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Delays to Tax Tables May Dent Paychecks (higher witholding for everyone in 2011)
Wall Street Journal ^ | October 7, 2010 | LAURA SAUNDERS

Posted on 10/07/2010 7:19:16 AM PDT by reaganaut1

Lack of congressional action on 2011 income taxes may force the Treasury Department to make unprecedented moves to prevent U.S. workers from seeing large tax increases in their January paychecks.

The issue: 2011 tax-withholding tables. Treasury officials usually release the tables, which determine the take-home pay of millions of wage-earners, by mid-November because it takes payroll processors weeks to adjust their systems before Jan. 1.

But congressional leaders recently postponed voting on taxes until after the election and lawmakers don't reconvene until Nov. 15. The Senate is scheduled to take up several nontax issues when it returns and is expected to leave for Thanksgiving soon after, possibly pushing a vote on taxes into December.

"Things get very dicey after the first of December" because of employers' need to know the 2011 rates, said Michael Graetz of Columbia University Law School, a former Treasury official.

Lawmakers' recent track record on dealing with tax matters doesn't inspire confidence that they will act with dispatch. Congress has yet to resolve the estate tax, which expired at the end of last year and is set to snap back to high rates come January. Nor has it tackled the alternative minimum tax for 2010, a levy that is set to hit 32 million taxpayers this year, compared with five million last year.

Some Capitol Hill tax staffers have suggested that the Treasury could set 2011 withholding at current levels for joint filers earning less than $250,000 ($200,000 for single filers), on the assumption that Congress seems likely to enact this change. Others have suggested that if Congress doesn't act in time, Treasury officials might consider a one- or two-month grace period in which it maintains current tables until Congress passes tax legislation.

(Excerpt) Read more at online.wsj.com ...


TOPICS: Business/Economy; Extended News; Front Page News; Government
KEYWORDS: democrats; elections; fail; incometaxes; irs; obama; obamataxincrease; taxcheatparty; taxes; taxincreases
The campaign ad almost writes itself. "Obama promised you a tax cut, but come this January, every working American will get a smaller paycheck because the Democrats have refused to extend tax cuts."

"Some Congressional staffers" think the Treasury Department is supposed to guess what Congress will do rather than implement the laws it has passed.

1 posted on 10/07/2010 7:19:17 AM PDT by reaganaut1
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To: reaganaut1

unexpectedly.


2 posted on 10/07/2010 7:20:05 AM PDT by Doogle (IT'S THAT TIME AGAIN....PLEASE donate, because it's the RIGHT thing to do)
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To: reaganaut1
If they don't increase withholding, there will be a lot of very unhappy people on April 15, 2012 when they find out how much they are going to have to scrape up to pay their federal income taxes.

It's about time that people FELT the taxes they are paying.

3 posted on 10/07/2010 7:21:36 AM PDT by E. Pluribus Unum ("The only stable state is one in which all men are equal before the law." -- Aristotle)
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To: reaganaut1
No, no, no ... it wasn't a tax cut ... pay cut ... he meant PAY cut.

See how easy that is?

Don't even need the kind'a cool, stroke o'the pen ... just do nothing.

All incumbents out.

4 posted on 10/07/2010 7:24:06 AM PDT by knarf (I say things that are true ... I have no proof ... but they're true)
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To: E. Pluribus Unum

The many new tens of millions that will pay AMT better save a chunk of money now, for the bill will be due in April on money they are earning NOW- no time for withholding to catch up


5 posted on 10/07/2010 7:24:50 AM PDT by silverleaf (The lesser of two evils is still evil.)
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To: E. Pluribus Unum
If people had to actually pay their taxes on April 15th instead of having them automatically withdrawn ... their would be no welfare.
6 posted on 10/07/2010 7:29:57 AM PDT by TexasFreeper2009 (Obama = Epic Fail)
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To: reaganaut1

Ads must go for our enemies jugular and expose their treason and arrogance against the American people. The enemies within must be exposed for what they are. RATs fear exposure more than anything else.


