security or RRTA tax on taxable group term life insurance over $50,000 for former employees. Include this amount as part of your total tax on Form 1040.

Code N – Uncollected Medicare tax on taxable group term life insurance over $50,000 for former employees. Include this amount as part of your total tax on Form 1040.

[taxea]

Do it yourself

Obviously, this is a case of you get what you pay for. taxea