I am receiving an annunity from my company who retired me. They are paying for the annunity which I receive a monthly amount each month for the next 5 years. I was told that I may owe taxes on this money. There is no withholdings at this time.
Thanks you!
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only if the total of all your taxable income exceeds your standard or
itemized deduction plus personal exemptions.
Not all of annuity payment is called taxable income . part is merely a return of what you contributed to it which doesn’t even count as income (though it may reduce eligibility to take some credits )
Your question can only be answered by a licensed & registered tax preparer who asks you a number of questions and applies knowledge and skill. You may or may not have to pay taxes on your annuity depending on the circumstances surrounding its creation and set up. Unless you have a degree in accounting and taxation you probably couldn’t come up with the questions necessary to determine the answer.
Yes you’ll owe tax on any payments you get that are more than you paid for the annuity in the first place. If your company, not you, paid for the annuity, it’s all taxable. You’d be wise to have tax withheld.
it is taxable income but how much of it is taxed depends on your personal situation which you did not disclose See a pro well worth the money
yes