Do I need to file the 2014 taxes if I am closing in march?

[Martis]

I just completed my taxes on turbotax (I did not submit) and its looks like is first time when I own taxes.

I am looking to close on a house in March. Do I need the 2014, 2013 taxes or 2012 and 2013 will be enough? I dont want to pay the taxes before closing because my funds are very limited until then because of the downpayment and 3rd paty taxes. Or can I file the taxes but pay the taxes owned later?

Any input is appreciated! Thank You

[mynameainttracy]

I just asked my LO this same question because we close on 4/2 and since we pay we usually wait til the last minute. They told me that if we were closing after 4/15...yes. Since we aren't...they don't need anything concerning the 2014 taxes.

We are using the 2012 and 2013 taxes.

[newstart2010]

they should not need you to pay the 2014 taxes till they are due.  but they will want to see the w-2s.  If you can take a closer look and see if there is anything else to deduct so you are not owing or have no problem paying what is owed i know our lender said they were happier knowing that the 2014 taxes were already filed and paid.  but it was not necessary.  

[ShanetheMortgageMan]

+1 on what mynameainttracy said.  2014 tax returns won't be required until tax filing day.  If you are filing a tax extension, then that can be used instead of the 2014 tax returns up until the extension expires.

[mynameainttracy]

But yes on the 2014 W2's. They wanted those as soon as we could get them.

[frugalQ]

our lender said it was not necessary to file our taxes before we close.  in addition, they did not ask for 2014 W2's.  we are scheduled to close 3/19.  if they come back and ask for W2's, i have them ready to send. 

it is a good thing...now we can claim addiitonal deductions related to our rental property.

[Anonymous]

Shane, this ties in with what I was asking on another thread about owing taxes & providing proof of ability to pay the installments. We're submitting our USDA Direct application this weekend & now I may just send in the old returns plus 1099 for 2014 instead of filing right away. You're a fountain of knowledge & I greatly appreciate your help.

[Anonymous]

Timely thread.

My situation- Pre approved, home under construction, estimated completion April 2015.

-Completed our 2014 taxes.  Our income increased 12k dollars (W2 salary).  The downside we owe 2500 to the feds.  I can pay the 2500 but I'd have to rob from the downpayment to do so, and I'm cutting it close WITH the 2500 in the pot.  

-Can they use our 2014 income for DTI without the file submitted to the IRS?  We're good with the 2013 income, but the 2014 makes things look better.

-Am I better off to just let things sit unless they ask for 2014 taxes?

[ShanetheMortgageMan]

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@Anonymous wrote:

Timely thread.

My situation- Pre approved, home under construction, estimated completion April 2015.

-Completed our 2014 taxes.  Our income increased 12k dollars (W2 salary).  The downside we owe 2500 to the feds.  I can pay the 2500 but I'd have to rob from the downpayment to do so, and I'm cutting it close WITH the 2500 in the pot.  

-Can they use our 2014 income for DTI without the file submitted to the IRS?  We're good with the 2013 income, but the 2014 makes things look better.

-Am I better off to just let things sit unless they ask for 2014 taxes?

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2014 tax returns are only needed at this point if you are looking to use self-employment income or rental income received in 2014.  If not, and if it's wages, then that income is verified through W-2's, paystubs & written employment verifications.