Go Back   Winnipesaukee Forum > Winnipesaukee Forums > General Discussion
Home Forums Gallery Webcams Blogs YouTube Channel Classifieds Calendar Register FAQDonate Members List Search Today's Posts Mark Forums Read

Reply
 
Thread Tools Display Modes
Old 05-12-2021, 01:52 PM   #1
Lakegeezer
Senior Member
 
Join Date: Feb 2003
Location: Moultonboro, NH
Posts: 1,656
Blog Entries: 1
Thanks: 342
Thanked 614 Times in 277 Posts
Default NH Income Tax

Did you know that NH didn't extend its income tax deadline like the Feds and many other states did? I just learned that today, when as a life-long procrastinator, I finally got around to doing my Federal Income tax and got hit with a late and underpayment penalty. Ouch! Funny, the state site says, "We feel any extension to the April 15, 2021 due date, even by one month, risks causing confusion...". Well, it had the exact opposite effect on me. Thanks Gov!
__________________
-lg
Lakegeezer is offline   Reply With Quote
Old 05-12-2021, 02:04 PM   #2
Descant
Senior Member
 
Join Date: Mar 2006
Location: Merrimack and Welch Island
Posts: 4,004
Thanks: 1,204
Thanked 1,498 Times in 975 Posts
Default

The NH budget bill (HB 1 & HB 2) this year includes a phase out of the Interest and Dividends tax. Rep.Norm Silber of Gilford has been a leader in this effort. Thank you Norm.
Descant is online now   Reply With Quote
The Following 4 Users Say Thank You to Descant For This Useful Post:
marinewife (05-19-2021), pjard (05-13-2021), swnoel (05-19-2021), wobbelbill (05-13-2021)
Old 05-12-2021, 02:26 PM   #3
MeredithMan
Senior Member
 
MeredithMan's Avatar
 
Join Date: Aug 2013
Location: Bedford, NH; Meredith, NH
Posts: 862
Thanks: 233
Thanked 768 Times in 302 Posts
Default learned that last year...

I learned that lesson last year, when the state hit me with penalties and interest for "late filing". Even my CPA, who deals with clients in numerous states, was not aware that NH did not extend their deadline, (He is not based in NH). I appealed, claiming that it was not generally known, and believe it or not, they backed off.

This year, I did not make that same mistake, and neither did my accountant, as he told me that NH did not extend their deadline this year, either.
MeredithMan is offline   Reply With Quote
Old 05-12-2021, 04:44 PM   #4
GusMan
Senior Member
 
Join Date: May 2004
Posts: 122
Thanks: 0
Thanked 42 Times in 24 Posts
Default Fed income taxes...

I'm confused.... (not hard to do!) how does the state of New Hampshire have any say in when one must file his or her federal income taxes?

I'm a flatlander from Mass... and believe me... there's not a tax the state would ever postpone or give up. Last year Mass did not extend the deadline for the state income tax filing but it had no effect on our fed tax returns.

Cheers...

Gusman
GusMan is offline   Reply With Quote
Old 05-12-2021, 05:06 PM   #5
joey2665
Senior Member
 
joey2665's Avatar
 
Join Date: Sep 2008
Location: Meredith Bay & LI, NY
Posts: 3,220
Thanks: 1,204
Thanked 1,007 Times in 648 Posts
Default

Quote:
Originally Posted by GusMan View Post
I'm confused.... (not hard to do!) how does the state of New Hampshire have any say in when one must file his or her federal income taxes?

I'm a flatlander from Mass... and believe me... there's not a tax the state would ever postpone or give up. Last year Mass did not extend the deadline for the state income tax filing but it had no effect on our fed tax returns.

Cheers...

Gusman
They do not. States cannot legislate when federal taxes are due. The OP was referring to the State of NH leaving the filing date at 4/15 for state returns and not extending to 5/17 like the federal and many states have.

Many here know I am a CPA and in my opinion there was no reason at all to extend the deadline. Last year was much different with quarantining and many office closed but this year all tax documents were mailed or accessible in the required time frame. It’s just been on big headache


Sent from my iPhone using Winnipesaukee Forum mobile app
joey2665 is offline   Reply With Quote
The Following User Says Thank You to joey2665 For This Useful Post:
Loub52 (05-12-2021)
Sponsored Links
Old 05-12-2021, 05:46 PM   #6
Slickcraft
Senior Member
 
Join Date: Mar 2008
Location: Welch Island and West Alton
Posts: 3,211
Thanks: 1,166
Thanked 1,999 Times in 913 Posts
Default

The NH tax return is normally due every April 15th unless extended. So IMHO any reasonable person would have checked the see if NH extended the deadline or not this year.