7 posted on 10/07/2010 7:33:50 AM PDT by ExTexasRedhead (Take back our country on November 2, 2010. Let's Roll!!!)
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To: reaganaut1
Should be interesting. Congress didn't do their job this year but still collected their regular pay plus a pay raise; the rest of us didn't get a COLA (retirees) and those still working get more taxes taken out. This happens equally to the rats as well as the rest of us sane people yet 95 percent of the rats will still vote rat! Get these guys out of here!
8 posted on 10/07/2010 7:38:49 AM PDT by New Jersey Realist (Congress doesn't care a damn about "we the people")
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To: reaganaut1
"I have never seen withholding tables based on assumptions about the law," he said.

Obviously the correct answer.

9 posted on 10/07/2010 7:49:03 AM PDT by RightGeek (FUBO and the donkey you rode in on)
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To: Doogle

UNfreakin’believable!


10 posted on 10/07/2010 7:49:31 AM PDT by WAW (Which enumerated power?)
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To: reaganaut1

This deserves a protest! A serious Pitchforks and Torches protest!

Before the new congress is seated, before the new year, I would love to see 100,000 Americans on the Capital Mall in a nighttime protest, where I’d love to see 100,000 angry tax-paying Americans light their torches and march up to the White House or the Capital and shake our pitchforks and torches at them. I would call it the “Fair Warning” march.

I would be willing to donate hay, pitch, labor in making torches, I would gladly pass them out and would absolutely delight in watching these torches be lit one by one...

I would be willing to donate pillows (or feathers) and I am sure I could find someone willing to donate at least one large bucket of cold tar.

After a few speaches and the lighting of the torches, march up to the Capital for a few chants, a few speaches, and then we can sing a few patriotic songs. The last words from some speaker/leader will be “You are duly warned.”

And then we can all leave in a deafening silence.

The point would be to let them know, we came to give them a warning, that we love America, and if they continue to ruin it, and fail to heed our warning, they need to leave.

They need to fear us.

April 14 should be Tax REVOLT Day if they allow this to happen. Everyone files the forms, but sends in a check marked VOID. In the memo, I would put, “You no long have consent to govern.” Even if only 3% of returns are done this way, it would be enough to starve Leviathan.


11 posted on 10/07/2010 8:03:50 AM PDT by WAW (Which enumerated power?)
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To: WAW

” After a few speaches and the lighting of the torches, “

All of those open flames would bring out the EPA SWAT teams - especially if it’s a “no-burn” night.... ;)


12 posted on 10/07/2010 8:07:04 AM PDT by Uncle Ike (Rope is cheap, and there are lots of trees...)
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To: Uncle Ike

PITCFORKS, TORCHES, TAR & FEATHERS.

It needs to be symbolism they cannot ignore.

I will personally be willing to risk it. They bring out SWAT...Really? They want a Kent State incident on that scale on the Capital Mall?! Really?

My life is worth it! My country is worth it!


13 posted on 10/07/2010 8:10:12 AM PDT by WAW (Which enumerated power?)
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To: WAW

The patriots of old did not wave torches and pitchforks like political signs. They literally threatened to use them. I think a symbolic use of them would read like a cheap political ploy at the very least and a violent mob at the worst. I reject this idea, because real police or military force would flood the streets in response. Do you want that to happen?


14 posted on 10/07/2010 8:34:40 AM PDT by Pan_Yans Wife (Utopia is being foisted on Americans for their own good.-- J. Robert Smith)
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To: All

Note the switcheroo where they mention singles earning less than $200,000. Originally it was $250,000 that Obama’s promised would not see tax hikes. Did he specify joint filers? I don’t think so. As it is, I only make 18K so no matter what happens, I am screwed no matter who is in office.


15 posted on 10/07/2010 8:56:07 AM PDT by PghBaldy (Like the Ft Hood Killer, James Earl Ray was just stressed when he killed MLK Jr.)
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To: reaganaut1
The campaign ad almost writes itself. "Obama promised you a tax cut, but come this January, every working American will get a smaller paycheck because the Democrats have refused to extend tax cuts."

They're NOT tax cuts! Either our taxes stay the same or they are raised.

"Obama promised not to raise taxes, but come this January, every working American will get a smaller paycheck because the Democrats have raised your taxes beginning this new year."

