Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
That's good you know the tax code so well, child/dependent credit phaseouts, etc. Yet, curiously enough, I think you were the person who said that the previous administration "took away your exemptions". You of all people would know that the phaseout of the personal exemption was in the code. It was temporarily removed under the 2003 (unpaid for) tax cuts. So it came back after that, but at much higher income levels. So who took away what from you again?
First read a post before replying. Read the text highlighted in red in my previous post (quoted below).
I started my business in 2006. My products were geared toward the rich and my company really took off around 2011. Prior to that, it was paying debt, reinvesting, working my butt off to build that. And finally around 2011 enjoying the benefit of taking the risk, Obama and Democrats pulled his tax "the rich... insinuating that a high income, means making that kind of money for years, having many years to build net worth, insinuating that high income means you must have load of money, a couple houses, a personal jet.
It was good and bad timing. Good timing because I served people who had alot of money, bad timing because I didn't have enough time in to build wealth and got caught in the Obama years where making good money was looked down upon and the mentality was you had money to give away.
The rhetoric (lie) was pathetic and disgusting, worse, he and Democrats mislead the American people to believe a lie all to funnel more money to the government. Who knows, it might be your kid that tries to make a go of it and the anti-business, you didn't build that mentality may still exist.
Quote:
Originally Posted by petch751
Call me nerdy but from very young I understood that the tax code effects my take home pay so I became very interested in learning what I can do to become tax efficient so I could keep more of my money. I'm getting my information from what I've learned through the years of reading, applying and asking my CPA questions.
As life went on I'll keep learning as different situations pertained to my situation.
I wonder why you think "everyone" gets their tax code education from the media, could it be you're allowing yourself to be educated by the media instead of really being educated on such an important subject?
First read a post before replying. Read the text highlighted in red in my previous post (quoted below).
I started my business in 2006. My products were geared toward the rich and my company really took off around 2011. Prior to that, it was paying debt, reinvesting, working my butt off to build that. And finally around 2011 enjoying the benefit of taking the risk, Obama and Democrats pulled his tax "the rich... insinuating that a high income, means making that kind of money for years, having many years to build net worth, insinuating that high income means you must have load of money, a couple houses, a personal jet.
It was good and bad timing. Good timing because I served people who had alot of money, bad timing because I didn't have enough time in to build wealth and got caught in the Obama years where making good money was looked down upon and the mentality was you had money to give away.
The rhetoric (lie) was pathetic and disgusting, worse, he and Democrats mislead the American people to believe a lie all to funnel more money to the government. Who knows, it might be your kid that tries to make a go of it and the anti-business, you didn't build that mentality may still exist.
yes, reinstituting a 3% raise in income over 250K that previously existed....my god, he's just like Hugo Chavez.....
yes, reinstituting a 3% raise in income over 250K that previously existed....my god, he's just like Hugo Chavez.....
It doesn't matter, the people he effected are the very people trying to make a go of it, not the rich but that didn't stop him and Democrats from lying about it nor did it stop people who don't have a clue about the difference between high income and true wealth from being their useful idiots.
And notice, when it's about to hit the very people Obama and Democrats SAID he was going to raise taxes on, they're screaming. People who make high income pay alot while people at the bottom pay little or no taxes so why don't they pay their fair share?
yes, reinstituting a 3% raise in income over 250K that previously existed....my god, he's just like Hugo Chavez.....
Questioning is local government reliance on property taxes to the point that owning a home no longer makes financial sense because the property taxes consume any appreciation other than the "wealth" generated by a housing bubble. In effect, local tax authorities are capturing all future appreciation for themselves.
Property tax is not based on consump but real median household incomes rose a only 5% max. Local tax authorities love housing bubbles because rising valuations justify higher property taxes. But the homeowners' income needed to pay higher property taxes may well have declined during the bubble due to layoffs, shortened hours, medical emergency, reduced bonus, etc.
The consequences of this mismatch of earnings need to pay the soaring property taxes. Since they are able to write off these taxes federally, they are also short changing the federal government needed to run the entire country.
A wealth tax based on housing valuations applies equally to homeowners with diminishing income, i.e. the decidedly non-wealthy.
Unaffordable property taxes may well start evicting homeowners from the so called "asset" they mistakenly thought they "owned." If your Social Security pension can barely pay your property tax, never mind your Medicare, healthcare costs, food and other living expenses, then what exactly do you own?
As far as the tax authorities are concerned, all you really own is an obligation to pay property taxes and an option to profit from the next housing bubble. If the bubble pops in a recession that also costs you your job, well tough luck, Bucko--your "asset" reverts to the state/county as payment for property taxes you can't possibly pay.
In areas with high property taxes (California, New Jersey, New York, Illinois, etc.), annual bills in excess of $10,000 annually are not uncommon. If we take $13,000 annually as a typical total property tax in these areas (property taxes can include school taxes, library taxes, and a host of special assessments on top of the "official" base rate), the homeowner "owns" the obligation to pay local tax authorities $130,000 per decade for the right to "own" the house.
In 20 years of ownership, the homeowner will pay $260,000 in property taxes. Let's compare that with the rise in their homeowners' equity.
So in effect, anyone "owning" a home with high property taxes is leasing the property from the local government for the "right" to gamble that a new housing bubble is underway. But of course real estate doesn't always go up.
In areas with high property taxes (California, New Jersey, New York, Illinois, etc.), annual bills in excess of $10,000 annually are not uncommon. If we take $13,000 annually as a typical total property tax in these areas (property taxes can include school taxes, library taxes, and a host of special assessments on top of the "official" base rate), the homeowner "owns" the obligation to pay local tax authorities $130,000 per decade for the right to "own" the house.
In 20 years of ownership, the homeowner will pay $260,000 in property taxes. Let's compare that with the rise in their homeowners' equity.
So in effect, anyone "owning" a home with high property taxes is leasing the property from the local government for the "right" to gamble that a new housing bubble is underway. But of course real estate doesn't always go up.
Actually, the market value of my house (and its land) has increased much, much more than $260k over the past 20 years. With large increases in property taxes as well.
Of course I could move, the question being where. One of my relatives lives in Fairhope, Al and I have looked at that area very carefully. Even there, although the places that I have looked at there are considerably cheaper than here, they are in total not the cheapest by any stretch of the imagination. And thats even much more true in looking at equivalent areas (and homes) such as Fairhope (and where I currently live) compared to the same in and around Atlanta. I could move to a rural area but have absolutely no interest in doing so.
High property values and taxes aren't just only a feature in high tax states. Its also true for most large metro areas around the country, regardless of the state.
In areas with high property taxes (California, New Jersey, New York, Illinois, etc.), annual bills in excess of $10,000 annually are not uncommon. If we take $13,000 annually as a typical total property tax in these areas (property taxes can include school taxes, library taxes, and a host of special assessments on top of the "official" base rate), the homeowner "owns" the obligation to pay local tax authorities $130,000 per decade for the right to "own" the house.
In 20 years of ownership, the homeowner will pay $260,000 in property taxes. Let's compare that with the rise in their homeowners' equity.
So in effect, anyone "owning" a home with high property taxes is leasing the property from the local government for the "right" to gamble that a new housing bubble is underway. But of course real estate doesn't always go up.
Buy and sell cost (taxes and fees) + price paid - price sold + maintenance cost + mortgage interest - FIT savings + property taxes = total cost
Compare the above versus rental cost for a comparable house over the same length of time.
Removing property taxes from FIT personal exemption would adjust the amount of the FIT savings above.
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.
Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
