WHAT’S THE BUZZ, TELL ME WHAT’S A HAPPENNIN’

I trust everyone had a successful 4-day Thanksgiving holiday week-end.

* Jason Dinesen continued with his usual custom at DINESEN TAX TIMES last week – “It’s a holiday week, so I’m re-publishing popular posts from days gone by.”

He started the week off with “From the Archives: Yes, You Have to File a Tax Return Even If You’re 72 Years Old” -

“The moral?  File your tax returns, no matter how old or young you are.”

This post concerns a true “urban tax myth” that I have seen many times over the past 45 years, with various ages used.  Some people have also told me that they do not have to pay Social Security tax on their wages if over age 65, 70, or 72.

One taxpayer, who thought he did not have to pay income taxes any more when he turned 65, 70 or 72 (I forget the age in his situation), was brought to consult my mentor by his daughter after the IRS filed a lien on his personal residence due to non-payment of taxes.  

I have always said that if you have taxable income you must pay tax whether you are 1 year old or 100 years old.  And you also have to pay Social Security tax if you earn wages subject to Social Security tax whether you are 1 year old or 100 years old.

* And I echo the sentiments in Jason’s post “From the Archives: Yes, Enrolled Agents Do Need More Respect”.

The initials EA (and ATA and ATP from ACAT) are the only initials that appear after one’s name that have anything to do with competence and currency in 1040 preparation.  Contrary to the popular but erroneous “urban tax myth”, and the attempts of the AICPA, having the initials CPA after one’s name does not automatically mean that the person with these initials knows his arse from a hole in the ground when it comes to 1040s.  There are many practicing CPAs who are competent and current in 1040 preparation – but it has absolutely nothing to do with the initials CPA!

Enrolled Agents do indeed deserve more respect!

* Please, please check out my new THE LIBERTY TIMES – and please share with family, friends, co-workers, and colleagues.  BTW – a new “issue” is coming on December 1^st.

* Some reminders from the IRS – “Reminder: Employers Face New Jan. 31 W-2 Filing Deadline; Some Refunds Delayed Until Feb.15”.

* The CULTURE CHEAT SHEET lists the “Top 10 States in America With the Lowest Taxes in 2016”.

Alaska tops the list.  You know damned well that New Jersey is not represented here – it probably tops the list of states with highest taxes.

* Staying on this theme, at the beginning of November Sandra Block of KIPLINGER listed the “10 Worst States for Taxes on Your Retirement Nest Egg”.

New Jersey is #8 on the list -

“The Garden State's tax policies create a thicket of thorns for some retirees.

 

Its property taxes are the highest in the U.S.”  

Considering the recently passed NJ tax changes, which increase the “retirement income exclusion” and eventually do away with the Estate Tax, I expect NJ may not be on future “10 Worst” lists, although the property tax situation has not changed.

I was surprised to learn that Vermont topped the list –

“The Green Mountain State doesn't coddle retirees. It has a steep top income tax rate, and most retirement income is taxed. Vermont treats Social Security benefits the same way the federal government does, which means as much as 85% of your benefits could be taxed.”

* Kay Bell, the yellow rose of taxes, expands on my post “A Year-End Tax Tip – Be Charitable” with “Careful documentation, including donation selfies, could convince the IRS of your charity deduction claim” at DON’T MESS WITH TAXES -

“A good way to do that is with digital documentation. Take a picture of the items you donate, clearly showing that they truly were in very good shape, worthy of the slightly greater amounts you've assigned them.

Even better, make them donation selfies.

Include yourself in the photos to prove that the topnotch items were yours, not just photos of well-kept articles that you downloaded from someone else's social media stream.”

THE LAST WORD –

Is Trump a bigot?

As an extreme narcissist Trump thinks that every single person – man, woman, white, black, brown, red, yellow, straight, or gay - is below him. 

Also as an extreme narcissist, if a “non-white” or “non-traditional” man or woman, or an “affirmative” action, will generate praise for him and feed his ego he will use that person or action to do so.

The true danger from the Trump Administration will be the appointed “ring (and other things) kissers” who have their own actual bigoted agendas.  Trump is certainly not “ideological” – he has absolutely no political philosophy, beliefs, or convictions other than “Trump is great and Trump is good”.  It is his appointments who are truly “ideological”, with personal bigoted, excessively religious right, xenophobic, chauvinistic, and hate-filled philosophies, beliefs, and agendas, that will cause the real damage to America, Americans, and the world.

Of course Trump’s inability to deal with criticism and challenge like a mature adult, another symptom of his excessive narcissism, will also do real damage to America, Americans, and the world.

This bears constant repeating. Please share and tweet -

Trump was a despicable human being and a dangerous narcissist before being elected. Being elected President does not automatically endow him with morals, ethics, or integrity where none existed before.

He has not changed, and we should not change our disgust, disrespect, denouncement, and opposition to him just because he was “elected” President.

TTFN

 

 It’s that time of the year again –

time for year-end tax planning!

 

Check out my 2016 YEAR-END TAX PLANNING GUIDE

 

Only $3.00 sent as pdf email attachment

or $4.00 in print form send via postal mail.

 

Click here for more information.