Tax Collection: where to find 3.3 billion

The government's own employees:

Federal workers owe IRS the $3.3 billion
Lots of people haven't paid all their taxes -- including employees of the federal government.

The IRS released data this week showing that roughly 3.3% of federal employees and retirees owed $3.3 billion in unpaid taxes as of Sept. 30.

That means they either couldn't pay the full amount owed when they filed a return, or they got snagged by an IRS audit and were told they owed more than they already paid.

The data, released after USA Today requested it under the Freedom of Information Act, broke down delinquency rates by departments and independent agencies.

At the low end of the scale was the Treasury Department, which had a 1.2% non-compliance rate.

A big part of Treasury is the IRS itself, which had a delinquency rate of 0.9%, according to an agency spokesman.

The rate among the population at large is at least 8.7%, the IRS estimates.

A few weeks ago the IRS found itself in hot water with Congress for having paid $1 million in bonuses to 1,100 IRS employees who were late in paying their taxes or had willfully understated their tax liability or income.

But it turns out the delinquency rate among Congressional staffers is higher -- 4.87% in the House and 3.24% in the Senate -- than those of IRS workers.

The government departments with the highest non-compliance rates were the Department of Housing and Urban Development (5.29%), the Department of Veterans Affairs (4.38%) and the Army (4.28%).

Among large independent federal agencies, which have at least 1,000 employees, the biggest offender was the Court Services and Offender Supervision Agency (8.05%), followed by the Government Printing Office (7.99%), the Smithsonian Institution (6.7%) and the Federal Reserve's board of governors (6.51%).

On the low end of the scale was the National Credit Union Administration (1.75%), the U.S. Nuclear Regulatory Commission (1.97%) and the Executive Office of the President (2.05%).

     

Will the Middle Class Survive?

4 Things Politicians Will Never Understand About Poor People

Off the top of your head, how many of your friends can you think of make less than $11,000 a year? Maybe they work some mind-numbing part-time job, taking cover charges and stamping hands at a strip club. Or if you're a bit older, how many families do you know of who have one person working, bringing in less than $23,000 to support a spouse and a couple of kids? There's nothing wrong with either of those things ... but those numbers are the poverty threshold in the U.S., and in my area of the country, it encompasses a fudging poopload of people (sorry, I'm trying to cut down on my cursing).

Poverty is a hot topic for politicians, but it seems like every time they open their mouths about the subject, stupid falls out. There's a huge part of me that wants to grab them by their orphan skin lapels and scream reason into their preciously oblivious brains, but the logical side of me knows it won't matter.

[...]

But of all the poor people I've known over the years -- and I have known a lot -- I have come across very few able-bodied, able-minded people who didn't do something to bring in some money. Even the ones who didn't have so much as a part-time job still managed to at least find temporary seasonal work mowing lawns, shoveling snow, or standing on street corners and playing the guitar with their penis.

So if the issue is that these people are watching reruns and collecting government checks, guess what: 91 percent of government benefits go to the disabled, elderly, or working households. Not a typo -- 91 percent. You're free to speculate that some of those people could try harder or are faking their disability or whatever, but there's no way the reality lines up with this politician fantasy of the lazy masses who just greedily rub their hands together while leeching their unfathomable riches from the always generous American populace.

[...] 

OK, let's be calm here. Let's just take a deep breath and talk about this like the rational, well mannered, non-cursing people that we are. Here is an infographic that ran in the Wall Street Journal talking about how the new tax code would be "highly painful" for Americans. The graphic covers every possible scenario the Wall Street Journal can conceive of, from the single mom only making $260,000 a year to the retired couple trying to get by on a fixed income of $180,000:

Reading that dumb fucking mind turd of an image is like wiping my ass with my eyes. If you can look at that steaming pile of shit and not see what's wrong with it, you live in a different goddamn universe than the rest of us.

