If you don't think you pay enough CA taxes, you will be able to donate soon! (Nice: credit, how much)

[CaliRestoration]

California Democrats are toying with a brash scheme to skirt a new federal cap on state and local tax deductions: Instead of paying taxes to the Golden State, Californians would be allowed to donate the money to the state’s coffers — and deduct the entire sum from their federal taxes.

https://www.mercurynews.com/2018/01/...ax-deductions/

Brilliant!

[Independentthinking]

Originally Posted by CaliRestoration

https://www.mercurynews.com/2018/01/...ax-deductions/

Brilliant!

This was already posted over a week ago in the tax thread. I'm assuming you're being sarcastic when you say "brilliant"? This is nothing more than a politican trying to get elected to the Senate with a stupid idea?

The IRS will look at intent first and foremost. In addition, at what point did the state get status as a charitable organization? Add to that...

"California lawmakers are considering a tax credit of 100 percent for the proposal — essentially allowing people to replace their tax payments with donations to a state fund. Californians who choose not to make the donation would still be required to pay state taxes."

Last I checked, charitable contributions are supposed to be voluntary. If the state has specific rules to make you pay taxes unless you give it to them, that's not exactly voluntary. Nice try, but this has a snowball's chance in hell in succeeding. Mind you, I'd love to see it succeed as with most things passed by the A-hole politicians on both sides of the aisle, the Middle Class in high COL areas are always the ones that get screwed (last example being Obamacare).

Ultimately, this is just Kevin De Leon saying look what I tried to do for you...vote for me!

[CaliRestoration]

Originally Posted by Independentthinking

This was already posted over a week ago in the tax thread. I'm assuming you're being sarcastic when you say "brilliant"? This is nothing more than a politican trying to get elected to the Senate with a stupid idea?

The IRS will look at intent first and foremost. In addition, at what point did the state get status as a charitable organization? Add to that...

"California lawmakers are considering a tax credit of 100 percent for the proposal — essentially allowing people to replace their tax payments with donations to a state fund. Californians who choose not to make the donation would still be required to pay state taxes."

Last I checked, charitable contributions are supposed to be voluntary. If the state has specific rules to make you pay taxes unless you give it to them, that's not exactly voluntary. Nice try, but this has a snowball's chance in hell in succeeding. Mind you, I'd love to see it succeed as with most things passed by the A-hole politicians on both sides of the aisle, the Middle Class in high COL areas are always the ones that get screwed (last example being Obamacare).

Ultimately, this is just Kevin De Leon saying look what I tried to do for you...vote for me!

C'mon man. Give it a chance. California needs more of this type of progressive thinking.

[Independentthinking]

Originally Posted by CaliRestoration

C'mon man. Give it a chance. California needs more of this type of progressive thinking.

I think you just answered my question on the sarcasm

[CaliRestoration]

Originally Posted by Independentthinking

I think you just answered my question on the sarcasm

I just want to see how much "voluntary donations" will come from the Democrat voting bloc in California.

[DKM]

Originally Posted by Independentthinking

In addition, at what point did the state get status as a charitable organization?

section 170(c)(1) to be exact. You should stick with whatever you're good at, tax law not being your forte.

[Independentthinking]

Originally Posted by DKM

section 170(c)(1) to be exact. You should stick with whatever you're good at, tax law not being your forte.

Laughable. There is also a section of the code on tax evasion (and that gets into intent...the part you conveniently dodged and of course the voluntary side...but nice selective editing).

I'm thinking you're not an accountant either.

The IRS has already started nipping some of this stuff in the bud. The most recent being pre-paying of property tax, that mind you, they didn't have a problem with before (and was readily encouraged). I suspect they'll be a host of advisories like this where the intent is obvious that it's simply to evade taxes.

[RosieSD]

The U.S. Federal Treasury has accepted "donations" from patriots who want to give part or all of their refund to help lower the national debt.

https://www.treasurydirect.gov/govt/.../gift/gift.htm

Nothing new under the sun.

[Finper]

De La Loser was on CNN this morning pushing this like it was really a good option. The reporter asked him why Ca just doesn't lower it's taxes. He was a deer in the head lights and mumbled something about bills here still have to be paid.

[Independentthinking]

Originally Posted by Finper

De La Loser was on CNN this morning pushing this like it was really a good option. The reporter asked him why Ca just doesn't lower it's taxes. He was a deer in the head lights and mumbled something about bills here still have to be paid.

Well, that's the typical hypocrisy. You'll hear guys like him scream against the wealthy and corporations scamming the government, pretending he's for the Middle Class and then he simply screws them over for his pet projects and encourages his own scam. Of course they could lower taxes and be a bit more responsible with how they spend (both parties could). But that's no fun (especially since he's just another pig at the trough).