US Income Tax Thread: Bank error in your favor! GO DIRECTLY TO JAIL.

The Something Awful Forums > Discussion > Ask/Tell > Business, Finance, and Careers > US Income Tax Thread: Bank error in your favor! GO DIRECTLY TO JAIL.

bird with big dick: Oct 21, 2015

Zero VGS posted:

My tax/accountant guy in the greater Boston area retired last year and I need to find a new one... anyone know anyone around here? Only have until the 15th to do my 2016 taxes and would like to find someone that's a little more creative than H&R Block.

According to one of my coworkers H&R block can be extremely creative including telling you to deduct mileage for driving to your normal place of employment and also deducting $25 for lunches that you did not buy nor eat.

# ¿ Oct 18, 2017 20:32

Adbot: ADBOT LOVES YOU

# ¿ May 16, 2024 21:47

bird with big dick: Oct 21, 2015

Question on mortgage interest deduction for non-marrieds.

We both own & live in the house. Both on the loan.

I think we can split the interest deduction however we want IF we're both itemizing, but I'm guessing we can't have one person itemize and take 100% of the interest deduction and have the other person take the standard deduction. I know that wouldn't fly with MFS so I'm assuming it wouldn't in this situation either, but the tax code is dumb so who knows.

The only other wrinkle is that it's kind of fair to say that I actually have been paying 100% of the interest, because she made 100% of the down payment and I've been making 100% of the monthly payments.

# ¿ Nov 30, 2017 18:15

bird with big dick: Oct 21, 2015

Harveygod posted:

I keep looking for whether the retirement saver's tax credit is affected and can't find anything.

Not that I know of. They talked about it but I think it was one of those things where they just talked about so they could later say "See, we didn't do some of the most evil poo poo!"

Small White Dragon posted:

Is there a thread somewhere discussing the ins and outs of the proposed tax law changes?

The lol that Trumps president thread in GBS?

Just make it this thread, I say.

The tax plan is good if you:

1. Are rich as gently caress.
2. Don't itemize.
3. Have a shitpile of kids (depends whether the child tax credit ends up being 1600 or 2000 though, the house and senate plans differ.)
4. Live in a state with little or no state and local taxes.
5. Desire to eat the rich after it kicks off full on class war.

The tax plan is bad if you:
1. Itemize.
2. Live in a relatively high tax state (which includes places like Iowa and Wisconsin and Minnesota, it ain't just those commies in NY and CA)
3. Are single and have no kids.
4. Are rich and dislike being eaten.

I've looked at a lot of different scenarios but one of the most telling to me is that a 60k earning single no kids typical itemizer in IA gets an 800 dollar tax hike and a 250k earning 3 kids married filing jointly itemizer in Nevada gets a 4300 dollar tax cut.

I haven't gotten super precise with my personal numbers yet but my best guess is I'll lose 250 with the house plan and gain 500 with the senate plan.

I think this calculator is accurate and up to date:

http://taxplancalculator.com/

# ¿ Dec 3, 2017 16:54

bird with big dick: Oct 21, 2015

MadDogMike posted:

It�s supposed to go to the person actually making the mortgage payments (who is thus paying the interest) though if it�s paid out of a joint account I suppose you could split it by saying it�s paid by both of you. You definitely don�t have a restriction like with MFS on who can itemize though, that ONLY applies to married couples. Unmarried couples can have one itemize and the other do standard without any issue.

That's perfect then because one person taking all the interest plus one person taking the standard is way better than splitting the interest 50/50. I thought there might be some way they prevent this though since it's an obvious benefit for single cohabitators over marrieds.

# ¿ Dec 3, 2017 17:05

bird with big dick: Oct 21, 2015

baquerd posted:

This calculator doesn't take into account your local and state taxes if you follow the directions, unless I'm missing something.

I think it does. It just tells you not to include them in your itemizations because it calculates them for you (and then doesn't allow you to deduct them with the new plans). It even deducts a sales tax deduction since I'm in a 0 state income tax state.

# ¿ Dec 5, 2017 13:50

bird with big dick: Oct 21, 2015

Droo posted:

Sounds like they really simplified the tax code!

