Death but no taxes

[beachFool]

Fair TAX (alleged)

And, most if not ALL non-Americans, as well. It is estimated that converting our system to the fair tax would generate more than $7TR/year by capturing: those who cheat on their tax returns; and, illegal aliens alone.

I am officially for the Fair Tax.

That's only half the story.

If you think having a national sales tax is going to eliminate tax cheating then you are wrong.

Trust me, fudging sales taxes receipts is very common and undetectable.

The Fair Tax proponents are preying on the endemic ignorance of Americans.

To make up the shortfall the fair tax (alleged) would have to be higher than 30%.

So if cutting the till is tempting when the tax rate is 7%...gee wonder what it will be like when the sales tax is 37%?

A house that sells for 300K is going to cost the buyer almost $400K and the home mortgage interest deduction will go away.







I

 

[beachFool]

George Steinbrenner, the billionaire Yankees owner, could end up owing no federal estate tax -- because there is no federal estate tax this year.

PostPartisan - George Steinbrenner and estate tax insanity

Well, not exactly.

He's dead.

 

[beachFool]

So how much roughly will this dumbarse decision by Congress to let it lapse for a year cost us?

NO NO NO NO NO

Don't blame Congress.

This was a gimmick that effectively disguised the cost of the 2001 & 2003 tax bills.

Yes, Congress passed it but with all due respect it was part of the agenda of that great American president George W Bush.

Congress's foolishness is not the NO estate tax this year but the 1M allowable exclusion amount or credit shelter limit that will come back next year.

 

[futurebeachbum]

NO NO NO NO NO

Don't blame Congress.

This was a gimmick that effectively disguised the cost of the 2001 & 2003 tax bills.

Yes, Congress passed it but with all due respect it was part of the agenda of that great American president George W Bush.

Congress's foolishness is not the NO estate tax this year but the 1M allowable exclusion amount or credit shelter limit that will come back next year.

I wonder how many people are thinking of pulling their mortality events forward into the 2010 tax year now because of this?:shock:

 

[scooterbug44]

I thought the article said the reason we have NO estate tax this year was that Congress couldn't agree on the rate - so last year it was the old rate and the new rate goes into effect next year.

 

[Lynnie]

And, I thought there was discussion surrounding confusion over whether it would be 1MM or 3.5MM in 2011. Maybe it's been settled??

 

[LuciferSam]

That's only half the story.

If you think having a national sales tax is going to eliminate tax cheating then you are wrong.

Trust me, fudging sales taxes receipts is very common and undetectable.

The Fair Tax proponents are preying on the endemic ignorance of Americans.

To make up the shortfall the fair tax (alleged) would have to be higher than 30%.

So if cutting the till is tempting when the tax rate is 7%...gee wonder what it will be like when the sales tax is 37%?

A house that sells for 300K is going to cost the buyer almost $400K and the home mortgage interest deduction will go away.







I

I can't think of anything that would discourage buying and hurt the economy more than a sales tax. Not only that, the tax could be avoided in many cases by buying online as it is now. The bigger issue, nobody has the wisdom to figure out just what effect such an abrupt change in the tax system is going to have. There are too many variables. It could be disastrous for both the economy and the generation of revenue. We simply have no past history to go on. I think any changes to our tax system should be more gradual.

 

[beachFool]

And, I thought there was discussion surrounding confusion over whether it would be 1MM or 3.5MM in 2011. Maybe it's been settled??

It has been settled.

The tax cuts sunset and the limit goes back to 1MM in 2011.

 

[beachFool]

I thought the article said the reason we have NO estate tax this year was that Congress couldn't agree on the rate - so last year it was the old rate and the new rate goes into effect next year.

Didn't read the article.

The estate tax limit (allowable exclusion amount or whatever) increased incrementally from 2001 (675K) to 2009 (3.5MM). The estate tax vanishes this year but returns in 2011 with a allowable exclusion amount of 1MM.

This was enacted as what is popularly known as the Bush tax cuts.

The foolishness has many fathers.

 

[Lynnie]

I can't think of anything that would discourage buying and hurt the economy more than a sales tax. Not only that, the tax could be avoided in many cases by buying online as it is now. The bigger issue, nobody has the wisdom to figure out just what effect such an abrupt change in the tax system is going to have. There are too many variables. It could be disastrous for both the economy and the generation of revenue. We simply have no past history to go on. I think any changes to our tax system should be more gradual.

I used to think the same and we will probably have a lull for a couple of years regarding consumer spending. If you make $100,000, you take home approx $70K. With the sales tax, you take home $100K and pay a proposed 23% on everything you purchase. Do you spend $30K/year as a consumer? Capturing a tax on illegal aliens is very much a positive as well as securing a tax on those who are 'under the radar' and those who cheat on their returns. We do need a strong transition phase, however.