Posted on 01/03/2018 5:10:51 PM PST by Joe Dallas
One of the issues is the deduction for property taxes. If you have a purchase value over 850,000 which happens in California, you will not get a deduction for the tax on the amount above this. New purchases only.
Those of you yelling about our high taxes, the income and sales tax yes. The property tax no. Generally 1.18% and controlled as to how much it can increase.
How much of a refund? If it's less than the cost of Turbo Tax, you probably don't need to file in those states anyway. I have clients who work in several different states & earn a W-2, but many times we don't file in those states. Although, I would earn additional filing fees, I generally recommend against it unless the refund covers the cost.
Looks like $160,000 if you have a couple, no kids, filing jointly.
Cat’s income tax isn’t bad as long as your income is below $100k. The rates are low in the first tiers and the tiers are wide, unlike many other states that i`’ve looked at moving to.
I believe I’m as guilty of this as anyone, even if for simply not objecting to the new laws eliminating those deductions for taxes paid in Red (Sorry, I still think Commie states should be red) states.
You see, it forces these states to have to squirm. All of a sudden it’s glaringly obvious how high their taxes are.
Now, is it fair to folks who live in those states and have played by the rules? Of course not.
Anything that resulted in people having to pay higher taxes in any category, should have been “out” from the get-go. Unfortunately they weren’t.
What was wrong with simply reducing taxes across the board by whatever the percent it needed to be?
We didn’t have to screw with all sorts of new ways to handle things.
I suspect this law was written as it was, to give Trump a major headache in the next year or two.
Let’s face it, we just witnessed how opposed to having a good guy in power, when the party attacked Moore to prevent him from becoming the Senator from Alabama.
IMO, they’re doing the same thing by dragging their feet and submitting terrible legislation, to take out Trump next.
They simply refuse to let him become popular, his ideology to become popular.
Look at the idiotic replacement plans for Obamacare these schmucks came up with.
They aren’t going to play ball with Trump in any way whatsoever.
They will screw us, the nation, and their own party to support the globalist meme.
I hate these f’ers.
Try deducting your marijuana taxes.
...For over 100 years State and Local taxes paid were exempt from Federal Taxation...
And states and local governments took advantage of that fact to raise state taxes to outrageous levels believing correctly that deductability would take some of the pain out of paying high taxes to the state.
Taxpayers in high state tax states should throw the people out who shouldered it’s citizens with taxes that are abnormally high.
I would think the Feds would declare the deduction illegal and disallow any charitable deductions for the CA citizen. The IRS gets real nasty about slippery tax avoidance end runs.
Where's that panhandle?
It COULD work allowing a dollar-for-dollar reduction in California state income taxes for each dollar donated to the California “charity”...
...BUT ONLY if such dollar-for-dollar reduction in state income taxes is ALSO ALLOWED FOR DONATIONS TO ANY OTHER FEDERALLY RECOGNIZED CHARITY.
So California tax payer...to what charity will your “tax offset dollar donations” go? .... your church? .... or your state six figure income bureaucrats?
regardless of how much money CA pays to the feds, the rest of the country is still subsidizing them. Simple Math. Lets say we have 2 people, A and B. Both A & B make $100K and everything else is equal between them . A lives in a state with a 15% income tax, and B lives in a state with a 3% income tax. Both can write their state taxes off, so A has a tax base of $85K, and B has a tax base of $97K. If the tax rate is 20%, then A is paying $17K in taxes, and B is paying $19.4K in taxes. B is subsidizing A because A is getting to write off more than B just because A lives in a high income tax state. See ... it does not matter how much CA sends the feds in total, CA is getting a subsidy because their taxpayers have been allowed to write off more than taxpayers in other states.
“....Are you not aware these big rat states support the nation, and subsidize YOUR state?”
***********************************
So now California and other big rat states can subsidize the peasant states even more? Enjoy the suck.
“So California is now a 501-C3 organization. They really are nuts..............”
Well they are managed about like some incompetent charities I seen over the years.
Yes, peasant states is a good descriptor...as an alternative to parasite.
Most parasites take offense when called on it.
Mariner, you’ve been giving Californians a bad name recently. You should lose your bitterness, it’s not becoming!
And YOU ARE NOT A VICTIM, so man up!
“CA, NY, IL, aren’t going to vote for Trump anyway. No way. No how.”
You completely missed my point. I am referring to House seats, not the POTUS election.
And, as an example: Tom McClintock’s district has an average household income of nearly $100k and 53% of the households in his district itemized and took the SALT deductions in 2016.
There are several more Republicans in SoCal in a similar situation.
And it’s not just the “high tax blue states”. There are suburban Congressional districts throughout the US where net taxes will be going up for many high earners in fancy houses.
There will be a penalty exacted.
By all estimates, there’s 20% of people out there who will see a tax increase. I contend the vast majority of them are Republicans.
Bookmark.
Sadly these same people are in denial that the creeping crud of illegals and liberals into the ballot boxes and mindset is reaching into many states. Texas is the new #1 destination for illegals, already at two thirds the number in California and has at least a foothold in almost every other state. California is mocked for Berkeley, but almost every University town in Texas is a Berkeley and they have some home grown winners in the Castros.
North of Moscow.
Here’s the solution!
VOTE OUT THE DEMOCRATS! ELECT TAX-CUTTING CONSERVATIVES!
I like Dana Rohrabacher & I will vote for him, but I was pissed off he voted against the tax cuts.
I’ll say it again, many people complaining, thinking thei will be paying higher taxes, might be very surprised to find out the media & Nancy Pelosi are lying to them
Tho those who actually will pay higher taxes, ask them to see if their stocks went up by more than their taxes.
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