[Johnsocat]

Originally Posted by JMintzer

And the bottom 47% of taxpayers (last year was actually 61%), who currently pay ZERO Federal Income Tax, would have to pony up... It would affect them much more than it would affect "the rich"...

Access Denied

More justification for a flat tax... EVERYBODY would have some skin in the game...

[dewilson58]

Originally Posted by Ewalsh43

7%

30% reduction in the Federal Budget.............what are you cutting to only charge 7%??

[CoachKandSportsguy]

Originally Posted by billthecpa

Folks who do not know tax law should stop giving advice. One response said that we are required to report the stimulus payment reported on the 1444-C....and it is required to "properly report our income."
The stimulus payment is NOT INCOME and should not be reported as income. We are simply required to VERIFY the amount received by disclosing it in the tax return as an information item. If IRS sees that you did not receive it....they will add it to your refund....or deduct from your balance due. If you are wrong, they will eventually catch up with it and require you to pay it back. No double dipping allowed!
For the record, CPA's (like me) were going nuts last year when people could not remember whether they received the stimulus, or how much they received. I am already seeing the same problem this year. April 15 can't come fast enough!

You should be able to find the information in your checking account statement, online or paper, if you have electronic transfer of your tax owed/refund, because the source is labled. . There is a huge benefit to all electronic banking, I still have boxes of checks from 2000 with two addresses ago on it. Just remember to never deposit cash in person, and just use it a dinner or groceries.

When looking at a paper deposit into my checkbook from stock certificate dividends or other checks,. . , where do I write it down, since I don't have any check registers. . . ? sucks, as its a huge tax on my brain to remember and file the paper receipt. . etc. .

if you are afraid of electronic banking access to your check account, there are ways around that with electronic banking. .

[WindyCityzen]

Congress has in fact defunded the IRS slowly but surely for years. Audits have dropped precipitously. I had a routine audit of a small nonprofit in 2013 that lasted for years because of staff shortages. The poor agent was helpless. I actually felt sorry for him.

Remember when you could deduct credit card interest, real estate taxes, medical expenses, mortgage interest, etc.?? … all gone. The system is far “flatter” now than ever.

[Cheryl Barrios]

Originally Posted by Topspinmo

If we had flat tax system with NO exemptions there would be no need for IRS. CPAs or tax lawyers. But, wait the rich would have to pay there fare share then.

They would and so would everyone else, everyone. I would love to see a flat tax. Many, if not most, of those who make over $400,000 will be paying less and those who pay nothing now, those who are considered poor will also contribute instead of spending their money on drugs and alcohol. While I was working, I knew so many who didn't pay taxes due to their income but always had money for everything they wanted. At the same time, I was paying an additional $4,000 to $7,000 a year in taxes. Let everyone pay equally.

[rothbear]

Originally Posted by alwann

Tax experts:

Do I really have to submit a copy of Notice 1444-C with my return? And, how much longer should I wait for the good folks at the IRS to send it to me? "Call them and ask," you might suggest. Oh, yeah? You try get through their phone system maze.

My husband got his letter probably close to a month ago. So far I have never gotten one. If they go by the letters received they owe me $1400. If they go by my checking account we are even.

Anyway, I use TurboTax and all they did was tell me what we were due according to our income and then ask if we received the full amount according to what was stated in the letters. Nothing about sending in a copy. But then again I always e-file so would hate to think I had to send a copy to them through the postal system. Knowing that I have a very close relationship with Karma, of course I answered yes we got it since that is what my checking account said we got. I'm wondering if there is a huge pile of the letters somewhere that the PO hasn't bothered to send out yet. Took 8 days for Valentine cards to get to our daughter who lives 6 hours away.

[Topspinmo]

Originally Posted by thevillages2013

That was in the 1970’s . I’m sure things have changed

Yep, it’s got worse. 41 years 8 months. I’ve seen it all.

[Topspinmo]

Originally Posted by dewilson58

Yes I would.

So 10 dollars in bank drawing 2.5% interest rich man cool 😎. .

[Topspinmo]

Originally Posted by WindyCityzen

Congress has in fact defunded the IRS slowly but surely for years. Audits have dropped precipitously. I had a routine audit of a small nonprofit in 2013 that lasted for years because of staff shortages. The poor agent was helpless. I actually felt sorry for him.

Remember when you could deduct credit card interest, real estate taxes, medical expenses, mortgage interest, etc.?? … all gone. The system is far “flatter” now than ever.

So, you saying what police force will be facing?

[daniel200]

I don’t know the solution. But a flat tax on income is very beneficial to the rich… Example: Elon Musk who receives no paycheck from Tesla. So his income tax is zero on earned income. He has smartly arranged for all his compensation to be from the valuation of his shares in Tesla. As long as he does not sell his shares, he pays no income tax.

I prefer the European method which relies heavily on the VAT (value added tax). The advantage of this tax is that it taxes everyone including all the “cash” businesses that do not report their cash income by taxing spending and not income.

[Geodyssey]

Originally Posted by Babubhat

Congress lives on donations from special interests. Never will happen

"donations" are no longer special, now just business as usual.

[JMintzer]

Originally Posted by daniel200

I don’t know the solution. But a flat tax on income is very beneficial to the rich… Example: Elon Musk who receives no paycheck from Tesla. So his income tax is zero on earned income. He has smartly arranged for all his compensation to be from the valuation of his shares in Tesla. As long as he does not sell his shares, he pays no income tax.

I prefer the European method which relies heavily on the VAT (value added tax). The advantage of this tax is that it taxes everyone including all the “cash” businesses that do not report their cash income by taxing spending and not income.

Elon Musk is not typical of "the rich". He (and a few others) are the exception, not the rule...

So a flat tax will be more equitable.

The VAT with be a greater burden on the poor and lower middle class than on the upper middle class and the actual rich (not the mega rich)...

[DaleDivine]

Originally Posted by blueash

If we properly funded the IRS with enough representatives and agents to do the job with which they are tasked... but that is another topic.. 1444C is an informational letter telling you what the IRS did about giving you money because of the impact of Covid. You are required to report what you received whether or not you get the letter in a timely fashion. You do not "submit" the letter, you use it to correctly report your income.
So if you know what you received, you need not await the letter or wait your turn to speak with an overworked IRS phone person.

I know nothing about tax law, nothing. My answer is based 100% on Google. Use at your own risk.

Way to cover yourself...