Tax rate

[luvmylabs23139]

Oh silly me!! I should have just added another 0 to each number then we would have been okay. IT WAS AN EXAMPLE!!!

I think you are missing the point. A person takes that $100 they worked hard for and sticks it in the bank to save it for a rainy day, a major purchase, whatever, and the bank gives them a tiny amount ,2% would be great these days, and the gooberment wants a part of that too.

[luvmylabs23139]

Back to the original question. I'd like to see it be a staight per head tax and that includes children. That way everyone pays the same amount. To me that is fair since everyone benefits from the services stated in the constitution such as national defense.

[LokiMeister]

I think you are missing the point. A person takes that $100 they worked hard for and sticks it in the bank to save it for a rainy day, a major purchase, whatever, and the bank gives them a tiny amount ,2% would be great these days, and the gooberment wants a part of that too.

Actually, I am not missing the point at all, I think you are. Said bank gives that tiny amount and you are saying that you are taxed on the entire amount. You are incorrect and misleading. A LOT of things said on this website are totally false, incorrect and misleading and I am just trying to correct one of them, not highjack a thread. You and Barb continue to argue that you are correct when you are not. Any financial councilor will prove me correct. Please refrain from perpetrating this myth in the future.

Thank you. Good day.

(Of course the government wants part of it. Everyone knows that.)

[luvmylabs23139]

Actually, I am not missing the point at all, I think you are. Said bank gives that tiny amount and you are saying that you are taxed on the entire amount. You are incorrect and misleading. A LOT of things said on this website are totally false, incorrect and misleading and I am just trying to correct one of them, not highjack a thread. You and Barb continue to argue that you are correct when you are not. Any financial councilor will prove me correct. Please refrain from perpetrating this myth in the future.

Thank you. Good day.

(Of course the government wants part of it. Everyone knows that.)

Where did I ever say a person was taxed on as you call it the full amount???
I said taxes were paid on the money when earned and then the gov't wants more off of mearly saving the money. I am being honest and you are following BUMFACES deceptions!
I know a bit about tax law and the bs involved and the sneaky hidden taxes.

[luvmylabs23139]

Oh and how's this one for you. How many people realize that they pay federal income taxes (if they are in the 50% that actually do) on the amount witheld for SS/medicare? That money is not backed out before the starting at adjusted gross income!

[LokiMeister]

This is from post #7:

That is not true. If I earn a paycheck and then invest part of it I already paid income taxes on the money.

[luvmylabs23139]

This is from post #7:

NO kidding. If I earn $100 a paid taxes on it and then if I invest it, or bank it, the gooberment wants more money as a result of the original $100.
Let's face it, the gooberment reclassifies money all the time for tax purposes.
PMI is a perfect example. Years ago it was not considered a deduction although many could argue that it was really mortgage interest since one could not shop for it like any other insurance. Now tax law lumps it in as a write off with mortgage interest.

[LokiMeister]

NO kidding. If I earn $100 a paid taxes on it and then if I invest it, or bank it, the gooberment wants more money as a result of the original $100.
Let's face it, the gooberment reclassifies money all the time for tax purposes.
PMI is a perfect example. Years ago it was not considered a deduction although many could argue that it was really mortgage interest since one could not shop for it like any other insurance. Now tax law lumps it in as a write off with mortgage interest.

But you originally said you will be taxed on the original $100. That is not the case. Of course they want to tax what you made on your investment, why wouldn't they? I fail to see how they "reclassified" the original $100. Sure they may say it is an investment now, but they cannot tax it.

[hotel4dogs]

If you started the business from scratch, the "goodwill" part of the business you started with is zero. So now you sell the "goodwill" for $250,000, let's just say, and you will owe capital gains on ALL of that. Period.
Sure there are benefits from owning a business. But that's also one of the things that people seem to *forget*, you get deductions because YOU HAD TO PAY FOR SOMETHING. You don't just get to take random deductions. I can deduct payroll. But I had to pay those people (and provide jobs, but that's another whole issue). And if you depreciate something, such as your building or a vehicle, when you sell you have to recapture any depreciation you took if you sell for more than the basis minus the accumulated depreciation.
Please don't patronize me by telling me to relax and wait a few months before making statements like I made. Several recent meetings with a tax lawyer/CPA give me the right to make those statements.

[LokiMeister]

I don't understand why you would think you weren't going to be taxed on it? The government has taken a share of the profits since the beginnings of government. Why would you selling your business be any different?

I am fully aware of deductions and exemptions and how they are used.