Posts Tagged ‘irs’

Obama’s Self-Serving Budget

February 26, 2009

I read somewhere once, this theory:

“If you took all the money in the world and gave an equal amount to each person, within a decade, the same people would end up with all the money again.”

Then, today, I read about Obama’s budget proposal, where he wants to increase taxes on people earning more than $100,000 a year, while giving 80% of the population an $800 a year tax break.  I really do not understand Obama and other socialist(or “progressive”) thinkers where $66 a month is going to change things.  It’s mostly a symbolic, self-serving gesture by Obama, where he wants to take from the rich and give to the poor.

The funny thing, though, is that those receiving the $66 (me included) will probably spend the money and not save it.  Then they will have goods they don’t need, but the money will be transferred back to those that own the stores or make the products.  It will go right back into the hands of the wealthy.

How about a real change in the tax policy?  How about we cut taxes across the board by half?  If you make $40,000, you would pay $10,000 in taxes now, but would pay only $5,000 a year if we cut taxes.  What do you think will help more?  Obama’s 800 bucks or five grand in your pocket?

That’s the problem with Obama’s thinking.  Rather than letting us keep more of our hard earned money, he would rather give us a nominal tax cut and call it “change.”

I know, you’re probably saying, “If we cut taxes by half, how will the government make money to fund all our programs?”

This tax cut would have to come with an even bigger spending cut.  In 2007, our government spent about $2.7 trillion and took in about $2.4 trillion in taxes and fees.  So, if we cut taxes in half, you could say we would have about $1.2 trillion to spend.  Our spending on our military empire totals about $600 billion, and social security and medicare costs almost $1.2 trillion.  You can do the math that if we end our empire and bring our troops home, and stop or cut some of the welfare programs, we could easily balance the budget.

The point of this post though, is that Obama’s goals are for his own devices only, and not for the good of the American people.  He says he wants to cut taxes, but the cuts aren’t enough to make a difference.  All he really wants to do is shift the tax burden around, but not really bring any change or hope to the government.  It’s all a sham, and everyone is falling for it, hook, line and sinker.

Does Anyone Pay Taxes?

January 30, 2009

I’m starting to think I’m the only sucker out there paying taxes.  If two of Obama’s cabinet picks, who are supposed to be our leaders, don’t pay taxes, does anyone else?  Is it strange that the working class pays their taxes, but these elite individuals end up owing thousands of dollars?

Today, it was announced that Tom Daschle, the appointed Health and Human Services head, paid over $125,000 in back taxes right before he was nominated to the position.

That is a LOT of money for someone to just claim that they “didn’t know they had to pay taxes on it.”  In fact, that’s two years worth of my salary.

It’s amazing to me that I got assessed a $68 penalty last year for my wife underpaying her estimated taxes for her 1099 work (about $3,000), but Daschle was able to get away with not paying $125,000 of taxes from 2005 to 2007.  Tim Geithner, our new head of the IRS, got away with not paying over $30,000 in taxes over 5 years.

Does it look like we need a review of the IRS policies?  Why do I get assessed penalties, and these guys get away with not paying taxes for years?  As taxpayers, we should be pissed about this!  How can our leaders cheat and steal and then expect us to be the ones who uphold the moral values of our country?

It just disgusts me that most of us work hard and play by the rules and struggle to get by, while our leaders feel like they’re above the law.  Wouldn’t you or I go to jail for owing $125,000 in taxes?  Why will Daschle just get a slap on his wrist?  The divide between the rulers and the masses is growing larger every day.  Will we ever push back?  Or will we just keep bending over and taking it?

Source:  Reuters

Barry Bonds and Civil Liberties?

January 30, 2009

The Federal Government flexed it’s muscles again yesterday, sending 20 IRS and FBI agents to raid the home of Greg Anderson’s Mother-in-law for a “tax investigation.”  Anderson is the ex-trainer of Barry Bonds, and he has already spent over a year in jail for refusing to testify against Bonds.  This is a blatant attempt by the Feds to bully Anderson to get him to testify.

I can’t believe this is not getting more publicity.  Maybe it’s because people are sick and tired of the Bonds case, but this is a great example of how the Federal Government can violate our freedom and civil liberties.  The worst part is that I haven’t seen one media outlet criticize the government in this case!  How can you sit back and call out the government’s Gestapo tactics!

This can happen to anyone!  If the government wants to come after you, all they need is a “tax investigation” and they can come and raid your home and seize your property!

