Fair Tax Pole

[Hamhock]

I'm reading the Fair Tax book (see the thread of the same name).

Anywho, they pose an interesting question I'd like you to answer:

Do you know how much you paid in federal income tax in 2006?

You don't have to put the amount. I'm interested in knowing if you know.

I'm not talking about the amount of refund you got or the amount of the check you wrote on April 15, but the total amount of your federal income tax liablity for 2006.

Do you know?

[usmc-sooner]

too much

[Hamhock]

too much


i'm looking for a "YES" or a "NO". answer the question you idiot. :texan:

i'll go first. 3 years ago, i couldn't have told you what the total amount was. (and i'm a cpa)

[picasso]

how much money can they get out of the fair? it's only here once a year isn't it?

[jeremy885]

yes.

[1stTimeCaller]

I guess the answer is no. If it's on my 1040 then I could look it up and say yes.

I guess I've just never really cared too much.

[Mjcpr]

I guess the answer is no. If it's on my 1040 then I could look it up and say yes.

I guess I've just never really cared too much.

Word. It's a lot which I assume is the point you're getting at, but it takes a lot. Ideally there would be only positive government programs and no waste but that's not very likely to happen unfortunately.

[skycat]

Yes.

Thanks to the TurboTax summary page thingy.

[Hamhock]

the point i'm getting at is not the amount, but the fact that you don't know.

it's sort of like the frog in the pot of hot water.

would your attitude be different if, instead of it being taken from your paycheck little by little, you had to write one big check each year?

[Taxman71]

Yes.

In my experience, people care way too much whether they get a redund vs. owe additional tax at April 15 and care way too little what their overall "tax" is. I always hear those who brag about getting a $2500 refund which only means they gave Uncle Sam an interest free loan for 12 months.

[Hamhock]

that is one of the points of the chapter.

he says one woman at a forum was against the fair tax because she got a $500 refund.

he offered to take $1,000 from her today and give the full $1,000 back in one year, thereby doubling her money...

[landrun]

No. I don't know without looking at my tax return (and even then you don't see the hidden taxes you paid through your employer - which many people aren't even aware of - so its actually higher than you think if you look there for the total)

But, I'm against the fair tax. I think it puts a heavier burden on the middle and lower class - which I think is unfair.

[TheHumanAlphabet]

Yes.

[OUDoc]

Yes. I pay quarterly and feel it in the *** every quarter.

[1stTimeCaller]

I understand fully that when I get a refund I gave Uncle Sam an interest free loan for a year. Whoop tee doo. I would rather get $10 back than pay an additional amount. The reason being is that for a long time I lived paycheck to paycheck and never would have been able to come up with three grand in three months if I had to. I'm not good at sticking to a budget and with the Treasury hanging onto it I don't spend it on Copenhagen and Miller Lite.

[SCOUT]

Yes I do know (both my portion and that which my employer pays) and it makes me mad every time I think about it.

[RFH Shakes]

If I remember correctly, for most people the first 3 months of the year you are working to cover your tax burden.

[1stTimeCaller]

Like RFH said, some group publishes a date each year that shows that all monies earned to that date go to pay your taxes.

Does anyone have a link to that date or group?

[SCOUT]

It is called tax freedom day
http://www.taxfoundation.org/taxfreedomday/

[Hamhock]

I understand fully that when I get a refund I gave Uncle Sam an interest free loan for a year. Whoop tee doo. I would rather get $10 back than pay an additional amount. The reason being is that for a long time I lived paycheck to paycheck and never would have been able to come up with three grand in three months if I had to. I'm not good at sticking to a budget and with the Treasury hanging onto it I don't spend it on Copenhagen and Miller Lite.

again, the extremely poor fiscal choice of giving the government an interest free loan is not the main point.

the main point is that the concept of withholding allows the government to raise taxes (slowly turning up the stove on the frog) without you noticing it.

if everyone instead, wrote one lump check for their burden, people would be a lot more fired up about how the government spends your money.

he made the point that when you ask a wage earner "how much do you make?", they often reply "i take home X each week", as though they don't really have a right to the gross, only the net the government lets them keep.

[Taxman71]

The problem is these same people go to a car dealership and ask "how much is the payment"? Term, rate and principal notwithstanding.

This mentality is why we have social security, i.e. - FICA or forced savings. You can't trust people to save on their own and the gov't doesn't want 75% of the elderly on welfare. I would rather invest this $$ on my own, but far too many (aroud 90%) would just buy a newer car, more clothes, dine out more, etc. if there were no withholding.

Best advice I ever got was that you can't go broke if you don't owe anyone money.

[1stTimeCaller]

again, the extremely poor fiscal choice of giving the government an interest free loan is not the main point.

the main point is that the concept of withholding allows the government to raise taxes (slowly turning up the stove on the frog) without you noticing it.

if everyone instead, wrote one lump check for their burden, people would be a lot more fired up about how the government spends your money.

he made the point that when you ask a wage earner "how much do you make?", they often reply "i take home X each week", as though they don't really have a right to the gross, only the net the government lets them keep.
I see his point but do wage earners have a right to the gross?

I'm of the opinion that the man is gonna get his, one way or another. See JK's thread about property taxes. Lower the % but raise the value of the home seems to be one game the assesor plays. No income tax and astronomical property taxes or state income tax and low property taxes. My favorite is the newfound use of 'fees'. If they can't create a new tax or raise a current one our fine Legislature has found that they can do just about whatever they want with fees.