Obama's "Making work pay credit." (You can get $400 back when you do your taxes)

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    Feb 14, 2011 3:00 AM GMT
    Sorry that this is such an intricate subject that I can't wrap my brain around the specifics. And I'm sorry the media is covering Sarah Palin's vagina and Egypt when it should be covering this. From my filing of 1040 (and thanks to a close tax-guru friend), on line 63 (page 2) where it says "Making work pay credit. Attach Schedule M," after doing some work I was able to deduct a few hundred dollars!

    Here is the direct link to SCHEDULE M to complete for 2010 and then fill out in line 63:
    http://www.irs.gov/pub/irs-pdf/f1040sm.pdf

    Here is the worksheet for SCHEDULE M for 2010:
    http://www.irs.gov/pub/irs-pdf/i1040sm.pdf

    I don't expect this to benefit many people except for the few who do their taxes on their own. I wouldn't even understand this myself if it weren't for the help from my friend. If you're not doing your taxes, hopefully your Turbo Tax and H&R Block knows about this. Also, KUDDOS to President Obama for helping workers save on their tax returns, albeit making it somewhat difficult.
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    Feb 14, 2011 3:07 AM GMT
    You didn't find this out last year?icon_eek.gif
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    Feb 14, 2011 3:08 AM GMT
    q1w2e3 saidYou didn't find this out last year?icon_eek.gif


    Nope. Is there a thread on it? I was like many impetuous people who just got Turbo Tax and blindly had it do this for me. I just discovered doing taxes on my own the good old fashion way and wanted to spread the knowledge for other people who, like me, have been living in a cave for the past year.
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    Feb 14, 2011 3:11 AM GMT
    No, what I mean was that the ARRA did this for tax years 2009 and 2010. Did you get it last year?
  • gumbosolo

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    Feb 14, 2011 5:18 AM GMT
    Turbo Tax online does check whether you are eligible for this deduction - I was working on my 1040 and also had trouble figuring out exactly what this was about, but I appreciate the break.
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    Feb 14, 2011 5:30 AM GMT
    gumbosolo saidTurbo Tax online does check whether you are eligible for this deduction - I was working on my 1040 and also had trouble figuring out exactly what this was about, but I appreciate the break.


    is that with the free edition? or do you need the basic or premium which tells you about deductions?
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    Feb 14, 2011 5:31 AM GMT
    JAKEBENSON said
    q1w2e3 saidYou didn't find this out last year?icon_eek.gif


    Nope. Is there a thread on it? I was like many impetuous people who just got Turbo Tax and blindly had it do this for me. I just discovered doing taxes on my own the good old fashion way and wanted to spread the knowledge for other people who, like me, have been living in a cave for the past year.







    Check your last years return and if you were due a deduction that wasn't taken last year, you may very well be eligible to file an amended tax return for last year and get some money back. It might be worth the time to check.
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    Feb 14, 2011 8:33 AM GMT
    Hey Real Jock,

    I did mine Taxies from H&R Block and I don't brother to read the small print and what every I need to paid I paid but I got a nice sum in 2009 but in 2010 My older cousin has a CPA accounted and not sure what mine deal will be?

    BW
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    Feb 14, 2011 4:21 PM GMT
    southbeach1500 saidOh, by the way, the "Making Work Pay Credit" is NOT available to everyone who has a job.

    Apparently some people's work is valued more (and thus rewarded) by the government than other's. icon_rolleyes.gif



    It was meant as assistance to help low income workers (the working poor) not to give more to those who already have plenty like the way Dubya did, the poor spend of necessity, circulating money into the economy, which in turn increases orders, which in turn can increase the number of jobs, which also benefits the wealthier small business owners.

    That's a good thing isn't it ?