Mary the Tax

You might not agree with Matt on the popularity of Stranger Things, but you can clearly see our corporate tax system works in favor of huge, profitable corporations like Netflix.

Proposed IRS funding will close the “tax gap” of approximately $381 billion per year between what billionaires pay in taxes and what they should be paying, if they paid their fair share. Closing that gap could allow us to lower taxes on working Americans and fund important projects. Hiring extra customer service agents will also result in the agency being able to be more responsive to people who have tax issues and questions.

Not much but it’s somesomethin’

For the first time in 20 years, teachers can deduct more for school supplies Eligible educators include K-12 teachers, principals, teachers' aides or counselors who spend more than 900 hours at the school during the academic year.

Public Service Announcement: I am making this post to educate the everyday taxpayer about what the media is reporting 'IRS is hiring 87,000 people and getting 79.6 billion' and why it is desperately needed. DISCLAIMER: I am not a fan of BIG government, just effective government, especially when it affects the everyday taxpayer. First, this has not passed and is not a done deal yet and the numbers above are over a 10 year period, not tomorrow. Second, the infrastructure (computer systems) that the IRS is currently using is over 40 years old. Yes, 40! Third, IRS has had the budgeting cut so much over the past 15 years that they are operating on a 2008 budget. How much have your personal costs gone up in the past 14 years? In addition, they have been tasked with stimulus dollars, Obama's healthcare act and other additional duties, with no additional funding. Fourth, due to budget cuts, IRS is currently operating with a 28% shortage of employees. In addition, over 31% of the current workforce is eligible for retirement in the next 5 years. This means that TAXPAYERS are being HURT!! One example is some refunds are 'stuck' (I have a client whose $10k refund is still pending and the return was electronically filed in March). Taxpayers are getting past due letters for payment of taxes when in actuality the taxes are paid (check has cleared the bank) but IRS hasn't matched the payment to the return yet). This is just a couple of examples. Fifth, fiscal year 2021, IRS answered 11%, no that is not a typo, of calls that were made to them. Not to mention there are still 10.2 MILLION returns awaiting processing. All of these reasons AND MORE, are why IRS needs the funding. NOT ALL OF THE 87,000 HIRES WILL BE AGENTS LOOKING TO BUST A SMALL BUSINESS OWNER as the media wants you to believe. Please don't make this a political debate. Just trying to give common folks some information. The picture is a cafeteria in a federal IRS building with returns awaiting processing. This is my world. Hope this was enlightening for you.

Are Your Business-Related Expenses Tax-Deductible? Not Always From single-member limited liability companies to multinational enterprises, taxpayers often believe that simply paying an expense out of a business makes it deductible for federal income tax expenses. But despite a number of videos making the round on TikTok, that’s not the case. Here’s a look ...

taxtime Third rock from the sun, Dick tries to do taxes