Of course we TurboTax uses have to complete the Federal return first in order to fill out and file the NH return. So the Fed extension was mostly wasted on many NH income tax filers unless they owed the Feds a pile of $$ and needed the float.

Alan
Slickcraft is offline   Reply With Quote
Old 05-13-2021, 05:45 AM   #7
jeffk
Senior Member
 
jeffk's Avatar
 
Join Date: Feb 2004
Location: Center Harbor
Posts: 1,125
Thanks: 198
Thanked 417 Times in 237 Posts
Default

I knew the NH deadline had NOT been extended because I checked. However, I had a federal refund so filed early. When I got the refund, I decided to pay NH taxes owed with part of the refund. It felt good to get it all out of the way in March
jeffk is offline   Reply With Quote
Old 05-14-2021, 02:17 PM   #8
chaseisland
Senior Member
 
chaseisland's Avatar
 
Join Date: Jun 2007
Location: Concord, NH
Posts: 152
Thanks: 17
Thanked 66 Times in 42 Posts
Default Heart attack

Just putting NH on the same line with the word income tax caused many heart attacks, specially in the legislature.
chaseisland is offline   Reply With Quote
Old 05-18-2021, 08:39 AM   #9
Patofnaud
Senior Member
 
Join Date: Feb 2015
Location: Tilton/Paugus Bay
Posts: 234
Thanks: 13
Thanked 61 Times in 43 Posts
Default

gave me a heart attack...

around 40 years in state and never heard that term...
Patofnaud is offline   Reply With Quote
Old 05-18-2021, 12:05 PM   #10
phoenix
Senior Member
 
phoenix's Avatar
 
Join Date: Apr 2004
Location: phoenix and moultonboro
Posts: 1,518
Thanks: 58
Thanked 264 Times in 185 Posts
Default

for what it is worth a state by state study on state return on investment for taxes has NH ranked number one.. Put out by wallet hub. It is ranked 2 on taxes paid and 9th on overall government services rank. Cal is ranked 49th New York 44
__________________
it's tough to make predictions specially about the future
phoenix is offline   Reply With Quote
Old 05-19-2021, 07:18 AM   #11
JEEPONLY
Deceased Member
 
Join Date: Nov 2014
Posts: 702
Thanks: 360
Thanked 179 Times in 141 Posts
Default What?

What NH Income tax is being discussed here?
This is all above my head!
JEEPONLY is offline   Reply With Quote
Old 05-19-2021, 07:40 AM   #12
MAXUM
Senior Member
 
MAXUM's Avatar
 
Join Date: Apr 2004
Location: Kuna ID
Posts: 2,755
Thanks: 246
Thanked 1,942 Times in 802 Posts
Default

Quote:
Originally Posted by JEEPONLY View Post
What NH Income tax is being discussed here?
This is all above my head!
https://www.revenue.nh.gov/faq/interest-dividend.htm
MAXUM is offline   Reply With Quote
Old 05-19-2021, 09:29 AM   #13
Slickcraft
Senior Member
 
Join Date: Mar 2008
Location: Welch Island and West Alton
Posts: 3,211
Thanks: 1,166
Thanked 1,999 Times in 913 Posts
Default

Quote:
Originally Posted by JEEPONLY View Post
What NH Income tax is being discussed here?
This is all above my head!
The 5% NH tax on dividend and interest income was enacted in 1923. Where have you been?

You know, if you saved for retirement all your life and now live off those savings, you have to share 5% with everyone else in the state.

Alan
Slickcraft is offline   Reply With Quote
Old 05-19-2021, 10:47 AM   #14
Bear Islander
Senior Member
 
Bear Islander's Avatar
 
Join Date: Apr 2004
Location: Bear Island
Posts: 1,757
Thanks: 31
Thanked 429 Times in 203 Posts
Default

The confusion here is the often repeated, but false claim, that NH has no income tax.

