And Change those W-2s and STARVE THE BEAST!
BFCR
The beast is printing money way beyond its tax revenues. The beast must be put back in the cage, or destroyed; if we are to have an American future.
Thank you fars for the ping! Mad dawgg, really appreciate this thread. Look forward to reading the comments.
Yes, the beast who must not be fed..
NOT EXACTLY! What you should do is to claim more exemptions but NOT more dependents.
You are entitled to take as many exemptions as you feel are justified by itemizing your deductions, claim certain credits, have other adjustments to income such as charitable contributions, state and local taxes, medical expenses in excess of 7.5% of your income, and miscellaneous deductions. You can also take projected tax credits into account in figuring your allowable number of withholding allowances. (Download the 2009 W-4 withholding for and worksheet)
Next, in addition to your regular job, start a second job but make it a small business with you as the only employee. In other words, moonlight as a self-employed person who has to use their car and a computer. You can write off all of your small business expenses, including the use of your car and computer. The deductions for cars used in businesses is huge! Since almost all small startups return a negative profit (loss) the first year of operation, plan on incurring a lot more expenses than income. DON'T use the business in the home deduction -- it is a major, red flag.
Itemize, itemize, itemize. You can, and will, beat the standardized deduction with a little perseverance. There are hundreds of things that you can deduct legally if you push the envelope a "tad" regarding its business use. Even if you have a small business on the side, you can still claim employee's expenses for your primary job.
Donate! Donate! Donate! Give everything that you are not using or wearing to Goodwill, the Salvation Army, Human society or other charitable organizations. Don't throw it away, give it anyway. Then take a deduction for its "fair market value" which just so happens to be a lot "higher" in your neighborhood.
Open an IRA (eventually) and take the tax credit.
Try to take one or more tax credits located at the end of the 1040.
Did you have anything stolen (or that could have been stolen), even if you left something somewhere and when you went back it was gone? Is there anything you have that someone might might take it if you left it somewhere? Is it something that would be worth more in the future, like a collectible? Claim a loss. Did you leave your wallet somewhere and when you recovered it, you noticed that your money was taken (perhaps even by someone you know)? Claim a loss. Did any of your possessions become damaged by vandalism -- even items that you no longer needed? Claim a loss.
Did you go looking for a second job before you decided to have a small business? Deduct the cost of "looking" for a job. Did you buy anything to use on your job, go anywhere as part of your job, or spend any of your money for anything related to your job -- no matter how remote? Take employee expense deductions. You would be amazed at how many things can be costed out this way.
Buy anything new electronic equipment, computers and peripherals, or furniture for your job (or for your small business)? Take the Section 179 exemption instead of depreciating them so that you get back the full cost of the item on your current return.
Once you've done all that, go back as many times as possible when you think about some other deduction or tax credit you can add.
Lastly, You will be doing your own taxes. Some people like Turbo Tax. I prefer Taxcut. With either, you can file ELECTRONICALLY at any time, but I highly suggest that you file on April 14. The closer to the deadline you file, the safer it will be.
If your child goes to a religious school, rather than pay a tuition, make a donation to the church. In other words, right the check to the church, not the school.
Companies need to lower their prices as much as they can to stimulate buying. Lower taxes mean less tax revenue. People aren’t buying anyway but lower tax revenues will cripple them.
Congress and Obama just spent 2 Trillion dollars we don't have without raising taxes. They can print more money in the short-term. They have no intention of paying off the debt in the long term.
Do you really think an Authoritarian regime has not considered and planned for dealing with tax avoidance? You can't starve the beast by denying it something it doesn't need. You just make yourself a target.