I was hoping that I wouldn’t have to post an Official Comment Policy. It’s a blog, for goodness sake, not a roadmap to life. I kind of thought that people would wander over to my site, give it a once over and leave a comment or two that was relatively useful. And for the most part, that’s what has happened. Until those morons started posting links to Herbalife sites (yeah, I did blog about them, sort of) and other pointless links to phantom sites. Enough is enough. So, here is my official Comment Policy:
- Introduce yourself. I don’t need a copy of your license, your Social Security number, or a note from your mother. But I would like to know who you are, a tidbit like “a lawyer from Alabama” or a “weird Herbalife nut.” And if you pretend to be someone else and I can tell you’re pretending, then I have no choice but to delete you. We have to have some measure of decorum here.
- You don’t have to have a blogger account. You can post anonymously, but the rules still apply.
- To cut down on automated spam, I’ve added the word verification feature. All you have to do is type in the characters that you see before you post. It’s not a test to see how smart you are or anything, just to make sure that you’re human and not a computer. But if you can’t type in those characters as a human, I’m not so sure you should be posting anyhow.
- Keep it clean and reasonably pleasant. My mother could be reading. And the last thing I need is a call from my mother explaining that people on my blog aren’t very nice. She’s already a bit concerned about my living in Philadelphia, so we don’t need to add to the list of worries. She loves me, she’s a Southern mom, she worries, it’s what she does. I don’t want to have to increase her blood pressure medication because of something that you wrote. So be nice.
- No spam, no selling products or services, no free advertising for your own blog. Talk to Google or Yahoo if you need advertising. And if you’re a lawyer trolling for business, shame on you.
If I think of anything else, I reserve the right to change my mind. And not because I’m a lawyer, but because I just do.
Enjoy the blog!
Do you know where to find current statistics on whence the federal government’s tax revenues are generated? The Treasury website has limited and very old data.
That said, I have found it a great annoyance to have heard repeatedly by politicians of every stripe and pundits, alike, about how the “bailout” or “economic rescue” is at the expense of the taxpayers.
While that may well ultimately end up being true, the manner in which such sentiments are spoken is usually meant to leave the impression that the “fat cats” on Wall Street and other assorted corporate titans are being showered with money squeezed from the “Joe the Plumber” types. In reality (as I don’t believe it’s changed that much since 2002 or whenever the latest Treasury data was collected), over 50% of federal income tax revenue comes from Bill Gates and Warren Buffet.
Since I’m on the subject of taxes and on a rant, another of my pet peeves is the way Federal Insurance Contributions Act (Old Age Survivors and Disability Income) and Medicare taxes have been totally ignored. Most Americans seem to be laboring under the false impression that there is some kind of fund collecting their retirements (akin to a defined benefit or defined contribution pension plan) that they are entitled to receive with earned investment income. They fail to realize that it is a pay-as-you-go system from which every recipient–to this day–has received far more (many, many times) what he or she paid into it … and that Congress has never had the stomach (much less the political will) to do anything about.
Social Security taxes make up a significant portion of federal revenues, approximately equalling or exceeding the federal income tax revenues. What is AARP’s position on the subject? Of course, the elderly are entitled to it (by law, no doubt correct) … do they feel a responsibility to future generations? It seems to be in vogue to express concern about saddling future generations with the debt created by the “economic rescue” plan, but what about the economic rescue of a couple of generations (including baby boomers) of seniors whose only retirement plan was to expect Social Security to be there for them?
Off my soap box for now … if you have sources for federal income tax revenues, I’d be interested in seeing them (or links).
My husband and I have been in the US for six months. He his a professor for a private University and also a minister. He paid tax for four months through his employer, in October he took on a self employed status as he is a minister so in November no tax was taken. We have never done tax returns before – being from the UK and not self employed. We really need to know where to start.
Self employment tax is paid with your federal income tax return (IRS Form 1040) using Schedule SE. As you’re no longer having taxes withheld, you should begin making quarterly estimated payments using Form 1040-ES. You can go to the IRS website for instructions for these forms and perhaps search for a publication.
The only other observation I would make, is that since you are foreign nationals (from the UK), there may be a “totalization agreement” between the US and UK with regards to the national retirement system under which you are covered. This may affect the type and amount of social security tax (self-employment tax) owed; so, I would investigate that issue further.
Disclaimer – this does not constitute professional or legal advice; you should consult your tax professional.
Can you tell me what the taxes will look like on a retirement buyout, and if there is a way to avoid or put them off? The company in question is offering almost 500K in a lump sum in lieu of monthly check and medical benefits. Thanks!
Hi tax girl love your blog, I did not think there was anyone that loved to write about taxes. Very useful indeed.
I am concerned about taxing health care benefits. I read your blog. But, what about a single mother making $50,000.00 per year with 3 kids. Her family policy is worth $12,700.00 according to your example. If they tax that, it will in effect make her salary go down. Its hard enough splitting the net of 50K after taxes among four people. This won’t help in this economy.
What are your thoughts?
