How to Slash Your Taxes

Townhall.com ^ | April 22, 2004 | Alan Reynolds

[kdot]

I have discovered a fool-proof strategy for beating the income tax, the Social Security tax and the Medicare tax: Lower your income.

Lowering your income is much easier than increasing your income. And it helps you avoid the nasty traps Congress sets to catch those foolish enough to earn too much money -- phasing-out deductions and exemptions, selectively repealing deductions with an alternative minimum tax, limiting the share of income you can put away in a 401k plan, and denying eligibility for tax-financed benefits such as student loans and scholarships. Lower your income and these problems disappear. To do this comfortably, it helps to have some savings. This game is best played by previously industrious but frugal people who are now approaching the ripe side of mature.

[kdot]

"... I promptly cut my labor income by another 27 percent in that year alone. I did that by shutting down a consulting business I had run for 10 years. "

This describes how hard work is penalized. I wonder if the consulting business employed others?

[Kozak]

As a physician, right in what should be the prime of my career, I'm looking to cut back. As soon as my youngest is in college, 3 years, I will begin to throttle back to fewer and fewer hours. Most of my colleagues are in the same boat. There is already a shortage in many specialties, and it's gonna get worse. Look for me on the beach....

[codyjacksmom]

Tax ping...

[TexasTransplant]

If I cut my Income anymore I will be on Welfare and that would be an Increase of Income, Now what do I do?

[Born Conservative]

bump for later reading

[lainde]

I figured that out too. I was doing extra ER shifts after an 8 hour day and full weekends. Got hit with a MASSIVE tax bill. My accountant advised me to triple my mortgage and "live in that money or give it to the IRS"..And cut back on the hours. We work like employees and are taxed like corporations...Except they pass on their taxes to the customers.

[Dementon]

Tax reform ping.

[ancient_geezer]

A Taxreform bump for you all.

Income is bad, don't you know? 'cRATs tax what they want less of.

If you would like to be added to this ping list let me know.

John Linder in the House & Saxby Chambliss Senate, offer a comprehensive bill to kill all income and payroll taxes outright, and provide a IRS free replacement in the form of a pure consumption tax:

H.R.25, S.1493
A bill to promote freedom, fairness, and economic opportunity by repealing the income tax and other taxes, abolishing the Internal Revenue Service, and enacting a national retail sales tax to be administered primarily by the States.

Refer: http://www.fairtax.org & http://www.salestax.org

[kjam22]

We are an over taxed society and I hate paying taxes.... but I learned a long time ago that the only thing worse than paying taxes, is not making enough money to owe any.

[ancient_geezer]

We work like employees and are taxed like corporations...Except they pass on their taxes to the customers.

Who is still we, to the tune of 20-25% federal tax burdens imposed embedded into the price of all goods and services.

Seems to me we need a line item on our grocerybill receipts detailing the taxes we pay don't you?

[ancient_geezer]

If I cut my Income anymore I will be on Welfare and that would be an Increase of Income, Now what do I do?

Pay more of the taxes that are hidden within the price of everything we buy.

Hey, government gets yah both coming and going. They just don't always tell yah about the going side of the 20-25% federal tax burden built into our "stuff".

"Out of Sight, Out of Mind" don't yah know?

[Badray]

FairTax bump.