To use the Web-based calculators, first you connect your computer to the Internet. Then, you click the calculator links we'll give you in TaxCut. Your browser will open automatically and bring you to the TaxCut web site. Follow the instructions on the screen to start up the calculator. To use each calculator, simply fill in the numbers that the calculator asks for and view the results. The calculators don't use your TaxCut tax information, and don't save your entries.
Because the Web calculators don't use you name or any other identifying information, security isn't a concern. your personal information will remain on your own computer, and won't be transmitted to the Web calculator.
No, the calculator doesn't use information from your tax return. You will enter your information into the calculator manually.
If you earn a substantial amount of self-employment or investment income, you probably need to pay estimated taxes.
On the other hand, if most of your income is from your job(s), you probably don't need to pay estimated taxes. You should check to make sure your wage withholding will be enough to avoid penalties for underpaying your 2007 tax during the year.
If you don't know the amounts, use estimates. You can also try out different income and expense amounts to see how they affect the bottom line.
Taxpayers who contribute to a retirement plan and meet these conditions are eligible for the credit:
You cannot be a full-time student in 2007.
You cannot be claimed as someone else’s dependent in 2007.
You must have been born before January 2, 1990.
The contributions you made to your retirement plans must exceed the distributions you received from your retirement plan.
Your tax cannot have been reduced to $0 by other credits. (You can claim a credit only up to the amount of tax you owe.)
Your adjusted gross income must be under be under $26,000 if single (under $39,000 if head of a household; under $52,000 if married filing jointly).