How are you spending your stimulus check?

[Bimmer100_]

Originally Posted by bimmerfrk

Thank good we own a couple of investment properties and I find shit to write off every year to lower my tax liabilities. And yea SALT sucks I pay 22k in property taxes it's rough not being able to write it off. I hear this expires in 2025

It's as if congress doesn't realize that all states aren't equal. Property taxes and state taxes differ and states such as NY, NJ, CA end up getting affected tremendously compared to others

[bvrider1]

I am buying all these elite BMW owners here that deem themselves the "Stimulus Check Ambassador" new wheels. Including me since I can use a 18x10 square setup.

https://www.forbes.com/sites/shaharz...g#52592160665b

[1MOREMOD]

Anybody rejecting their check on principle because trump isnt your president?

[M_Six]

Since this whole mess means Wifey and I have to do our jobs efficiently from home, we spent a good chunk improving our home office spaces, especially mine. New desk, new PC, extra monitor. I'm banking on having to do this for at least the next year, so the funds came in handy. Our school had a decent WFH policy even before this, but I never really had the setup to allow me to do that properly. Now I do.

[ASAP]

Originally Posted by 1MOREMOD

Anybody rejecting their check on principle because trump isnt your president?

I never got one due to income levels... but even if you did recieve one and understand the bigger picture, you still got butt fkd...

[Littlebear]

Originally Posted by RickFLM4

There is no federal “SALT tax”. You are not being taxed on taxes paid. If you have zero income but paid state and local taxes out of savings, your federal tax would be zero. You are being taxed on income and not getting to deduct what you paid to your state and local paid where you choose to live and elect the people who set those tax rates.

"Why the SALT Deduction Matters

The deduction for state and local taxes has been around since 1913, when the U.S. first instituted our federal income tax. Defenders of the SALT deduction, such as the National Governors Association, point out that state and local income, real estate and sales taxes are mandatory. Taxpayers can’t get out of them. For advocates of the deduction, eliminating it would therefore constitute double taxation." {my bolding}

Murf

[Littlebear]

Originally Posted by 1MOREMOD

Anybody rejecting their check on principle because trump isnt your president?

Maybe. Smarter would be to donate it to citizens not helped enough by the Fed programs. I know some have said they are doing that.

Murf

[1MOREMOD]

Originally Posted by ASAP

I never got one due to income levels... but even if you did recieve one and understand the bigger picture, you still got butt fkd...

Taxation is always that way. Missing the point I didn't get one either.

[RickFLM4]

Originally Posted by Littlebear

"Why the SALT Deduction Matters

The deduction for state and local taxes has been around since 1913, when the U.S. first instituted our federal income tax. Defenders of the SALT deduction, such as the National Governors Association, point out that state and local income, real estate and sales taxes are mandatory. Taxpayers can’t get out of them. For advocates of the deduction, eliminating it would therefore constitute double taxation." {my bolding}

Murf

As written by advocates of the deduction. Legislators in high tax states are exposed so of course they take that view. There is double taxation because the state is collecting taxes in addition to federal. Federal is not taxing the tax as you stated.

You could also argue every form of taxation is double taxation. You pay income tax and then buy things and pay sales tax using taxed dollars. Same for gas tax, telecom tax and on and on.

I think there should be zero SALT deduction. No one’s share of federal taxes should be affected by the level of state taxation in other states.

[Littlebear]

Originally Posted by RickFLM4

... You could also argue every form of taxation is double taxation. You pay income tax and then buy things and pay sales tax using taxed dollars. Same for gas tax, telecom tax and on and on....

This is the truth, & I've been on it for long time.
Pls remind me, why were the repubs most recently railing against double taxation with that 'death tax' stuff, then? They made a big deal of it!

Murf

[RickFLM4]

Originally Posted by Littlebear

This is the truth, & I've been on it for long time.
Pls remind me, why were the repubs most recently railing against double taxation with that 'death tax' stuff, then? They made a big deal of it!

Murf

Personally I don’t give a shit about the estate tax because it won’t affect me. But I believe the argument is your estate is comprised entirely of accumulated wealth that has already been taxed by every level of government and you shouldn’t be taxed just for dying. No one has a choice about dying. While alive, you have a choice where you live and can choose a state that has no state income taxes and lower property taxes if that’s what you want to accomplish.

[Littlebear]

Originally Posted by RickFLM4

Personally I don’t give a shit about the estate tax because it won’t affect me. But I believe the argument is your estate is comprised entirely of accumulated wealth that has already been taxed by every level of government and you shouldn’t be taxed just for dying. No one has a choice about dying. While alive, you have a choice where you live and can choose a state that has no state income taxes and lower property taxes if that’s what you want to accomplish.

Yes, but what you spend on gas has already been taxed once, etc....
What's the difference?

Murf

[RickFLM4]

Originally Posted by Littlebear

Yes, but what you spend on gas has already been taxed once, etc....
What's the difference?