No, that didn't come from a politician, but this sure as hell does. That's Linda Sanchez, who is desperately trying to tug at our heartstrings by saying that she lives paycheck to paycheck. On her $174,000 salary. To pay for her multiple homes. Now, I understand that if you live a certain lifestyle and you're a limp dick at finances, it would be pretty easy to burn through that much in a year, but does that make us any more sympathetic? Fuck no, it doesn't. Even as one of the least wealthy members of Congress, she still earns three-and-a-half times more money than the average American household. And 16 times more than those at the very top of the poverty line.

So the question is, how can she possibly think of herself as poor? Because $174,000 a year is poor -- for a member of congress. They have no concept whatsoever of what life is like for someone getting by on what most working people make, let alone somebody subsisting on government aid. Although they can comprehend our income as a number, they cannot comprehend the lifestyle because they haven't lived it and they likely never will. You're not going to find these politicians hanging out in the poor section of town, scrounging change for weed (well, maybe Bill Clinton) -- they spend most of their time around other wealthy people -- other members of Congress (about half of which are millionaires), rich donors, high-powered business types, celebrities, etc. So their idea of "poor" or even "brokeass" is the pitiful bastard at the bottom of the chain who is living off of that measly $174,000 base salary because he or she doesn't have any other income on the side. Linda Sanchez is their version of poverty. [...]

My own income has always been a lot closer to $11,000 than those figures in the Wall St. Journal Info Graphic. And yes I get it, that a lot of people aren't sympathetic to people who make six figure salaries, complaining about taxes.

Yet that graphic was from an article in the Wall Street Journal last year. This year, 2014, many of those groups are getting slammed even harder with more taxes.

People in those income brackets used to put away money for their children's college education, buying a home, buying their own health insurance, saving money in 401k accounts for their retirement, invest in their own businesses in order to supply themselves with jobs and an income. They would use the money to become independent, and maintain their independence, by not having to borrow excessively, or rely on others to supply their needs for them.

That used to be considered a good thing, and why it used to be said that the middle class was the "backbone of America". They knew how to take care of themselves, and not be a burden to other people. The more of their money that is taken in taxes, the less they will have to do that with. Or to invest in their own businesses.

I can sympathize with people who struggle with only $11,000 a year. I've been there, and I'm not far from it now. But destroying the middle class isn't going to help the most people in the long run. A tide that lifts all boats, would be preferable to sinking the most productive boats.

A congress that is more interested in lifting all boats, instead of just looking out for it's own interests, might be a good step in the right direction. They could start by actually passing a budget, and living within it, like the majority of the people in this country have to do.
   

What's ahead for 2014 tax season

Ask Claudia:

Claudia's Crystal Ball: Tax Filing Season 2014

Each December as many begin to enjoy of the giddiness of the holiday season, I take the time to predict what the coming tax filing season will hold in store for tax advisors and their clients. These are my predictions for filing season 2014:

2014 filing season will not be as bad as 2013. Congress waited until the first week of January 2013 to tell us what the rules were for 2012. For 2013 there will be no retro-active changes, and the biennial list of expiring tax benefits will simply expire and be addressed mid-2014. For many, delayed tax forms meant filing season 2013 didn’t start until the first of March. IRS expects to be ready by the end of January 2014.

Higher income taxpayers with primarily investment income will be blindsided by additional taxes, and wonder why their tax advisors didn’t prepare them for the additional money they owe.

Higher income taxpayers with primarily earned income (in excess of $200,000 for singles and $250,000 for marrieds) will be blindsided by higher taxes this year, and wonder why their tax advisors didn’t prepare them for the additional money they owe.

The Supreme Court’s Windsor decision on the Defense of Marriage Act (DOMA) will create a need for time-consuming discussions with same-sex couple clients who recently married and find they owe additional taxes.

DOMA creates a need for time-consuming discussions with same-sex couple clients who want to discuss whether they should get married and how to avoid the higher taxes they will face. [...]

And that's just half her list. Follow the link to read the other five predictions.

     

Jesus was born in Bethlehem because of ....Taxes?