One of the key reasons for the American Revolution was that the British soldiers were being stationed in people’s homes, invading the liberty and freedom of the Colonists.  These kinds of actions and tactics were exactly what the Constitution and our Founding Fathers were against.

It is absolutely ridiculous that our tax dollars are being used to fund this witch hunt against Bonds.  Don’t they have better uses for our money?

Where were these agents at new Treasury Secretary Tim Geithner’s home?  He didn’t pay $30,000 in taxes!  What about the fraud that has been committed by the Wall Street investment firms and rating agencies?  What about the subprime lenders?  Why are they spending so much time going after Bonds, when every CEO of every big bank should be put in jail for fraud?

I never thought I’d be defending Barry Bonds, but the government is going about this all wrong.  They are violating the basic principles of this country and getting away with it.  A dangerous precedent is being set, where the government can search your home and seize your property for no reason at all.  We need to demand that our right to freedom and liberty is not put in danger by the big government, police state we live in now.

Source:  ESPN

The Taxpayer Revolt

January 27, 2009

This year is going to be tough on everyone.  To make matters worse, this year, the state of California is going to be issuing IOUs instead of refund checks because they are broke. I rely on the money back from the state to offset the money I owe to the IRS.  You think the IRS will take my California IOU?

I know I shouldn’t be loaning the government money all year and expect a refund.  However, my wife works as a 1099 consultant, and normally, I end up owing about $1,000 to the IRS, so it all evens out.  A friend of mine has an accountant and does the same thing, so I don’t think I’m too far off.

So now, instead of a net zero situation or owing $1,000, I’m going to have to put almost $3,000 out of my pocket to the Federal Government, and hope that my IOU from the state gets fulfilled.  That’s exactly the kind of extra burden I need this year.  Thanks a lot, Arnold.

How many people across the country are in the same situation?  How many other people are strapped for cash and now will have to go further into debt to pay off these unexpected taxes?

An even bigger problem with the whole system is that my taxes are going to fund all these bailouts.  Why should I have to be burdened with thousands of dollars of taxes, when it is going to something I do not believe in?  It’s not just me either.  The majority of the population is against the bailouts, yet we all keep having to pay into the system.

At what point are we going to have enough?  It’s one thing to pay taxes that go to your local school or to a state project where you will see the direct benefit of the taxes.  It’s another when your tax dollars were donated to big banks and no one has any idea of where it went.

A main reason of the American Revolution was “no taxation without representation.”  Could this be any more true in the current environment?  The American Public is saying one thing, but the government is acting on its own.  At what point do we say that enough is enough?

It won’t take a whole lot more government intervention to make the current situation a lot worse.  At what point will the American Taxpayer start to revolt?  When will be our Boston Tea Party?  At this point in time, the last thing we need is the government wasting our tax dollars.  They would be much better served staying in our pockets so we can pay off debts or buy more things to support our economy.

An Honest Mistake? Puh-lease!

January 14, 2009

After finding out about all of Treasury Secretary appointee Tim Geithner’s unpaid taxes yesterday, all of these so-called tax experts are now rushing to his defense.  Read about it in the NY Times.

The experts claim that Geithner made an “honest mistake” and that many international employees make the same mistake.  So, from that, I understand there are a lot of idiots working for international companies.

Seriously, if you or I get a paycheck without ANY taxes deducted we know that we have to pay something.  We might not know the exact form, but we all know what a 1099 is and that means we are responsible for paying our taxes.

To claim that this is an honest mistake is just saying, “most people don’t get caught.”

And it’s not like this was only for one year.  This was from 2001-2004.  That’s four years worth of tax returns where Geithner AND his crappy accountant missed this.  It wasn’t for a small amount either!  Maybe $34,000 isn’t a lot of money to Geithner, but for most of us, it’s a pretty big amount.

Also, he had some of the penalties waived by the IRS!  Imagine if this had happened to you or me.  We don’t pay our taxes for 4 years and then tell them, “it was an honest mistake,” you think they’re going to say, “oh, that’s ok, we’ll waive the penalties”?

All the excuses just reek of elitism.  “Oh, it’s not that much” and “it’s just an honest mistake” and “so many INTERNATIONAL workers make the same mistake” don’t sit well with me.  The officials of our Country should be honorable and have moral values.  Instead, Geithner is already a crook.  If he had fessed up and taken responsiblity and resigned, he and Obama would still have their dignity.  Instead, it’s just another sign of how messed up our government really is.