Posted on 01/07/2018 6:04:57 AM PST by Kaslin
Many of us feel the same way. Some posters around here have been relentless for months now about this subject. Their goal is to badger, bully, and pummel anyone who dares to state that not all is chocolate rainbows and magic unicorns with this tax law.
So two things:
1. No, you are not crazy
2. You are not alone in your conclusions
NO ONE should be getting an increase.
Somehow the Bannon-style populist drivel caught on and became popular.
I think a 25% corporate tax rate with everyone getting a tax cut would have been acceptable. When did Republicans become Democrats in wanting to stick it to the top 20% of earners?
Wow, what a lot of drama to respond to.
No, YOU are whining on thread after thread, posting the same thing over and over.
I, on the other hand, accept reality gracefully. And can look at the big picture, not just how it affects me personally. Admit it - if this didn’t affect you, would couldn’t care less about those ‘millions and millions’.
It’s not double-taxation. It’s like with property taxes - there is a percentage for schools, a percentage for fire, etc. After the percentage for schools is calculated, the base amount or principle, isn’t reduced to calculate the fire tax. The state income tax is in addition to the fed tax.
Why are you retired and living in NY? The NY state, local and real estate taxes were a huge deduction. Those days are gone. Democrats hardest hit.
IMO you should consider moving to a no-income tax state like FL, TX or WA and use the standard deduction. You’ll probably still pay more than you did with the NY state tax deductions but the savings in state taxes should make up for it.
The SALT deduction was a huge sweetheart deal for Blue states to offset their high state taxes with reduced federal taxes. Those state politicians’ greed and disregard for the citizens will be exposed.
I am a resident of Connecticut. If you imagine I can be driven out of the state where my family has lived since the 17th century by a bunch of liberal Democrats, you are greatly mistaken.
And the Dems aren’t so liberal any more, after receiving their latest property tax bill. I suspect the government here will be singing a different tune in the future.
DEFINITION: “Double taxation is a taxation principle referring to income taxes paid twice on the same source of earned income.”
And so you have told me there is new standard in your book: we are not allowed to speak out about issues that affect us personally.
So people in border states that are affected by illegal immigration and how it is destroying their emergency rooms and hospitals cannot longer speak out about it. People that have sky high premiums because of Obamacare can no longer speak out about it because it affects them personally. People who are affected by high crime cannot speak out about it because it affects them personally.
Sorry, I reject that.
state income tax is not the same as federal, it is meant for entirely different purposes and collected and administered by entirely different agencies
like the property tax example i already gave.
income is taxed federally, locally, and FICA tax. i don’t see you complaining that the FICA tax is a double tax. it’s no different than a state tax.
i didn’t say you couldn’t speak of anything. i said you are so involved in this because you will pay more in taxes. you wouldn’t say anything if that wasn’t true. it is clouding your judgement. the big picture is that companies will return, the economy will grow, most will benefit in ways not related to their taxes.
in order to pass this with a simple majority, the deficit had to be less than $1.5 trillion. I gather that is why there were tax increases in some areas. Perhaps if you try to look at this from a logical rational perspective looking at the big picture, you’ll get some peace. it is done. you can’t change it.
you can move to a better state though. i did, took off without a job to a place where i knew not a soul. and escaping Mexifornia was the best decision of my life (after getting my dog).
Fair enough post. We can agree to disagree.
Trump declared swamp draining over? I missed that, if true that is disheartening brews.
ok, handshake then ((()))
I really do hope it works out well for you. That maybe you get some income gain because of investments or something else that will offset the extra taxes. Or better yet you get to move to a conservative state! I think California is toast and I would like All the conservatives to get out of there, and that includes my son.
A couple of years ago Congress changed the law such that money taken from your IRA but paid directly to a charity from your IRA as a charitable donation does not count as taxable income. This had an effect similar to itemizing your charitable donations (but not your state taxes) without forfeiting your access to the standard deduction.Is that provision unchanged? The increase in the standard deduction makes exploitation of that provision more certain to be valuable - if it is still available in 2018.
Many thanks CottonBall.
I don’t know but I think charitable donations are still deductible in a standard return. I use TaxAct Online and I recall their Q&A has the charitable contributions deduction.
Now, just how do you ‘exploit’ the charitable contributions deduction?
Well, it’s funny to able to take the standard deduction and “deduct" your charitable donations. Which not having to declare as income money donated from an IRA effectively allows you to do.Seeing that that is the law, I have made use of it to minimize my tax liability for the past year and will this year (2017 tax year). And if that provision is unaltered, I’ll do it in the 2018 tax year as well. If it has been rescinded, the tax cut law will be a little less helpful to me personally than otherwise. That’s all. I suppose the option of donating stock to avoid capital gains taxation would still be an option . . .
He didn't say that. Newt Gingrich said that for some reason, but President Trump stated that that was wrong.
I’m sure you could do both an IRA and a stock charitable donation. I just don’t see how it would save money since you’re losing all the principle of the donations.
I.e., if you donated 20K to a charity to reduce income by 20K you may have lower taxes but you’ve lost the 20K which is much more than the tax you would have paid on that 20K.
Now, setting up your wife or a public trust as a charity -that might work. But I’d guess there are rules about that and getting around it all would be complicated.
There are tons of Capital Advisers on the radio here in Tampa. The competition is stiff so I assume they are the very good at what they do. Graham Capital Advisers and Walser Wealth are prominent. Graham does 30 second wealth management segments on the radio which are very insightful.
http://grahamcapitaladvisors.com
You are looking at it as if I were thinking to profit by contributing. No.The only issue is, given that I’m going to give, how much tax will I pay?
The new increased Standard Deduction is calculated to prevent people from itemizing. The higher the Standard Deduction, the fewer people will find it useful to itemize. The very word “itemize” implies that the “standard” deduction is a proxy for listing out the things which you should not be taxed for.
The recent provision for making it unnecesary to declare as income charitable contributions from an IRA - money which was never taxed as income, when earned - is in that sense a loophole. It gives the same benefit as itemizing those contributions, but still allows you to use the standard deduction as well.
The upshot is that raising the Standard Deduction helps everyone - but it would have been logical when doing so to have eliminated my “loophole” in the same law. I won’t protest if that was done - but the fact is that it would “gore my ox” a little.
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