Honestly though, this tax bill is worth it for the schadenfreude alone: http://www.theintelligencer.net/news/top-headlines/2017/12/murray-tax-plan-would-cost-firm-60m/

You may remember this guy from the lawsuit involving Jon Oliver and magic squirrels.

But how could paying 20% screw him when our rate right now is the worst in the world at 35%?!

Lowering the business rate to 20% is gonna mean that the people that were only paying 10% due to deductions are now all paying 0%. Or probably -10%.

# ¿ Dec 5, 2017 13:53

bird with big dick: Oct 21, 2015

MadDogMike posted:

And part of the reason they threw corporate AMT back in was because they need it to stay under the line needed for reconciliation (IIRC removing it adds $300 billion back and the bill only has $50 billion "slack"), so if they "fix it" no more reconciliation. Add in the House being dumb enough to say "Hah hah you suckers, you think we'd keep our word?!" to the Senators they bought off with certain things before the bill made it all the way and you got an... "interesting" situation. I gotta admit, I never figured they would mess up so bad they screwed over business too in the process of ripping off everybody else. It's kinda hilarious, even if I figure they'll come up with some way to get this thing through eventually.

EDIT: This article on Vox seems to have some good discussion of the issue.

The funny part is that eliminating deductions for richies that allow them to pay less taxes than the middle class was something Trump campaigned on and had no intention of doing but the senate accidentally did it due to incompetence.

# ¿ Dec 8, 2017 18:02

bird with big dick: Oct 21, 2015

Posting to see if I have any posts in here asking about the probable tax cheating I did last year.

# ¿ Apr 5, 2019 01:17

bird with big dick: Oct 21, 2015

bird with big dick posted:

Question on mortgage interest deduction for non-marrieds.

We live in a house and we're both on the title and both on the loan.

I make 100% of the payments which means I also pay 100% of the property tax. The reason I make 100% of the payments is because she made 100% of the down payment. There's nothing shady going on like her slipping me a wad of 20s under the kitchen table and me depositing it as gambling winnings. We have a joint account but we don't use it. The payments 100% come out of my checking account and are 100% my money and our finances aren't mingled at all other than the house and the unused joint checking account.

Since I, honestly, paid 100% of the interest and property tax, I can take 20k-25k dollars in itemized deductions and she can take the 12k standard deduction.

TRUE OR FALSE

Quoting and editing and asking again. This is even more pertinent now due to the tax changes.

# ¿ Apr 5, 2019 01:29

bird with big dick: Oct 21, 2015

You can't take depreciation on an asset you no longer own right like if you're taking depreciation annually on 13 cows and you only one 2 cows you're either lying about your assets or committing some kind of tax fraud eh? Is there some other possible explanation?

Also I think I've recently discovered that it actually is legal to use sole proprietor business type losses to offset basically any other income e.g. your wife has 50k in W-2 income and you make 50k a year in passive income from rental properties but you "lose" 100k a year in your "ranching" "business" it means you don't pay any federal taxes? That seems kinda crazy to me, is that really how it works?

# ¿ Dec 16, 2022 02:33

bird with big dick: Oct 21, 2015

MadDogMike posted:

Not one I've heard being possible, unless there's some farming rule I'm not thinking of.

Yes, but if you're constantly taking business losses they will certainly audit to confirm you are actually running a legitimate business (if you make a reported profit you pay taxes on, they generally will accept you're running a business without argument). So if you aren't acting like a serious business (keeping your business and personal income/accounts separated, no personal-related items claimed as expenses, spending on appropriate items for the work you're supposedly doing, etc.) they can come back and rule it's a hobby (which prevents claiming expenses under Trump's tax laws) or outright tag you for fraud. But if you are indeed running a business you can take losses against the rest of your income; you can't be legally required to run a SUCCESSFUL business after all and the law works under the presumption the guy losing tons of money on their business deserves a break on their taxes. Mind you, I suspect this is an area where a lot of fraud (or people misunderstanding the rules) does happen, since it does generally take an audit to determine (and quite a lot of tax court stuff does involve this sort of thing).