16 posted on 10/07/2010 9:02:55 AM PDT by avacado
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To: Pan_Yans Wife

I don’t see it as a ploy...

And what do you imagine happens if they use force on a peaceful crowd?

I am talking about a “Fair Warning.” If they decide to initiate force, then they have given their answer...

The original true patriots pledged their lives for this country. That is a very serious and personal decision. I do not take it lightly.

My country is worth it. The country I love is worth my life.

If it’s ‘cheap’ and they respond with bullets as you contend, then how ‘cheap’ is it really? It’s hard to call it cheap, if you really do feel lives are at stake.


17 posted on 10/07/2010 9:30:33 AM PDT by WAW (Which enumerated power?)
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To: WAW

I wish you luck then with your pitchfork in front of police bullets or a tank.

I do not believe most Americans think that the time is ripe for armed revolution. And if they did, I don’t think they would use pitchfork and torches. The Second Amendment stands in defiance of such limited force from the citizens.


18 posted on 10/07/2010 9:34:42 AM PDT by Pan_Yans Wife (Utopia is being foisted on Americans for their own good.-- J. Robert Smith)
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To: silverleaf

true, that.

“23 Million Americans Hit by a Tax Hike, But They May Not Know It Yet”

http://cnsnews.com/news/article/millions-middle-class-americans-may-soon


19 posted on 10/07/2010 9:45:18 AM PDT by WOBBLY BOB ( "I don't want the majority if we don't stand for something"- Jim Demint)
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To: Pan_Yans Wife

Imagine the scene just described...

100,000 pitchfork and torch bearing Americans at night surrounded by police or other armed units.

If we yell, chant, sing...What do they do? If we are peaceful - even if we are demonstrably ‘angry’ - but take no action that can that initiates the use of force...What do they do?

I can easily imagine they stand by until the protest is over.

If a riot breaks out -God forbid - the symbolism is very dangerous all the way around, but it will be noted by both sides that the time for action has arrived and that ‘fair warning’ will have been answered.

After that...After that decision is made to initiate the use of force has been made by the authorities, then you can more concretely assess which side you are on, what action you will take...

I am not advocating a mob like the lefty anarchist types who destoyed shops, cars and all that and rioted...

They know that the patriots of old didn’t show up to just wave their torches and pitchforks, but we can announce this as an angry but peaceable protest...We can announce it as a “Fair Warning.” Let our actions speak louder than our words.

But let me be clear...They symbolism - regardless of the method used - should be unmistakable.

The government that takes such action against it’s people should indeed fear the reaction of those people. They should fear us. They need to take note before the new congress is seated, so they can have the proper debate and take action to address matters....

Right here, right now, it is not apparent to me we are being heard, because they persist in the direction of tyranny.

I think a statement like that - or similar - I am certainly open to suggestions - but a bold statement needs to be made to get their attention.

I want to hear President Obama or Speaker Reid or Speaker Pelosi say, “OK. We hear you. We’ve gone too far...”

Or...

I equally want to hear them say to the American public, “You can’t do this...You have to obey your leaders...We have to do this because...”

We take our stand, so they have to take their stand.

Let the lines be drawn boldly so American - each an every one of us - knows on which side they have chosen.


20 posted on 10/07/2010 9:46:58 AM PDT by WAW (Which enumerated power?)
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To: reaganaut1

the GOP needs to get out in front of this story NOW, lest the millions of Dunderheads out there blame them when their paychecks get smaller the very same month they are sworn-in to control of Congress.


21 posted on 10/07/2010 9:47:59 AM PDT by Buckeye McFrog
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To: Pan_Yans Wife

I wish you luck with what is left of your country when the patriots are dead and eveyone has given up....

When Security is paid for withLliberty...You will have none of either.


22 posted on 10/07/2010 9:48:30 AM PDT by WAW (Which enumerated power?)
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To: Pan_Yans Wife

I wish you luck with what is left of your country when the patriots are dead and eveyone has given up....

When Security is paid for with Liberty...You will have none of either.


