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View Full Version : Tax refund for Military Bonuses


drester7
Feb 8, 2008, 12:43 PM
I reenlisted in the army during '07 and received an 18000 bonus that was taxed 25%. I was expecting to receive a big refund, however, turbotax is saying that that I am entitled to receive a refund far less than I anticipated. I also paid 1100 in interest on student loans, which should increase the amount of the refund, but it didn't, so I am wondering if I am doing this tax return correctly. If I earned 47000 and had 6980 withheld in federal taxes, is a refund of 3000 resonible or should it be higher. This is the most I have had withheld from me and I expected to have a higher return than this.

AtlantaTaxExpert
Feb 13, 2008, 12:25 PM
The student loan interest SHOULD be deductible if your AGI is less than $70,000.

Did you spend any time in SouthWest Asia in 2007? If so, some of your income is tax exempt.

The $3,000 refund appears to be TOO HIGH, but I may not be accounting for everything.