Who OWES the Gov. Money?!?!

I owe them nothing. However, they are stealing quite a large sum from me this year.

They have more guns than I do. And as we know, they will kill to collect their taxes.
 
:eek:

THEY SAY I OWE 2 complete CUSTOM varmint rifles and a full dress Kimber!

How depressing. :(

Rick


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Guns cause crime like trailerparks cause tornados.
 
Jeffelkins,

You took the words right out of my mouth.

I don't owe the federal government one thin dime, but they are extorting from my wallet over $6000.00 that I'm still paying on from 3 years ago.

But, I showed them! I reduced my productivity to where they owed ME $17.00 :rolleyes: Of course that went toward the $6000.00.

This year? I'll find out how well my planning went tonight... :( TFL regulations and my wife won't allow me to express my true feelings in terms that come close to how I feel about our tax system.

The system encourages nonproductivity because we are penalized as we become more productive.

The "new deal" indeed...

------------------
John/az

"The middle of the road between the extremes of good and evil, is evil. When freedom is at stake, your silence is not golden, it's yellow..." RKBA!

[This message has been edited by John/az2 (edited April 14, 2000).]
 
Dennis, I think you misread bookie's intent. If more people understood the system, I think we'd have more irritation about the amount our governments strip from citizens.

The idea is to make a reasonable estimate of what your income taxes will be for the year - tax software helps a lot in this area. Then take a look at what you're legally required to withhold or remit in estimated tax payments (generally based upon your prior year's taxes). If you're running your ship efficiently, then you will only withhold or remit what you're required to - no more. Now, after doing that, if you still think you will owe them money (say, $10K), then you save that $10K aside during the year - and, you earn the interest on that money.

When April 15 comes, you send in your return (or extension) with the $10K you've saved away. The difference? You earned interest on the $10K - probably $250 bucks, give or take (assuming you saved each month). That's why owing the government is better.

Besides ... do you really want to give Janet Reno money before you have to? ;)
 
Tax planning is fine, and yes I go ahead and do the loan thing so I don't screw up the family cash flow around tax time, BUT It just plain burns my ass that I spend more time working to support our f****n government waste (i.e. Clinton, and many others who don't have the humility to even act like they respect the labor of the people who support them) then I can usually manage to shoot in a week!

(Can you tell that I just mailed my taxes???, I get a refund, but the sheer volume of the toys and ammo I could have bought with what I paid to state and fed taxes last year was too much for my little mind to handle.....)
 
Jeff,

Wrong-o bucko!

If you fail to pay DURING THE YEAR, enough tax to come within 5% of your ACTUAL tax bill, you are penalized heavily. (And since it's the IRS, I assume it's with a real penis...) ;)

If you owed $10,000, I GUARANTEE that your penalty would far surpass any interest you'd earn. Ask a tax accountant.
 
Unless there was a change for 1999 that I didn't catch, underpayment penalties can be avoided by:

1) Paying 100% (110% for individuals with AGI greater than $150,000) of last years tax liability, or

2) Paying 90% of the current liability.

So, owing $10,000 (or $50,000 or $150,000) doesn't guarantee a penalty. Just make sure that you are "filed safe" with one of the above exceptions.

[This message has been edited by TaxPhd (edited April 17, 2000).]
 
Thanks, TaxPhd. I also checked the IRS web site ( http://www.irs.ustreas.gov/prod/forms_pubs/forms.html ), and (based upon the year 2000 form 1040-ES), the following is current law for 2000 estimated taxes, regarding the 'safe harbor':

"In most cases, you must make estimated tax payments if you expect to owe at least $1,000 in tax for 2000 (after subtracting your withholding and credits) and you expect your withholding and credits to be less than the smaller of:
1. 90% of the tax shown on your 2000 tax return, or
2. The tax shown on your 1999 tax return (108.6% of that amount if you are not a farmer or fisherman and the adjusted gross income shown on that return is more than $150,000 or, if married filing separately for 2000, more than $75,000).

*********************************************

Dennis, you should do what you're comfortable with ... tax planning gets pretty 'nerdy', and requires a pretty tight ship. To be honest, my 'ship' is often not as tight as it should be, and I simply make sure I've paid in just a little more than necessary based upon my reasonable estimate. However, the advice above remains true - the smart cookies pay only what they must, and invest the difference until the piper must be paid on April 15.

I should also mention the usual hedge: 'everyone's tax situation is different, so you should consult with your own tax professional' ...
wink.gif


Regards from AZ
 
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