Yup. Looks like it:

The Christmas tax story

With Mary so close to delivering her child, why did she and Joseph risk traveling to Bethlehem? Taxes.

A census was ordered to determine the taxes due from the residents of the Roman Empire. Each person had to return to his home town to meet the decree's requirements.

So Joseph and Mary headed out from Nazareth in Galilee to Judea, specifically to the city of David known as Bethlehem, an estimated three-day trip, because Joseph was of the house and family of David.

And the rest is Biblical history. [...]

Follow the link for the scripture references and various embedded links.

Gosh. Taxes. They're everywhere.

Merry Christmas!
     

Taxes on Credit Unions?

It's a possibility, as government looks for more tax revenues:

www.donttaxmycreditunion.org/learn-more/

Credit unions promote the economic well being of their members, especially those of modest means, through a system that is member-owned, volunteer-directed and not-for-profit.

The credit union mission has always been to ensure secure financial choices at lower costs for their members. That’s why credit unions offer financial products that provide better returns on savings, reduced rates on loans and lower or no fees on services.

While credit unions are regulated by the federal and state governments, they are also governed by volunteer boards elected by their membership. Credit unions don’t answer to stockholders, but to each of their 96 million members.

Credit unions invest in people by helping those who have been traditionally underserved by banks. Groups like seniors on fixed incomes, single working moms, minority communities needing greater community investment, and small business owners struggling to raise capital all rely on credit unions for important financial services at reasonable costs.

While the big banks have abandoned small businesses in droves because they just can’t make enough money, credit unions promote their small business members in a struggling economy by providing low cost credit alternatives. This credit union investment means millions of jobs across America.

Unfortunately, the big banks and some in Congress want to raise taxes and impose new fees on 96 million credit union members who represent 40% of all Americans, yet represent only 6% of the assets in financial institutions. And, they want to do this despite the fact that credit unions are not-for-profit and meeting their core mission every day.

That’s wrong and will imperil the credit union movement that so many have come to depend on for real financial choice.

Don’t let Congress raise taxes on 96 million credit union members. Don’t let Congress eliminate real financial choice. Don’t let Congress destroy our credit unions.

To learn even more about credit unions in your community, or join a credit union please visit http://www.asmarterchoice.org/.

     

Oregon: The Best Tax Preparing State

Oregon: Land of many well-prepared tax preparers

A few years ago, Congressional investigators issued a report that should've caused Oregonians to swell with pride. And irritation.

Oregon's tax returns, the investigators found, were more likely to be accurate than the rest of the country's -- about $250 more accurate as of 2001, the Government Accountability Office found.

Unfortunately, that meant 1.56 million individual Oregon taxpayers paid $390 million more in federal taxes than they would have if they lived elsewhere, the report said.

Oregon: We do our taxes right. And we pay for it.

Last year, I reviewed online tax prep sites. This year, I figured I'd help those wanting live person helping.

As you see, you're in good hands in Oregon.

Still, you can overpay for your service. Not everyone needs to pay a Certified Public Accountant by the hour to do their returns. [...]

It goes on to give some good definitions of what LTPs, LTCs, EAs and CPAs are and what they do.

His follow-up column was also instructive:

Selecting a tax professional? It's OK to be picky

[...] So, where to start looking for a tax pro? Ask a friend or someone whose judgment you trust whom he uses. If you shop around, interview more than one in person. You'll get a better feel for pedigree, fees, specialties and personality.

"Some tax pros are not great communicators," said Joseph Anthony, a licensed tax consultant with Joseph Anthony & Associates Inc. in Portland. "You should know going in what you should expect from your tax pro." [...]

It goes on to offer advice, including questions you should ask.

     

My Brilliant Career. Partime. Maybe.

Well anyway, I'm thinking about it:



I took an online aptitude test, and scored 100%. It seemed mostly to be testing if I was actually paying attention. Not too hard to do.
     

If Candies Were Taxes...

From the Mouths of Babes:



H.T. Happy Redistributionist Halloween!