Is this correct?

[Peter Matus]

Hi guys,

Quick question..I have W2 job and last year did around 85K gross from my job..Also in October last year I bought investment/rental property with 30% down..today my tax person told me-I owe the government $ 3,5K ...please keep in your mind compare to my coworkers I am paying crazy amount taxes during the year...I know each case is different and unique but is this even possible? I never in past have to pay taxes,always got little return...

[Kelly O'Keefe]

Hi @Peter Matus

I don't have all of the information on your specific situation but that does sound high. I would reexamine your transactions as there is probably more expenses available to you that can reduce your taxes. If you materially participated in the rental this could be another strategy to examine. I would also be curious if it was a big chain tax professional or your personal CPA? 

Another factor that could create the amount owed is if your employer is not withholding enough in taxes and it was not caught until tax season. Your tax pro should be able to tell you exactly why you owe the amount and where the taxes are coming from.