23 posted on 10/07/2010 9:48:45 AM PDT by WAW (Which enumerated power?)
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To: Pan_Yans Wife

I didn’t say you couldn’t bring your gun...I think that perhaps that could be another march, depending on how this one goes...But that’d be another discussion all together.

I am not attempting for foment revolution. I am attempting to foment a revolutionary spirit, a spirit that says, defiantly, the line is drawn here.


24 posted on 10/07/2010 9:52:03 AM PDT by WAW (Which enumerated power?)
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To: WAW

I don’t believe that I’m throwing away my liberty. I just believe that the moment is not right for armed revolution. That decision would be made within my family, it would not be made on a political forum. And if it came to that, I would have no problem defending my liberties. I just don’t believe that the time is right, today.

This is evidenced by the fact that I am not traveling to DC this weekend in protest.

I want to see what the results are for this much anticipated election before I give up all hope.


25 posted on 10/07/2010 10:02:10 AM PDT by Pan_Yans Wife (Utopia is being foisted on Americans for their own good.-- J. Robert Smith)
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To: Pan_Yans Wife

I do.

I think that Silence is Acceptance.

If you are silent on the issue - any issue - you accept the status quo.

Every person has to make their own decision. I wouldn’t have it any other way...

I don’t think the elections will be enough...I think the next brand of leaders could lead us down this same road sooner or later and we must hold them accountable now. Today, before they get in office.

It is only fair we confront them as well. They are either with the tyrants or they are against them. They say they want our support...They can have it if they want to help us carry pitchforks, torches, tar and feathers into the hall of the House and demonstrate to us that they truly represent us and not the tyranny instituted there.

When should we protest?

If not today, when? When do we say we will no longer accept this? How much more are you/we all willing to accept?

That’s what you are saying...You are saying, I will accept a little more tyranny for now...Maybe later I won’t accept any more tyranny, later, but this level of tyranny is acceptable. I can live with this.

I can not.

I can not accept any more tyranny.

I want the leadership to be confronted - to feel absolutely confronted - with having to decide to show us truly if they are serious in their tyranny or not.

I am not so delusional as to believe they will just get up and walk out quietly....

I am also not so delusional as to think they will have any other response other than the initiation of the use of force at some point, because that is the last argument of tyrants.

I think that too many Americans want someone else to be the Patriot, someone else needs to stand up for them, for their Liberty, someone else to be their voice.

This is my voice.

I have had enough of Tyranny. For me, it stops here.


26 posted on 10/07/2010 10:23:44 AM PDT by WAW (Which enumerated power?)
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To: WAW

I’m happy for you that you feel so principled in your stand.

Perhaps my life is different from yours. But I would first seek the counsel of my husband, consider the ramifications for my children and then proceed. We could only come to such a decision as a family.

I think the mood is changing rapidly, but I don’t feel a tremendous push for revolution today. And I don’t believe that there are enough numbers to reach the 100,000 protesters that was mentioned above. I think more groundwork would have to be laid before hand.

I also believe that after this election there is a strong possibility that the tides will have changed enough that we can bring about the end of Obama’s presidency. I’m willing to wait and see if that is possible. I have that much faith in the Americans to reject Marxism and return to our founding principles. The Tea Party is a terrific start towards that end.


27 posted on 10/07/2010 10:32:40 AM PDT by Pan_Yans Wife (Utopia is being foisted on Americans for their own good.-- J. Robert Smith)
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To: Pan_Yans Wife
One torch. One pitchfork. Mine. Fine... The number was an air grab... I don't imagine I personally could get 100,000 people to do anything...I have no such clout. I don't expect even for something like this the crowds similar to the Restoring Honor rally are possible, because probably less than 1/3 or 1/5 of the people there truly feel the need to take a stand. But those who do...Those who do would be a truly powerful voice to be heard. That's why I would neither expect nor want the same crowd levels...Because the level of dedication is different. This is indeed escalating the stakes. The stakes need to be escalated. We are not mad enough, apparently. We are not mad enough, because it just doesn't stop until someone gets mad enough to confront them with the clear choice to continue or not. So what if it's just me and my friends. This is not something I would take my children to. I want them to be safe. I want them to see it on TV, safe in the house. So, yes, I know it is escalating the tension. The tension needs to be escalated so the leadership can feel it. "I also believe that after this election there is a strong possibility that the tides will have changed enough that we can bring about the end of Obama’s presidency. " I hear you...And I hear a lot of Americans who feel just like you do...And to them I say this: HOPE IS NOT A STRATEGY! The Tea Party dies when the enthusiasm dies...If people think this election is going to 'fix' this country, they are deluded and it will only be a matter of time before this and even far greater, even more egregious steps towards tyranny will be taken - and yes, tolerated. Silence is Acceptance. If this is what I have to accept, I won't go quietly.
28 posted on 10/07/2010 10:46:47 AM PDT by WAW (Which enumerated power?)
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To: WAW

