David Evans' World of Taxes (and other fun thoughts)

With the government trying to figure out how to balance the budget, and afraid of offending anyone by substantially cutting spending in any way, shape or form…. why not have “THE RICH” pay ……..62% ?  You read that right, 62%.

I don’t know about you but I find it a little offensive that anyone should have to pay almost two thirds of their income to the government.  It is just morally offensive.  How did we get to this point?  You see, the problem is that there is a disconnect in the public.  Most people don’t think of the fact that the taxes you pay actual go somewhere.  They go to the federal, state and local treasuries and then get spent by those who are supposed to watch over it.

That principle is not the problem.   The problem is how it’s spent.  A lot of us have discovered the principle at home that if you don’t have the money, it hurts us in the long run to borrow it so that we can spend it.  Aside from some minor economic differences, the principle is the same in government.  Debt, in general, is not good.  There is some good debt, like a mortgage, but, generally speaking, it is not a good idea to go into debt by way of a credit card so you can go to eat at a restaurant or buy a television.

This applies to the government also.  Sometimes debt is necessary.  But since 2008, the government has nearly doubled its debt to over $14 TRILLION.  That’s right….TRILLION.  And now, the Congress is looking to add to that.  It seems to me that when your child goes on a crazy spending binge and maxes out your credit card, you take the card away.  You don’t solve the problem by increasing the credit limit.  This applies to our elected officials also.  Since, for the most part, they behave like children.It is time to take away the credit card, now.

See this link to check out the 62% rate calculation.http://online.wsj.com/article/SB10001424052702304066504576343611464445594.html

New Jersey has announced the creation of the Taxpayer Advocate.  The advocate will function similarly to the advocat at the IRS, helping taxpayers understand the NJ tax laws and how the revenue department operates.  See the following link for more information.

http://www.newjerseynewsroom.com/economy/nj-treasurer-introduces-office-of-the-taxpayer-advocate-in-state-division-of-taxation

With the IRS allowing you to file your taxes from your smartphone, there comes some concerns.  Please watch this video if this new technology is in your plans.

http://video.foxbusiness.com/v/4510125/tips-for-filing-taxes-on-your-smartphone?playlist_id=87086

Are you feelin’ the love? 

http://www.irs.gov/newsroom/article/0,,id=239507,00.html

One of the most common reasons that people change accountants is the complaint that “…my accountant never calls me back.” or “…I can never reach my accountant.”    Did you ever look at it from your accountant’s point of view?  

Yes, we like you.  Yes, we want to talk to you.   But stop to think about why these calls are happening in the first place.   It is a very rare occasion to be contacted by a client for anything good.  I don’t think I’ve ever heard “Hey, I really liked my tax return this year.  Oh, and by the way, your invoice was terrific.”  No, these calls just don’t seem to happen. 

Usually, it’s “I just received a letter from the IRS… here, let me read it to you.”  That’s o.k.  Don’t read it.  Fax or email it to me.

And, there is no such thing as an accounting emergency.  If you think you have a real emergency, hang up and dial 9-1-1.

But we do try, as best as we can, to call or email back.  

But my piece of advice today is fax it over.  I will see it.  Please don’t call to read it to me, then fax it to me, then scan and email it to me and then call me again to see if I got your fax and email because I didn’t fax or email you back.

Thanks.   David

This link has my contact information at my office.    www.baratzcpa.com

Welcome to my new blog about taxes, government and other financial goodies. Enjoy the articles and links and please leave comments so that we can have discussions. Thanks for visiting.