Murf

Those paying estate taxes paid federal, state, sales, gas, etc. taxes like everyone else. Taxes other than estate taxes arise from income, property ownership and consumption. Death is none of those. It’s just death.

[EXE46]

Originally Posted by ASAP

the fails continue lol

we are screwed for a minimum of 15 years


https://www.orlandosentinel.com/coro...5mu-story.html

Unbelievable, welcome to the idiots that came up with this idea. First the claim was " oh, we don't do stimulus" now they're handing out the biggest stimulus ever seen in the history of this country.

I am fine with people and small businesses who are struggling getting help but not multi million/billion corporations who are already sitting on massive reserves, while sticking it to the little people.

[exE36M3]

It's been a great couple of years for us... donating ours to a local charity.

[Littlebear]

Originally Posted by RickFLM4

Those paying estate taxes paid federal, state, sales, gas, etc. taxes like everyone else. Taxes other than estate taxes arise from income, property ownership and consumption. Death is none of those. It’s just death.

Much of a taxable estate is made up of $$ taxed as capital gains, much lower than the income taxes applied to the $ you use to buy gas.

Murf

[Dog Face Pony Soldier]

Originally Posted by Littlebear

This is the truth, & I've been on it for long time.
Pls remind me, why were the repubs most recently railing against double taxation with that 'death tax' stuff, then? They made a big deal of it!

Murf

My understanding is those against SALT deductions do so mainly because of two reasons.

1. The SALT deduction provides economic and thus political cover to state governments when they raise taxes. This only encourages more spending and raising taxes on the state level.

2. Because this taxation is effectively passed onto the federal system, lower-taxed states end up being penalized for the tax/spending policies of higher taxed/spending states. It's seen as being unfair that they're effectively bankrolling policies they can't control. Some might go so far as thinking this is taxation without representation.

As a NJ resident, SALT deduction policy impacts me personally and professionally, but I still support its removal/minimization. The idea is people will vote for more fiscal responsibility when their pockets are impacted.

I thought Democrats liked higher taxes? :

[RickFLM4]

Originally Posted by Littlebear

Much of a taxable estate is made up of $$ taxed as capital gains, much lower than the income taxes applied to the $ you use to buy gas.

Murf

Not necessarily - depends on one’s effective income tax rate. And if the issue is that capital gains rates are “unfair”, wouldn’t the logical solution be to raise capital gains taxes while people are alive rather than taxing them for dying (and dealing with the cost of capital consequences)? I’m not advocating for higher capital gains taxes at all, but not sure why an estate tax is justified because capital gains tax rates are what they are.

You asked what the difference was. Here’s another way to think about it. Let’s say you had zero income, zero assets and zero consumption (maybe you live off the public lands). You would owe zero taxes. However, if you were taxed to be alive, that would mean you owe taxes even with no income, assets or consumption. Substitute “dead” for “alive” and that’s the estate tax.

Like I said, will not affect me, but there is a difference between the concept of the estate tax vs. a cap on deductibility SALT or having to pay other sales, gas and other consumption taxes after being taxed on income.

[Dog Face Pony Soldier]

IMO the inheritance tax advocates are just sad, bitter people whom don't want others passing the fruits of their labor down to their children.

[Bimmer100_]

Originally Posted by EXE46

Unbelievable, welcome to the idiots that came up with this idea. First the claim was " oh, we don't do stimulus" now they're handing out the biggest stimulus ever seen in the history of this country.

I am fine with people and small businesses who are struggling getting help but not multi million/billion corporations who are already sitting on massive reserves, while sticking it to the little people.

I'm the opposite. I rather corporations and large businesses get "help". They employ millions of people in this country. Whereas those who qualify for the stimulus check and small business do nothing for the economy except "get" more than they give. And small businesses who manipulate tax returns.

Or we make things fair and everyone qualifies. Then no one has the right to complain.

[cmyx6go]

Originally Posted by bwsteg

I'm the opposite. I rather corporations and large businesses get "help". They employ millions of people in this country. Whereas those who qualify for the stimulus check and small business do nothing for the economy except "get" more than they give. And small businesses who manipulate tax returns.

Or we make things fair and everyone qualifies. Then no one has the right to complain.

Small businesses do nothing for the economy? And you don’t think small businesses employ millions of people? This has to be the most ridiculous post I have ever read.

[jmg]

Originally Posted by 1MOREMOD

Anybody rejecting their check on principle because trump isnt your president?

You can't, it just shows up. There is no opt out.

I also took advantage of the TCJA and saved an additional $20k/yr in corporate taxes. The best thing to do would be to invest it and inject it back into the economy. That was the supposed purpose of the stimulus check and TCJA wasn't it?

Originally Posted by 1MOREMOD

Taxation is always that way. Missing the point I didn't get one either.

Ever since the TCJA's 21% corp and pass-through tax cut from 32% I've been beating the drum for incorporating for single earners over $150k/yr. At $170k you are at 32% up from 24%, but incorporating can keep you as low as 22% depending on your deduction strategy.

I make well over the limit. I still got a check, but it's a drop in the bucket compared to what you save on taxes.