[tax_people]

Dear Experts & People in the same situation,

I am in a complicated situation. I am confused. I do not have specific questions; thus, I might make it hard for all of you to understand what I really intend to ask here. I am so sorry. I just want to obtain general ideas or advices from anybody and all of you here.

I did a lot of research to receive Recovery Rebate Credit that I did not get last year because my wife (H4 Visa) did not have Social Security Number. As I have learned in this site, I can file married filing separately and then amend 1040X. By married filing separately, I will be able to receive only $600. But I am in the higher tax bracket and it results in owing more than $2,000 this year.

Here, I would like to ask both experts and all other members here about your general ideas, thoughts and advices.

My first question is:

It seems a little bit unusual to make $2,000 payment and then amend to receive that money back later. Also it may look silly to pay that much first just for $600. What would you do? Is it still no problem to go ahead filing this way?

My second question is:

With my knowledge, it seems I am not qualifies to any of special deductions since I do not have a home, a children and anyone in the college. Standard deduction and two exemptions are only deductions that I can apply so far. There seem a lot of different deductions and credits which lower this $2,000. But it is the fact that I am leading such a simple life that would not make big differences in my tax situation. Am I doing normal with my tax? Am I wrong and needing to ask CPAs to maximize other tricky, hidden and complicated deductions and credits? I need all of your experienced feedbacks.

Thank you very much in advance.

[AtlantaTaxExpert]

Your assessment about the RRC is correct, and it is YOUR decision to determine if it is worth the effort.

As for the second part, you are making the assumption that our tax system is FAIR.

Rest assured it is NOT fair! It is designed to tax those citizens and residents who in fact HAVE the money to pay.

Some people (those who do NOT have to pay the taxes at 25%, 28%, 31% or 35%) think this is fair, because they perceive that these "evil rich" people can in fact afford to pay these taxex and should "pay their fair share".

On the other hand, the "evil rich" perceive that the lower middle class family who get multiple $1,000 Child Tax Credits and the Earned Income Credit (which effecitively makes their tax rate ZERO or even allows them to get payments for having children they cannot afford to have to begin with) as "parasites" on society who are paying NOTHING for the rights and privileges they enjoy by living in the United States. These people are the ones who seek the various "flat tax" or "Fair Tax" proposals that have been proposed for the past 30 years to replace our current tax systems. Of course, under these new systems, the "evil rich" would pay less (and in some cases, a LOT less) in taxes than they currently pay, and the tax burden of everyone else would go up proportionately.

Simplistic? Perhaps, but the simple fact is that what is fair is a matter of perception, which is colored by everyone's individual circumstances.

That was my rant for the day. Take it for what it is worth!