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Old 03-12-2014, 06:59 PM   #16
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Income Tax System


Quote:
Originally Posted by TheEplumber
Sounds similar to a 401, roth,etc.-- a lot of people don't choose these plans. I don't know they would reinvest either.
That's not what it is at all.

If you're the owner of a company and you're paying yourself 200,000 a year in salary and you're company is going to make an extra 1% profit, you then have to decide what to do with it. If tax rates are progressively higher (say 60% on anything OVER $400,000), it discourages paying yourself more individual pay (through higher taxation) and makes it more attractive to put that money into your company (higher wages, new equipment, r&d).

The hard part is setting where that 60% rate would kick in. 400,000 is just a number I threw out there and would go a lot farther in Utah than NYC.

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Old 03-12-2014, 07:18 PM   #17
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Income Tax System


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Originally Posted by strategery View Post
That's not what it is at all.

If you're the owner of a company and you're paying yourself 200,000 a year in salary and you're company is going to make an extra 1% profit, you then have to decide what to do with it. If tax rates are progressively higher (say 60% on anything OVER $400,000), it discourages paying yourself more individual pay (through higher taxation) and makes it more attractive to put that money into your company (higher wages, new equipment, r&d).

The hard part is setting where that 60% rate would kick in. 400,000 is just a number I threw out there and would go a lot farther in Utah than NYC.
owner of a company could put that 1% in their solo 401k. if they were under the max contribution limit of course.

and you could get yourself a nice company vehicle. or you could do some donations.

its not always either this or that.

but that's why you would have an accountant.
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Old 03-12-2014, 07:24 PM   #18
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Current max tax rate is 39.6%, on taxable income over $400,000.00, not gross income.
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Old 03-12-2014, 07:35 PM   #19
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Income Tax System


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Originally Posted by rusty baker View Post
In the US, you can make $20,000 a year and if you have no deductions, and between soc sec and income tax, it can cost 39%.
Rusty? What are you doing? Not even close. For once, can you post something somewhat accurate?

The tax rate is 15% for an income of $8920 to $36,250
SSN tax is 7.65%

By comparison....Canada...%15 on $15,528–$42,707

http://en.wikipedia.org/wiki/Tax_bracket
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Old 03-12-2014, 09:24 PM   #20
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Income Tax System


Quote:
Originally Posted by strategery View Post
That's not what it is at all.

If you're the owner of a company and you're paying yourself 200,000 a year in salary and you're company is going to make an extra 1% profit, you then have to decide what to do with it. If tax rates are progressively higher (say 60% on anything OVER $400,000), it discourages paying yourself more individual pay (through higher taxation) and makes it more attractive to put that money into your company (higher wages, new equipment, r&d).

The hard part is setting where that 60% rate would kick in. 400,000 is just a number I threw out there and would go a lot farther in Utah than NYC.
Where does congress draw this authority?

Article 1 section 8 says nothing about someone making "too" much. "Making too much" is all subjective and part of the BS "get evenism" going on in this country.

The biggest reason most people have this tax discussion, is because we see what we get for our money... 27 million for Moroccan pottery classes, 505,000 for specialty shampoo, 10 million for a Seasme Street remake in Pakistan, 141k to study pig sh!t, 50 billion for improper medicaid payments, on and on...

Taxation is to fund the essentials of a governement which you can find in article 1 section 8. All else, leave to the states.
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Old 03-12-2014, 09:33 PM   #21
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Income Tax System


Quote:
Originally Posted by rusty baker View Post
In the US, you can make $20,000 a year and if you have no deductions, and between soc sec and income tax, it can cost 39%.
I left out "if you are self-employed".
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Old 03-12-2014, 09:36 PM   #22
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Quote:
Originally Posted by Trucon01
Where does congress draw this authority? Article 1 section 8 says nothing about someone making "too" much. "Making too much" is all subjective and part of the BS "get evenism" going on in this country. The biggest reason most people have this tax discussion, is because we see what we get for our money... 27 million for Moroccan pottery classes, 505,000 for specialty shampoo, 10 million for a Seasme Street remake in Pakistan, 141k to study pig sh!t, 50 billion for improper medicaid payments, on and on... Taxation is to fund the essentials of a governement which you can find in article 1 section 8. All else, leave to the states.
16th amendment.
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Old 03-12-2014, 09:38 PM   #23
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There has been a lot more than 140,000 spent to study pig ****, and rightfully so.
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Old 03-13-2014, 12:20 AM   #24
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Originally Posted by strategery View Post
16th amendment.
Correct, the 16th says congress shall collect taxes and it doesn't have to distribute to the states. My question is, where does governement draw the authority to punish me for taking a higher salary that I've earned because they want to be benevolent with resources that are not theirs?

