What type of tax increase do you want to see?

[SB Shock]

Let see if it is really 80% that want higher taxes?

[Ixiah]

I worked for the IRS over the tax season. Between the earned income credit, additional child tax credit, and American opportunity credit (all are refundable) people who were paying next to nothing in taxes were walking away with thousands.

It's was truly amazing.

[1979Shocker]

There wasn't really a good choice for me. If I had to pick one, I'd go with a 0% tax increase.

But what I'd like to see is eliminate all the tax loopholes and maybe some of the deductions.

[WuDrWu]

I am tired of hearing "shared sacrifice".


Has anyone seen Congress, the White House or the Senate cut their own wages, pensions, retirement etc?

And if you are making 20k, paying ZERO Federal Income Tax AND getting a couple grand (not "back" as you so often hear) in welfare money disguised as an "Earned Income Credit".....not getting some (or all) of that money next year isn't sacrificing.

This country has a huge spending problem, not a revenue problem.

You want to fix the tax code? Fine. Simplify the code, lower the rates, but do it in a fiscally responsible way that encourages business expansion.

Anything punitive will result in lower revenues. I know the President would like to take more money from rich people that "don't need it" and give it to his worthless aunt living off the government and contributing nothing to society but the rich are a lot smarter than Obama, and it just doesn't work that way, no matter how much he wills it or lies about it.

[wu_shizzle]

I would love for the President to explain how increased taxes create jobs.

If this President wins a second term it will say more about the state of the Republican party than it does about the incompetence of his administration.

[SubGod22]

I would love for the President to explain how increased taxes create jobs.

If this President wins a second term it will say more about the state of the Republican party than it does about the incompetence of his administration.

:yes:

[ShockBand]

Make the tax code really simple. You make X as gross, have deductions literally ONLY for you/spouse/dependents exemptions taken off, and then you pay a percentage (probably less than the rates are now) of that figure. If your post exemption balance is 0 or less, you pay no income tax but get nothing back either. If your post exemption balance is $1, you pay a penny so you have some skin in the game. Obviously you would pay more as that balance increases, just like the tax tables work now.

Or dump income tax completely and develop a federal tax system based on end consumption. I'm pretty sure I've read plans out there based on that idea.

We do still need to address spending, INCLUDING Social Security, Medicare, Medicaid AND defense. All four of those have to be on the block for cut considerations since they consume the majority of our budget.

[1979Shocker]

What percentage of adjusted gross income goes to pay income taxes for everyone here. It's probably a lot less than the particular tax bracket that you're in. Just divide line 60 by line 38 on your 1040 form and you'll get your percentage.

I'm at the 25% or 28% tax bracket before all my deductions, but end up at around 15%. So if they decided to change the tax code and get rid of some deductions, I could end up paying more. But maybe a new tax code would put me into a lower tax bracket.

[wufan]

If they change the tax code, hopefully they will get rid of the "tax brackets." Everyone should pay the same income percentage.

My wife and I actually got small raises a few years back and took home less money due to a change in income bracket. How's that for awesome!

You should pay less than your perspective tax bracket under the current system unless you are single with no children, no debt, and rent a home. That's the way it works. One of the problems with the tax system is that none of the benefactors of this system (those that pay nothing or get paid by the government) believe that wealthy people pay taxes. They assume that they just deduct everything. If everyone paid the same then you could see what various people were contributing.

As an example, My Father was a bank VP in the 80's 90's and made a very good salary, but one year they got HUGE bonuses (in stock options) for exceeding expectations. Because of my Dad's position he could not sell the stock for another 18 months, but his owed taxes was more than he earned in a year. That's pretty awesome! It took him 3 months of filing various forms and extensions before he was able to work it out so that he could defer the payments. A simple flat-tax or goods/services tax solves all of these problems.

[SB Shock]

Make the tax code really simple. You make X as gross, have deductions literally ONLY for you/spouse/dependents exemptions taken off, and then you pay a percentage (probably less than the rates are now) of that figure. If your post exemption balance is 0 or less, you pay no income tax but get nothing back either. If your post exemption balance is $1, you pay a penny so you have some skin in the game. Obviously you would pay more as that balance increases, just like the tax tables work now.

Or dump income tax completely and develop a federal tax system based on end consumption. I'm pretty sure I've read plans out there based on that idea.

We do still need to address spending, INCLUDING Social Security, Medicare, Medicaid AND defense. All four of those have to be on the block for cut considerations since they consume the majority of our budget.

That make sense to me and I agree. The real problem is there is a government kingdom and whole economy (and lobbyist) of people who live off having a complex tax code and that will probably always stop any kind of reform.

[ISASO]

Not to mention the power politicians derive from legislating tax breaks and exemptions. I think that's a huge part of the cluster**** budget problems we have.

[Kung Wu]

My wife and I actually got small raises a few years back and took home less money due to a change in income bracket. How's that for awesome!

I have to challenge this. Tax brackets don't work like that.

[Kung Wu]

Not to mention the power politicians derive from legislating tax breaks and exemptions. I think that's a huge part of the cluster**** budget problems we have.

Yes. And the very reason a fair tax will never be adopted.

[SubGod22]

My wife and I actually got small raises a few years back and took home less money due to a change in income bracket. How's that for awesome!

I have to challenge this. Tax brackets don't work like that.

Then why have I heard of others having the same issue?

[Maggie]

My wife and I actually got small raises a few years back and took home less money due to a change in income bracket. How's that for awesome!

I have to challenge this. Tax brackets don't work like that.

Then why have I heard of others having the same issue?

Because Kung Wu is wrong about this - it can happen.