Tag: taxes

Taxing my patience

So Slate has this article about how the Republicans are trying to kill something called the Mortgage Interest Deduction. Other sources are piling on to this interpretation, spurred on my my least favorite economist, Lawrence Yun. For those not familiar with the tax code, that’s the bit that allows people who are paying on a mortgage to deduct the portion of the mortgage payment that is interest on the loan — not the whole payment. Technically, you’re also allowed to deduct certain other fees and property taxes.

Here’s the problem: it’s not at all true. The actual proposal is to almost double the standard deduction to $24,000. If you actually have more than $24,000 in deductions, you’ll still be able to claim the Mortgage Interest Deduction. However, for most people this standard deduction is high enough that they won’t need to itemize. Even Slate admits that some experts say this will benefit roughly 38,000,000 taxpayers!

The first benefit is that most people will have simpler taxes. No more complicated deductions to figure out. No more keeping track of documents from the mortgage company and all those little slips of paper you got from donating to charity. Congrats, your taxes may well be reduced to one document and an hour with TurboTax.

The second benefit is a little trickier. The 2016 poverty line is $24,300 for a family of four. This higher standard deduction means that families near the poverty line will not be taxed into poverty. It means that they can spend more of their income on goods and services rather than taxes. That benefits the family and the economy. A win-win situation. Don’t tell me poor people don’t pay income tax, because that’s a lie.

Hmm, where have I heard this idea before?

Old news….

So I just came across this little gem from December:

Finally, Christian Bale recently said he felt jealous to see Ben Affleck wearing the cape and cowl – do you ever get that?

No. Do you know why? Because I’m Batman. I’m very secure in that.

You know, I wasn’t sure he was Batman 25 years ago, but I’m pretty sure he is now. And now, what I’d love to see happen is a Batman Beyond live action film featuring Michael Keaton as old Bruce Wayne.

In Closing: “free” trade deal my fanny; keep playing those spy gaaaames, forever; belated tax day thoughts; here kitty kitty; I don’t understand why they aren’t already pushing for this; no kidding, Sherlock; interesting; Buddha cats; and now you can fit this computing power in your pocket, many times over.

Harvest Time is Upon Us!

And apparently, nothing says “autumn” to my local store than pumpkins and lots of boxed wine!

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Or perhaps you’d prefer the hard stuff?

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Drink that much Jack, and you’ll need the tombstone!

As the nice lady sang, “Cheers to the freakin weekend! I’ll drink to that.”

In Closing: personality test; Carlin; what could possibly go wrong?; Dave on taxes; die with a t on the end; “Armory? Armory? School districts have armories? Hell, we don’t have enough money for textbooks but we have armories?”; Russian Space Sex Geckos!; Uh, “number 2” is actually #4 by my reckoning (nobody would have recognized 6); not good; and you have got to watch this — a splash mob!

Federal Judge Rules that Banks Must Follow the Law

More specifically, a Federal judge has ruled that MERS tried to circumvent state law, costing counties millions of dollars in lost recording fees, compromising public records, and confusing consumers. Needless to say, executives form MERS disagree with the judge’s interpretation of state law.

This ruling could cost MERS millions of dollars — billions if other jurisdictions are included. Since I have always felt that the entire purpose of the corporation was to get around the law, I hope they get what legal penalties they have coming to them.

 

In Closing: Yeah yeah I’ll keep posting NSA links as long as there are links to post (bonus anti-terror link!); tax reform; maybe it’s because nobody can afford overpriced organizing stuff; that does sound a little unfair; it turns out that Medicaid is better than nothing– for hospitals!; a couple diet, exercise, and obesity items; about nothing, “not that there’s anything wrong with that”; and “take our puppet, please!”

Paranormal Activities: The Marked Shorties

Happy March! Let’s get started….

Student Loans: Officially dragging down the economy.

I think I have a way to increase consumer spending: This is crazy talk I know, but if the minimum wage were higher, people who make minimum wage could afford to buy stuff.

And the Supreme Court makes it worse: Now the government can effectively prevent accused criminals from hiring an effective defense team by confiscating all their assets, making “innocent until proven guilty” potentially a cruel joke.

When even the IMF disagrees with American tax policy: Yeah, they think the rich need to be taxed more. That trickle down thing? Doesn’t work.

Rules: “Planned food safety rules rile organic farmers“.

Price Fixing: Gold is a market controlled by a handful of banks.

5 Surprising Discoveries: here.

On those new nutrition labels: of course there’s still a 20% margin of error.

Treat someone like a rat and they’ll act like one?: Rat Park (h/t).

Blast from the past: The old Fiat factory.

Plagued with too much money?: Buy a private island!

Interesting point: Cats.

And Finally: I’m sorry, some stuff you just can’t make up. And just wait until you hear the reason this news station can’t air the footage they have.

Music Monday: I Love Trash

Thank Jukkou for this one:

 

In Closing: Must see pictures from Turkey; Always Low Wages; Four Horsemen; Duhpartment of Research shows young people are generally progressive; right, because I totally am going to go to a drugstore for sushi and a makeover</sarcasm>; food stamps are a good thing (heh); tax breaks; I kinda like this lady’s style; and how lazy do you have to be for this to seem like a good idea?

 

 

A Few Words about Taxes and the IRS

Forbidden Fruit. Apple has been getting grilled for following the law in a manner that reduces their taxes. Frankly, most of us choose to do legal things to minimize our tax liability. Give a charitable donation? Buy a house with a mortgage? You could be guilty of following the law! I’m with the CEO of Google and Bill Gates on this one: Don’t like it? Change the law!

The Scandal That Wasn’t: So thanks to Karoli of Crooks and Liars for actually digging up some facts to go with our conspiracy theory witch hunt on the IRS allegedly investigating too many conservative groups. When roughly 80% of applicants are conservative groups, you should be shocked if roughly 80% of those investigated aren’t conservative groups! But hey, let’s not let reality get in the way of a good rant.

That’s it for now.

In Closing: a small example of manmade climate change; cats at sea; so that’s why; supply and demand; an interesting man; inequality; duh; they deserve better; dumb idea; about time; even handed reporting on immigration reform; family leave; crack babies; and I hardly consider it “freak” when something crashes into it.

Music Monday: April 15

George Harrison and Eric Clapton playing the opening track of Revolver, which is in my opinion the best album the Beatles ever did:

 

Just a reminder, my ideas for tax simplification include:

  • Make the standard deduction equal to the poverty line. Nobody will be “taxed into poverty” ever again.
  • Cap itemized deductions at 3 or 4 times that. Most people will never itemize anyway.
  • AMT is now obsolete, so get rid of it.
  • Adjust the brackets accordingly. I’m sure the IRS has policy wonks who can do this in a long weekend.
  • Add a handful of “front page” deductions everyone can take over and above the standard or itemized deductions. These should be really important things. I suggest health insurance premiums, adoption expenses, charitable giving, and mass transit expenses.