So months and months of debate on the payroll tax cut has resulted in this: a two month extension.
No, you didn’t read that wrong. Two months.
Democrats and Republicans in the Senate couldn’t figure out how to pay for the whole thing so they decided on a ridiculous fix. Two months.
“But it’s paid for!” That’s the whole selling point of the two month extension. Nice. You know what’s not paid for? The agita that employers, tax pros and the IRS will face trying to sort out a bifurcated tax year. For two months. Payroll companies are gleefully rubbing their hands together as we speak as they take on more clients who can’t handle the math and new forms. For two months. And I am sure that the IRS will be scrambling to print new tax forms and publications. For two months.
Not even a full tax quarter. Those forms 941 will be a joy, huh?
In return, showing that they have absolutely no bargaining power at this stage, the Democrats reportedly agreed – in full – to the controversial Keystone XL pipeline approval. (*shakes head*)
You know I’m not a fan of the payroll tax cut in the first place. It was clearly a vote-getting scheme to replace the confusing Making Work Pay Credit. But c’mon, folks… if you’re going to commit, then commit. Don’t pass a token measure. Two months. It reeks of pandering and lame and unworkable and weird.
We say we want simple when it comes to taxes and this is what we get. And we only have ourselves to blame since apparently these absurd measures work. If they didn’t, then why would our Senators keep up the nonsense?
Two months. (*still shaking head*)
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