Government isn't very good with the powers granted to them, let alone stepping outside their authority and meddling with other areas.
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Old 03-15-2014, 02:21 PM   #25
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Quote:
Originally Posted by Trucon01 View Post
Where does congress draw this authority?

Article 1 section 8 says nothing about someone making "too" much. "Making too much" is all subjective and part of the BS "get evenism" going on in this country.

The biggest reason most people have this tax discussion, is because we see what we get for our money... 27 million for Moroccan pottery classes, 505,000 for specialty shampoo, 10 million for a Seasme Street remake in Pakistan, 141k to study pig sh!t, 50 billion for improper medicaid payments, on and on...

Taxation is to fund the essentials of a governement which you can find in article 1 section 8. All else, leave to the states.
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Old 03-15-2014, 10:27 PM   #26
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Quote:
Originally Posted by Trucon01 View Post
Correct, the 16th says congress shall collect taxes and it doesn't have to distribute to the states. My question is, where does governement draw the authority to punish me for taking a higher salary that I've earned because they want to be benevolent with resources that are not theirs?
You just answered your own question.
And taxes aren't "punishment." Do you expect to see a circus without paying for a ticket? When you do pay for a ticket, do you expect to enjoy every act? Your success as an employer or employee in the United States didn't happen through your will and effort alone. We all pay towards the common cause like it or not- the roads don't pave themselves.
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Government isn't very good with the powers granted to them, let alone stepping outside their authority and meddling with other areas.
Nobody is ever 100% satisfied with any government, ever. Your dissatisfaction is not a valid argument against taxation. For all the self-professed to the vaguely alluding toward "Libertarian" ideals, mostly amongst the wealthy and business owners I invite you all to Somolia where there's no meddlesome government, lawyers or taxation and see how well your nirvana works for you there. Oh yea, now you're OK with a little taxation and a little court system and a little regulation, and some usable infrastructure as long as it doesn't cost YOU, or negatively impact YOU, just the rest of the society you'll be preying on and profiting from...
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Old 03-15-2014, 11:36 PM   #27
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Income Tax System


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Originally Posted by Windows on Wash View Post
Do you believe in a progressive income tax system and do you think the wealthy should pay a higher percentage than they already do (approx 39%).

There should be no income tax whatsoever.
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Old 03-16-2014, 12:09 AM   #28
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There should be no income tax whatsoever.
What would you use to support everything?
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Old 03-16-2014, 12:44 AM   #29
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Quote:
Originally Posted by rusty baker View Post
What would you use to support everything?
Nowhere in the United States Constitution does it say That the United States Government cannot produce a product that can be sold for a price to support it's self.

The income tax is simply a way that progressives such as Woodrow Wilson who created the income tax
in 1913, and
Franklin Delano Roosevelt who made it a payroll deduction in 1943 to keep track of and control the income of the ("peasants") those of us who we're not born into wealth and work for a wage to prevent us from building wealth.
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Old 03-16-2014, 12:54 AM   #30
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Quote:
Originally Posted by rusty baker View Post
What would you use to support everything?
Nowhere in the United States Constitution does it say That the United States Government cannot produce a product that can be sold for a price to support it's self.

The income tax is simply a way that progressives such as Woodrow Wilson who created the income tax, and Franklin Delano Roosevelt who made it a payroll deduction in 1943 could keep track of and control the income of the ("peasants") those of us who we're not born into wealth and work for a wage to prevent us from building wealth.


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On the wage front the directions in the Order are equally clear and specific.
There are to be no further increases in wage rates or salary scales beyond the Little Steel formula, except where clearly necessary to correct substandards of living. Reclassifications and promotions must not be permitted to affect the general level of production costs or to justify price increases or to forestall price reductions.
The Order also makes clear the authority of the Chairman of the War Manpower Commission to forbid the employment by an employer of any new employee except in .accordance with regulations of the Chairman, the purpose being to prevent such employment at a higher wage or salary than that received by the employee in his last employment unless the change of employment will aid in the prosecution of the war.
It further calls the attention of all agencies of the Federal Government and of State and municipal authorities concerned with the rates of common carriers and public utilities to the stabilization program in the hope that rate increases will be disapproved and rate reductions ordered so far as may be consistent with Federal and State laws.
For some time it has been apparent that this action must be taken because of the continued pressure for increased wages and increased prices. I have heretofore refrained from acting because of the contention of the supporters of the Bankhead bill that under the Act of October 2, 1942, I had no authority to place ceiling prices on certain commodities at existing levels. My views on that question were set forth in my message of April 2, vetoing the Bankhead bill.http://www.presidency.ucsb.edu/ws/?pid=16381

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