[Magdalen] Quick return.

[Jim Guthrie]

Have everything I need except the Mortgage deduction and property tax deduction 
on Brooklyn. Supposedly, it's in the mail.

I've done an overall run through with Turbo Tax, and despite the substantial 
capital gain on the sale in Brooklyn, I have still figured out how to get a 
refund by transferring money from savings to the IRA savings account. As soon as 
that's all taken care of, I'll start taking back a distribution -- but without 
work income anymore I don’t expect to be paying much (if any) tax on that.

Deductions for Property taxes help, as do church and charity contributions.

Of course, getting money back means you've been giving government a tax-free 
loan. It's better, I think to calculate the exemptions taken on your W2 with 
your employer and then have to pay a bit at the end of the year, or get a very 
small refund.

Self-Employed (clergy, notably) usually get to pay Self-employment tax (Social 
Security that would normally be paid for by the employer) and then whine about 
it at tax time (or quarterly, as the case may be <g>).  And then there was the 
Rector who demanded the parish pay the mortgage on his new home "because the 
parish is obligated to pay for housing." I said there was no way we would double 
his housing expenses, and worked out a deal based on his property taxes and 
mortgage interest that in essence deducted them from the cost to the parish. But 
he still balked and complained to everyone in sight (including the bishop) that 
we were stiffing him.

It turns out that he had always lived in Rectories, so was unclear on housing 
deductions, and even better (or worse), we fond out later he hadnt even bothered 
to file tax returns for the previous five years or more.

I suppose not hearing him whine about the Self Employment Tax should have tipped 
me off, but I missed the clues.

Cheers,
Jim Guthrie