I didn’t say it was hope. I said it was a belief. I really think the Tea Party can continue to be a force for change in this country.

You have to understand that my point of view concerns my children. Before the Tea Party even existed my husband and I were explaining the principles and values that this nation was founded upon to our children, because they were being lied to at school. This is a part of the fabric of our daily lives, not a fad we fell into when we saw the Tea Party rallies start. We were already there.

When Beck had his 8-28 rally, I did not really pay that much attention to it, because I was already there. He talks about commiting your life and honor to God. We did that before it was his idea. He didn’t need to lecture me on how important it was to embrace my faith in God and use it as a shield against tyranny. I had already committed my life to Christ.

These movements, this upsurge in a desire to return to first principles, was something that I didn’t need to latch onto. I live my faith, I love my country and I’m raising my children to do the same.

I do not take my freedoms for granted. I do believe in America whole-heartedly, and this is why I believe that our republic can survive the likes of Obama, because we do not live or die on who wins an election. I live for the future of America. I do not kneel at its grave.


29 posted on 10/07/2010 11:08:37 AM PDT by Pan_Yans Wife (Utopia is being foisted on Americans for their own good.-- J. Robert Smith)
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To: Pan_Yans Wife

I am open to other ideas.

I welcome them.

I want to see that intermediary step that warns the leadership and confronts them with the choice of either giving up on such tyranny or defending it.

I have made my contribution to the marketplace of ideas. If there’s a better one, I want to know it. I will certainly support it.

Tyranny is cancer. It cannot be tolerated.


30 posted on 10/07/2010 11:30:39 AM PDT by WAW (Which enumerated power?)
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To: silverleaf

I wouldn’t have a problem with the AMT if it really was what it claims to be — an “Alternative Minimum Tax”.

Logically, you would think this meant “everybody should pay some minimum percentage of their income in Federal Income Tax.” Say 10%. But of course it doesn’t mean that at all, since half the people pay 0% and another quarter pay less than 10%. If it really did force everybody to pay 10%, the Individual Income Tax would bring in $1.4T — exactly the same revenue as the current tax system extracts from the half of Americans who actually pay income taxes. As a bonus, that $1.4T would replace Corporate Income Taxes as well, and allow the US to be one of the few nations that didn’t tax corporations to death.

Instead ... the AMT exists to make sure the successful people are denied the deductions and tax credits available to the unsuccessful. Somebody has to pick up the tab for the bottom 50% that pay nothing, right ?


31 posted on 10/09/2010 12:30:15 AM PDT by Kellis91789 (Democrat: Someone who supports killing children, but protests executing convicted murderers.)
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To: reaganaut1

Since the tax tables need to be adjusted anyway, why not invert them just for fun ?

Put the highest tax rate on the first chunk of income, then lower rates on successively higher incomes. Punish failure and mediocrity, and reward success. What a novel concept that would be.


32 posted on 10/09/2010 12:34:01 AM PDT by Kellis91789 (Democrat: Someone who supports killing children, but protests executing convicted murderers.)
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To: Kellis91789

Obama has already accomplished that. 63 cent national tax on smokes was a kicker for the poor. 10% to 15% on the poor is a 50% tax. Yea, he’s a genius. Thank God he never hit the rich.


33 posted on 10/09/2010 12:39:58 AM PDT by eyedigress ((Old storm chaser from the west)?)
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