J1’s and taxes – update

We all know how confusing is the situation with the J1’s taxes once you come back after you “work and travel” experience. So I have already made a brief overview of the companies in Bulgaria that you can get back your taxes with. You can read it here.

For my taxes I chose to give Verde tax a try. Now let me take you through the whole process and to the result at the end

1. I used their calculator to see how much in taxes can I get back.                                              The results were 1686$ federal tax and all the state taxes550$. Out of 2387.16$ which was the total of my taxes this did not sound bad at all.

2. They sent me their prices for the service. There are two options:

1.The standard package : 47$+17$ for every other check. This package would mean that you get both the Federal and State taxes together and this would take 4-6 months since the State taxes usually take forever.                                                                                                           2. The pro package: 47$ +5% from the taxes +17$ for every other check. With this package you get the Federal taxes as soon as they are available. Usually around 90 days after you send your documents for the tax refund. Then later on you will get a separate check with your State taxes as well.

tx2

3. I chose the “Pro package” since I wanted to have the Federal taxes sooner and use them for a vacation. I scanned all the documents needed which are:

  • W2 form or last pay check
  • A copy of your visa or ID
  • A copy of your Social Security Card
  • And signed documents with Verde tax itself

I sent all the documentation needed on 24th of March and they sent me a username and password so I can log in on their platform and check the status of my taxes.

4. Then I waited…and waited…and waited until 9th of August when I received the Federal taxes. The sum 1772$ which is even more than I expected. Great! 

5. The next step is to withdraw the money form my account to my bank account. I could do it either in dollars or in leva. They work with the exchange rate of DSK. I decided to get them in leva so I calculated the sum and the result was 3,065 leva and then when I tried to withdraw them from their site it showed me 3.029 leva. Of course, I contacted them and asked them what is going on. First, they couldn’t give me a reasonable explanation. Then they called me and told me that there is a problem in their system and they are fixing it so I may try later on or they will call me and tell me once it is fixed. At the end it was all good and I had my money.

6. I went to Bali and spent all my Federal taxes #sorrynotsorry 😉 You can read about my journey there here. And to be honest I have forgotten about my State taxes. So once I received another email saying “Your taxes are here” I was confused. But yes, these were my State taxes and what is more they came on my birthday – 20.09. The sum was 453$ – a 100$ less than I expected. Anyways, I had more of the Federal taxes back so there is a balance. I tried to withdraw them in leva but first I decided to calculate on my own just to make sure. Same story – there was a difference of 11 leva. Yes, this is not much and it does not really matter but I wanted to know why. I asked do they have a problem in the system again or they have never fixed it and they told that the exchange rate is changing a couple of times per day so probably that is the problem. Well, I do not think this is the problem. And I really find this unprofessional. 

So in conclusion: 

I am happy with Verde tax because I got almost all of my taxes back as they promised in the beginning. 

I am unhappy because with this “problem” in their system they easily get between 10 to 50 leva on top if you do not calculate the money transaction on your own and call them 5 times so they can fix it.  I do not know if it is their fault or is the system or are they just trying to make some more money this way, but I personally found this irritating.

For any further questions, do not hesitate to comment below 😉

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