DarthMuffin Posted February 1, 2010 Share Posted February 1, 2010 Now, let me qualify this by saying I don't mind paying my fair share of taxes. But we had our taxes done yesterday and the tax laws are just insane. Something is seriously wrong with the system when my wife and I can both claim zero exemptions on our withholdings, plus withhold an extra $50 per paycheck and STILL owe enough in extra taxes to get a penalty. It took 3 tax accountants 3 hours to figure our taxes, and we've got nothing fancy going on other than the sale of a house -- no other income, no fancy exemptions/tax shelters/etc. Did you know when you sell a house and make money they of course want tax on the capital gains, but when you lose money on a sale you can't deduct it. Link to comment Share on other sites More sharing options...
Nik Habicht Posted February 1, 2010 Share Posted February 1, 2010 Now, let me qualify this by saying I don't mind paying my fair share of taxes. But we had our taxes done yesterday and the tax laws are just insane. Something is seriously wrong with the system when my wife and I can both claim zero exemptions on our withholdings, plus withhold an extra $50 per paycheck and STILL owe enough in extra taxes to get a penalty. It took 3 tax accountants 3 hours to figure our taxes, and we've got nothing fancy going on other than the sale of a house -- no other income, no fancy exemptions/tax shelters/etc. Did you know when you sell a house and make money they of course want tax on the capital gains, but when you lose money on a sale you can't deduct it. I hate the complexity too.... Did you and your wife live in the house for two of the last five years? If so, you may be able to take advantage of a Capital Gains Tax exemption for up to $500,000 of the capital gains..... There's probably some other requirements too, such as buying a new place.... Link to comment Share on other sites More sharing options...
Carmoney Posted February 1, 2010 Share Posted February 1, 2010 That's the first thing I thought of, too. These days, most sales of personal residences don't generate capital gains tax. Link to comment Share on other sites More sharing options...
Jim Norman Posted February 1, 2010 Share Posted February 1, 2010 The idea of a flat tax will never fly. Why? The tax industry will never wholly support it. Oh they will give it lip service, but they won't really buy in. The real accounting firms that work the P&L for corporate America are not going to be hurt, but H&R Block Jackson Hewitt and all the little Tax Prep Companies that charge you $50 to fill out a 1040EZ would die, they are not really accountants, they are form fillers that make a good living or more out of this system. The other reason, the progressives in this country LOVE income redistribution. Tax the rich to feed the poor till there are no rich no more. Then what? Nope, you won't see truly simplified taxes ever again. To many people to heavily invested in the current system. The only way to control taxes would be to repeal withholding. Pay your taxes by writing a check at the end of each month. If everyone had to pay taxes like they do their electric bill or grocery bill, the hue and cry to cut out the spending in the capitals would maybe be heard. Link to comment Share on other sites More sharing options...
ima45dv8 Posted February 1, 2010 Share Posted February 1, 2010 The idea of a flat tax will never fly. And discussion of it or other highly politicized subjects doesn't fly here. I would have bet that you knew that by now, Jim. CLOSED. Link to comment Share on other sites More sharing options...
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