Home Buyer’s Credit
I married in early 2009 and then later in 2009 I purchased a home in my name. It was my first home but my husband had a home prior to the marriage. Do I qualify for either of the home buyer credits? Everything I have read says no since I am married I don’t qualify for the first time credit since my husband had a prior principal residence. I don’t qualify for the other home buying credit because we both didn’t live in the same principal residence. Is that right? The new home was only purchased in my name.
i am recieving SSD & also workers comp recieved a noticed that i owe IRS 1100 hundred from last yr for not submittinga 1099 from unemployment my medical bills r so high now & my ssd does not really cover all my cost of living bills can the IRS take my SSD from my checking
I’m a CPA in Florida and wanted to let you know how I look forward to reading your daily posts. Thank you!
Linda, thanks! That made my day!
I read an article by taxgirl that said that the claims that we were going to have to pay taxes on our company sponsored healthcare plans were false. She claimed these were just scare tactics. Our company has given us a list that shows how much taxes we will now have to pay in the upcoming year because of Obamacare. I haven’t read a lot of articles by taxgirl but so far she has got Obamacare WRONG!
If your company claims that you have to pay federal income taxes on the portion of health insurance paid by your company for 2010 or 2011, they are wrong. Simple as that.
You can read my article here: http://www.taxgirl.com/ask-the-taxgirl-health-care-benefits-and-taxes/ with links to the summary. The piece also links to the actual health care bill which I encourage you to read.
I’m not a fan of the bill but I’m also not a fan of propaganda that isn’t accurate. I’m willing to say I’m wrong if you (or your company) can point to one piece of signed legislation as of today that says that health benefits are taxable for federal income tax purposes for the upcoming year. It simply does not exist.
Hi,
I am a CPA in Florida. While googling to see if the payroll tax holiday included self-employed individuals, your site was at the top of the list. This is actually the first time I found a site interesting enough to take time and comment on how much I have enjoyed its content. Your wit and humor combined with your professional savvy make this a fun site to visit. Keep up the good work!
Charles, Awww, how nice of you to say! Thanks! Your kind words are much appreciated!
Hi Taxgirl,
My husband is not a US citizen and he does not have a social security number. He pay taxes in Great Britten and Norway. My question is when I file my taxes how do I file? Married filing separately or head of household or some other way.
I want to make sure I get it right. I just recently started reading your blog and I think it’s fabulous.
TaxGirl,
Were you aware that the states can use the Health Care Act Form 1099 reporting requirement to “catch” state and local non-filers of income and sales and use tax? It’s going to be a lot of money for the states, which is why I don’t think it will be repealed.
I saw an article on it and blogged it. But NOBODY is reporting it!!!
Check it out: http://m.dailykos.com/stories/2010/9/5/899181/-.html
The case of the lost portable laptop printer and the American Exchange student (me).
A few years back in Germany I locked away an inexpensive printer in my dormitory cabinet, locked the dorm door and went to Frankfurt. What I didn’t know was that 1) the dormitory manager had replaced by dorm door lock with a common laundry lock, 2) and the friend of mine came to see me in Saarbrucken that weekend, who just happen to have rented a weekend dorm room down the hallway (This was discovered much later).
I visited the German police to report the case of the stolen printer. Mind you, I thought I lost my mind, in that the thief had so carefully removed the hinges to the cabinet and put them back, unknown to anyone at the time of the filing of the first police report.
The second police report filing included those two subsequent discoveries, in trying to find my printer, that is, the common lock and the friend down the hallway for a short overnight stay.
With this second filing the German local police were ready to interview the far away suspect. After which they did, and the suspect then visited me back at my dorm room (another town) with printer in backpack, but still did NOT give it back (he was scared). He asked me to lie to the police now of which I said “those Germans are great investigators, you think?” Following more subseqent police work, the Germans had enough suspicion to perform a search and rescue in yet another German city (Student had moved by this time), just a few weeks later.
My lost printer came by German police from Heidleburg and yes, back to TEXAS, only to be sold at a garage sale for one dollar. It was never used in Germany at all by me. Oh, the thieving student, an exchange student too, was no doubt given an immediate excort to a plane bound for his homeland with a ‘no entry permitted” back in Germany on his Visa. Germans are smart, they don’t want to feed thieves.
Imagine how much money the American taxpayers could save if we had such a policy on folks that break the law in the United States of America, or even TEXAS, for that matter. Would save the taxpayers a fortune! TEXAS might be able to operate their school systems once again.
Hi,
What year was it mandatory for Business to give a 1099 for services over $600.00?Has still always been in place?
Thanks
Hey,
I live in SC and am being audited for the first time for 2009.
I claimed Insolvency for credit card debt and now we are refiling.
I was told I had to fill out an insolvency worksheet for each credit card that was settled for a lessor amount.
If I have to list all the money I have in a 401K there will not be a negative balance. Do I have to list the balance on my 401K on the day the debt was cancelled or is it just the interest; or do I have to list it at all for approval?
Also, If I am still paying on my house, how do I list that? The FMV or appraised price as an asset then the amount I owe on my mortgage as a Liability? Please help me!
Thanks,
Franklin