Child Tax Credit

[Cash68847]

You can spend if taxes are stayed at a consistent level. Democrats at least want to spend and keep taxes relatively high in an attempt to pay for them.

Even most Dems should be able to admit we spend too much. I’ve always thought we should cut military spending myself and spend some of that domestically.

 

[God is a Husker]

That’s neat. Wonder if something has been going on during his entire 7 months that would prompt increased spending. None of it matters.

I actually don't know what you are referencing.


Even the most Liberal analyst would admit Biden's spending has been at best 25% Covid related. In fact he has spent less than Trump regarding Covid. (as he should, its only been 7 months and the vaccine work was already done by inauguration)

But lets not lose sight of the ball, my post was (and is) that Biden's spending spree is at a level that even giving him a pass for 25% of it still keeps him on track for in 1 year spending more than 8 years of Obama who inherited (in my opinion) a much larger financial mess and much of Obama's debt accumulation was unavoidable.


Again, you're not talking to some mouth breathing guy with a Trump tramp stamp and wife beater on... I'm calling it down the middle and right now Biden is making Obama look like a moderate Republican.

 

[God is a Husker]

You can spend if taxes are stayed at a consistent level. Democrats at least want to spend and keep taxes relatively high in an attempt to pay for them.

The Tax Code isn't on the POTUS, even if they put their name on it like Trump did with the TCJA.

Congress will be the idiots they are (both parties) and come out with a Code that will have to be fixed 6 ways to Sunday.

I am interested to see when changes will be made because other than lowering the Corporate Tax the rest of the TCJA was the single most beneficial tax code change to lower income people ever. (ex: doubling the standard deduction and lowering % for bottom 3 brackets) I wrote a paper in law school how the TCJA only had 2 major flaws: 1) Corporate rate didn't need to be dropped to 21% and 2) restricting 1031 exchanges of real-to-personal and vis-a-versa.


The reason I am interested to see what they come up with is because we have classic politician speak regarding taxes where they feed a half truth or a lie to the public who eats it up because they don't understand the Tax Code.

Example 1: Biden says he is gonna "go hard" on Corporations but wants to raise the rate to 28%? Like bruh it 35% under Obama. If you're gonna talk tough do something about it. In 2021 if you are a C-corp you are a pretty big time operation, if the Federal Gov says it is back to 35% it won't be life or death. (LLCs are not subject to corporate tax) You wanna be a big baller and big spender but wanna pay for it? Cool. Put don't tell me raising the Corporate rate from 21% to 28% is how you're gonna do it. Especially when you could just have it sunset back to 35%.


Example 2: Saying they want to keep the MID (mortgage interest deduction) despite the MID is only beneficial to roughly 5% of Americans. To use the MID you have to itemize. (only 7-10% of Americans do this and almost all of them are upper income) So who is using this deduction? Literally only people with mortgages between $300,000 -to- $750,000. Thats a mortgage btw, not FMV (fair market value). So this isn't grandma and grandpa's house they bought for $150k all those years ago thats now worth $700,000. This deduction is quite literally only used by the very people who don't really need a fucking tax break to own a home. (BECAUSE, lest we forget...the MID's stated purpose is to help average Americans be able to afford homeownership) So again.... you wanna spend like a big baller and tax like one? Cool, Joe the Dentist and Joe the Anesthesiologist don't need deductions on their country club home mortgages. (or allow for filers who take a Standard Deduction to use the MID.)

 

[BIG TONE SOPRANO]

90-93% of Americans take a Standard Deduction ($12,550 for Single filers, $25,100 for MFJ)


If you have a reason to deduct a bottle of ketchup or a pair of shoes the Code more than allows for it, it encourages you to do it.


I personally deduct bottles of ketchup every year for every hotel I own. I never have deducted a pair of shoes but I would assume those in the trade or business do annually.


PS: Any person that takes a Standard Deduction does so because that amount is GREATER than any itemization deductions they could otherwise be able to compile. The SD is essentially the 0% income tax brackets that idiots like AOC don't understand the US already has because it means the first $12,550 Americans make is NOT included as taxable income. If you took the standard deduction away or lowered it to Obama era levels you would bring in very little tax revenue. All it would do is make poor -to- middle class filers owe more income tax and spend more money on accountants and lawyers trying to itemize as much as they can. It would also make the IRS spend more money on man hours trying to enforce the Code. Americans would spend more money and pay more in taxes AND the Federal Gov. would spend more money on the IRS than it made in additional tax revenue. The only people that would make more money are the mega accounting firms, the tax software companies and tax lawyers....even as a recovering tax lawyer I don't like this option.




Not sure what cheating you are talking about since self employed filers are by far and away the most taxed group of Americans.


Unlike employed filers, SE filers are paying their social security and medicare to the Fed by themselves AND on top of that are paying the workers comp entirely by themselves.


Self Employed filers are (again) the by far and away most most likely to be audited. So the amount of "cheating" the filer does is up to their own personal risk assessment...

But let me speak on behalf of all single filers, being able to "cheat" by using $30 worth of toilet paper, hand soap and tabasco sauce out of my $600 business expense deductible Sams Club bill isn't worth the ~15-25% more in tax that I pay compared to an employed person with the same income.

I really had to laugh at your point about self employed filers being the most heavily taxed ones. That’s a good joke haha

 

[ThomOsborneMD]

Should cut military spending by 50% and tax the rich. Boom MAGA right there.

Even most Dems should be able to admit we spend too much. I’ve always thought we should cut military spending myself and spend some of that domestically.

 

[BIG TONE SOPRANO]

Should cut military spending by 50% and tax the rich. Boom MAGA right there.

The rich already pay all the taxes. We’ve been over this

 

[Cash68847]

The rich already pay all the taxes. We’ve been over this

https://abcnews.go.com/US/wireStory/propublica-uber-rich-pay-income-tax-78149407
They ultra rich use the loopholes to pay minimal taxes. I can’t say I blame them. It’s nice to be able to write the tax code.

 

[BIG TONE SOPRANO]

https://abcnews.go.com/US/wireStory/propublica-uber-rich-pay-income-tax-78149407
They ultra rich use the loopholes to pay minimal taxes. I can’t say I blame them. It’s nice to be able to write the tax code.

We are talking about the rich. That article is absolute propaganda

 

[Cash68847]

We are talking about the rich. That article is absolute propaganda

There is rich and ultra rich. The rich certainly pays their fair share. Hell Trump used the system to not pay taxes for ten years. The ultra rich run the country and make the rules. It’s not that complicated. Neither party will change the tax code because of this. It’s always been that way.

 

[BBTown Bomber]

It also means you're credit that was $2,000 last year will be $1,000 this year.

yore > you’re 😘

.

 

[BIG TONE SOPRANO]

There is rich and ultra rich. The rich certainly pays their fair share. Hell Trump used the system to not pay taxes for ten years. The ultra rich run the country and make the rules. It’s not that complicated. Neither party will change the tax code because of this. It’s always been that way.

This we can agree on but don’t evert say the rich don’t pay taxes. Those are fighting words

 

[ThomOsborneMD]

This we can agree on but don’t evert say the rich don’t pay taxes. Those are fighting words

You just have low standards for “rich” so that you feel better about yourself Tone

 

[Grits and Gravy]

I really had to laugh at your point about self employed filers being the most heavily taxed ones. That’s a good joke haha