Filing Exempt

[s. long]

What is the name of your state? CA
Because of some financial difficulty could I file exempt for the last three months of the year. I do not owe any back taxes and do not expect to owe any taxes this year?

 

[Snipes5]

It is easier to just change your withholding to a high number, if you think you've had enough withheld to cover your taxes.

Try 9, which should do a pretty good job of eliminating your withholding, and will go unnoticed by the IRS. They track withholding allowances of 10 or more.

Susan

 

[smorr]

9!!!!! That's a bit high, don't you think! I was making $36K four years back, owed nothing to the IRS, but was just about breaking even and I was filing as head of household and claiming 4 exemptions on my returns! I claimed 4 because I needed the extra cash up front, but it didn't make much difference since I was getting less in the end anyway. And when I say breaking even, I mean breaking even! One year I owed $400 doing that!

S.Long - I would caution you on claiming that many exemptions (9) to have more cash on hand. Try three and see what happens, but don't put yourself out on getting a refund for that. It's not worth it!

 

[Snipes5]

If the OP needs the money now and has had enough withheld to cover taxes, what would be the point of allowing the government to keep more money just so there would be a refund in April?

A withholding allowance of 9 is not that unusual. I've done that for years. Nothing withheld, and always get a nice refund of the government's money.

It really depends on individual circumstances, that's why I merely answered the question that was asked.

Snipes