The dude I�m suing�s (for personal injury) lawyer seems to have overshared (a la Alex Jones) his tax documents which has seemed to reveal that he hasn�t paid a single cent in federal income tax in at least a decade. 8 out of the last 10 years were net losses and in the two that weren�t, carry over losses were used to offset any income.

I think he�s mostly doing it via depreciating assets he doesn�t have and huge numbers for maintenance and repairs that I bet have dodgy receipts.

Dude is just a shitbag.

# ¿ Dec 20, 2022 16:22

bird with big dick: Oct 21, 2015

Yeah it�s definitely on my mind after everything is finished with the lawsuit

# ¿ Dec 20, 2022 16:54

bird with big dick: Oct 21, 2015

Methanar posted:

Is an 83% reduction in my fake money retirement fund enough for you to masturbate your political beliefs to?

*sigh* I guess.

(USER WAS PUT ON PROBATION FOR THIS POST)

# ¿ Dec 20, 2022 19:31

bird with big dick: Oct 21, 2015

The mortgage value doesn�t matter what matters is the interest/points paid and the property tax paid and it only matters if you�re not taking the standard deduction.

TurboTax asks how much you paid for these things ie if you paid half the mortgage payment then you paid half the property tax so you don�t get to deduct all the property tax twice obv.

# ¿ Apr 15, 2023 15:03

bird with big dick: Oct 21, 2015

Obliterating the SALT cap without even trying and no longer having the personal exemption really makes me appreciate how hard Donald fought for us middle class people thank you so much

# ¿ Apr 15, 2023 17:03

bird with big dick: Oct 21, 2015

Thanks, Donald.

# ¿ Jun 10, 2023 14:29

bird with big dick: Oct 21, 2015

Deviant posted:

Any one weird trick to reduce my tax owed by about...$1224? Simple setup, W-2 and Standard Deduction. Just got a stock payout from the company this year that pushed my taxable way up. I have home mortgage interest, but not nearly enough to itemize (napkin math says about $7500, so I'd have to pull another $6k some of deductions out of my rear end to even match standard)

It's not a huge deal, it just sucks.

Start a small business and then deduct 100% of all your income including unrelated W2 income until after 12 years you get caught and then say �whoops I didn�t know I couldn�t do that� and then negotiate your back taxes down to 40% of what they should have been and pay a small fine.

Which based on the tax returns of the person I�m suing seems to be his plan except he hasn�t been caught yet so the rest of it is hypothetical.

# ¿ Jan 10, 2024 17:37

bird with big dick: Oct 21, 2015

KillHour posted:

Don't tell the IRS until after you collect your judgement money

Oh believe me, I know.

He's also going to get reported to the state of California both for not paying CA income tax and for having like a dozen vehicles registered a different state despite living in CA.

# ¿ Jan 10, 2024 18:03

bird with big dick: Oct 21, 2015

Kicking your domestic partner to the curb in order to save some taxes is pretty grim

# ¿ Feb 1, 2024 02:22

bird with big dick: Oct 21, 2015

If I'm sued for negligence and my assets are liquidated to pay a 5 million dollar judgment can I deduct that as a tax loss?

# ¿ Feb 22, 2024 19:25

bird with big dick: Oct 21, 2015

Isn�t it not a tax free transfer until it�s actually an inheritance ie until the person passes away?

# ¿ Feb 25, 2024 18:29

Adbot: ADBOT LOVES YOU

# ¿ May 16, 2024 21:47

bird with big dick: Oct 21, 2015

Hadlock posted:

If I make $100k per year and I'm in the 20% effective tax bracket, I pay $20k in federal taxes and $0 in charitable donations for a total of $20k paid out

If I donate $10k per year to valid charities, do I make $90k per year for federal tax purposes?

Yes.

quote:

Is there a tax bracket/income level where donating to charity has a neglible cost compared to paying federal taxes?

No.

# ¿ Apr 16, 2024 02:34

The Something Awful Forums > Discussion > Ask/Tell > Business, Finance, and Careers > US Income Tax Thread: Bank error in your favor! GO DIRECTLY TO JAIL.