Saturday, October 8, 2011
WHAT’S THE BUZZ? TELL ME WHAT’S A HAPPENIN’
+ And check out “The Main Street Guide to College and Taxes”
by yours truly.
+ Nick Kasprack takes a stab at “Fact-Checking Warren Buffett”
at the TAX POLICY BLOG of the Tax Foundation.
Here is what Nick has to say (the highlight is mine)–
“The effective rates he claims for other workers in his office are extraordinary. To me, they seem too high to be realistic, and I can't figure out how he calculated them, even if you include all payroll (employee and employer side) taxes. Even if you assume the scenario that leads to the highest possible tax burden (single filer, no deductions), a taxpayer would have to make at least $285,388 (in 2010) before his or her effective rate reaches 33 percent.”
+ Speaking of WB’s statement, Kay Bell tells us that “Buffett Clarifies His 'Tax the Rich' Stance”
+ And while I was out Kay posted “Tax Carnival 91: Taxtoberfest”.
As usual, lots of good stuff, and some new (to me) blogs. I guess I forgot to send Kay something for this installment due to my previous computer’s diarrhea.
+ And Kay finishes a trifecta with interesting methods some states have instituted to collect back taxes in "Owe California Taxes? Pay Up or Lose Your Driving Privileges".
"On Tuesday Gov. Jerry Brown signed into law a measure that authorizes revocation of the driver's licenses of the Golden State's 1000 most egregious tax debtors unless they set up tax repayment plans with the Franchise Tax Board or State Board of Equalization."
“As a way to close Maryland's $1.3 billion budget gap, lawmakers there agreed to make driver's licenses and vehicle registrations contingent on motorists' tax compliance. The bill became law on June 1.”
+ Over at the NEW YORK TIMES site Ron Nixon and Eric Lichtblau make a great point in "In Debt Talks, Divide on What Tax Breaks Are Worth Keeping" (the highlight is mine) -
“Plenty of lawmakers are against tax breaks and so-called loopholes. Unless, of course, they personally helped create them.”
And such is the reason why I will probably never see a truly simple Tax Code in my lifetime.
+ Joe Arsenault provides a good explanation of the “Charitable Gift Annuity” at CAFETAX.
As Joe points out –
“A charitable gift annuity (CGA) allows a charitable donor to enjoy a charitable income tax deduction upon making a gift, while still guaranteeing a stream of future income payments.”
+ The JOURNAL OF ACCOUNTANCY tells us that the Tax Court has confirmed that “Medical Deduction Allowed for In-Home Personal Care”.
“The Tax Court held that payments made to an elderly woman’s providers of personal care that she required due to her diminished capacity qualified as long-term-care services and were therefore deductible under IRC § 213(d)(1)(C).”