There is 5% tax on dividends and interest income over $2,400 ($4,800 for a couple).
Bear Islander is offline   Reply With Quote
The Following User Says Thank You to Bear Islander For This Useful Post:
pondguy (05-19-2021)
Old 05-19-2021, 11:21 AM   #15
Descant
Senior Member
 
Join Date: Mar 2006
Location: Merrimack and Welch Island
Posts: 4,004
Thanks: 1,204
Thanked 1,498 Times in 975 Posts
Default "general"

The key word here is NH has no "general" sales or income tax. We don't tax capital gains either although the Dem voted last session to add that tax. This year, the House budget phases out the I & D tax. Hopefully the Senate will go along. Gov. Sununu supports that repeal/phase out. If your interest and dividends are earned within a NH Trust, there is no NH I & D tax. You do not have to be a NH resident to have a NH trust.
Descant is online now   Reply With Quote
Old 05-19-2021, 11:23 AM   #16
tis
Senior Member
 
tis's Avatar
 
Join Date: Jan 2006
Posts: 6,386
Thanks: 716
Thanked 1,375 Times in 951 Posts
Default

Quote:
Originally Posted by Bear Islander View Post
The confusion here is the often repeated, but false claim, that NH has no income tax.

There is 5% tax on dividends and interest income over $2,400 ($4,800 for a couple).
And don't forget Business Profits Tax (BPT) and Business Enterprise Tax (BET). BPT taxes profits of a business and BET taxes income of business and professional people that have their own enterprise or business.
tis is offline   Reply With Quote
The Following 2 Users Say Thank You to tis For This Useful Post:
ApS (05-19-2021), Seaplane Pilot (05-19-2021)
Old 05-19-2021, 01:26 PM   #17
TheTimeTraveler
Senior Member
 
Join Date: Aug 2015
Posts: 816
Thanks: 256
Thanked 259 Times in 157 Posts
Default

Quote:
Originally Posted by Slickcraft View Post
The 5% NH tax on dividend and interest income was enacted in 1923. Where have you been?

You know, if you saved for retirement all your life and now live off those savings, you have to share 5% with everyone else in the state.

Alan
Does anyone know how much revenue is generated each year for the State with this Dividend + Interest Tax ?

I'm wondering what the total revenue loss is if the State repeals this tax....
TheTimeTraveler is offline   Reply With Quote
Old 05-19-2021, 02:50 PM   #18
Slickcraft
Senior Member
 
Join Date: Mar 2008
Location: Welch Island and West Alton
Posts: 3,211
Thanks: 1,166
Thanked 1,999 Times in 913 Posts
Default

Quote:
Originally Posted by Descant View Post
If your interest and dividends are earned within a NH Trust, there is no NH I & D tax.
Well that depends:

Quote:
Are distributions from Trusts taxable?

For taxable periods ending on or after December 31, 2013, interest and dividend income received by estates held by trustees treated as grantor trusts under section 671 of the United States Internal Revenue Code shall be included in the return of their grantor, to the extent that the grantor is an inhabitant or resident of New Hampshire. Income reported by, and taxed federally as interest or dividends to, a trust beneficiary who is an individual inhabitant or resident of New Hampshire with respect to distributions from a trust that is not treated as a grantor trust under section 671 of the United States Internal Revenue Code shall be included as interest or dividends in the return of such beneficiary and subject to taxation in accordance with the provisions of RSA
Slickcraft is offline   Reply With Quote
Old 05-19-2021, 03:31 PM   #19
Descant
Senior Member
 
Join Date: Mar 2006
Location: Merrimack and Welch Island
Posts: 4,004
Thanks: 1,204
Thanked 1,498 Times in 975 Posts
Default Keyword

Key word: "within" distributions are different. There are always exceptions.
Descant is online now   Reply With Quote
Old 05-19-2021, 03:37 PM   #20
Descant
Senior Member
 
Join Date: Mar 2006
Location: Merrimack and Welch Island
Posts: 4,004
Thanks: 1,204
Thanked 1,498 Times in 975 Posts
Default $110mm

Quote:
Originally Posted by TheTimeTraveler View Post
Does anyone know how much revenue is generated each year for the State with this Dividend + Interest Tax ?

I'm wondering what the total revenue loss is if the State repeals this tax....
I think the estimate this year is about $110MM.
(House Bill) HB568 has a fiscal note that gives estimates through 2024. The full repeal would occur in 2025. I haven't looked at the exact language that went into HB2, the budget bill.

http://gencourt.state.nh.us/bill_Sta...txtFormat=html

Last edited by Descant; 05-19-2021 at 03:53 PM. Reason: Added detailed info and URL
Descant is online now   Reply With Quote
Reply

Bookmarks

Thread Tools
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is On

Forum Jump


All times are GMT -5. The time now is 04:27 PM.


Powered by vBulletin® Version 3.8.11
Copyright ©2000 - 2024, vBulletin Solutions Inc.

This page was generated in 0.11600 seconds