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

 

* Rarely in real life are there simple answers to serious problems.  But the TAX FOUNDATION has come up with a very simple answer to a very serious government problem - “To Eliminate Income Tax Fraud, Simplify the Tax Code”.

The bottom line -

“The purpose of taxes should be to fund the necessary functions of government, not to incentivize behavior or pay out social assistance. A simpler tax code that focuses on this core purpose will reduce fraud, in addition to lowering compliance costs and removing economic inefficiencies.”

* MISSOURI TAXGUY Bruce tells you “Why You Need a Will”.

And, of course, while there check out his Store.

* Kimberly Langford explains “How to Undo a Roth Conversion” in her ASK KIM blog at Kiplinger.com.

* Dan Meyer of TICK MARKS (nothing to do with lyme disease) reports that “The Annual Tax Extenders Legislation Addressed by the Senate”.

Dan echoes the frustrations of every tax preparer –

“The annual patch seems to be an annual rite of passage for the U.S. Congress, but after about five years of one-year fixes, one wonders when the House and Senate will ever get their act together and make long-term decisions on these provisions.”

* Kay Bell reports “You Have a Variety of Ways to Donate to Hurricane Isaac Relief” at DON’T MESS WITH TAXES.

* Trish McIntire bitches about a pet peeve in “Taxing Social Security” at OUR TAXING TIMES.

I, too, have a problem with the way Social Security benefits are taxed.  Unfortunately it is possible that for each additional $1.00 of taxable income a Social Security recipient earns he/she is taxed on $1.85.  And tax-exempt interest can increase taxable Social Security.

If we are going to tax Social Security benefits it should be done in the same way as we tax any other pension – allocating employee contributions, which are “after-tax”, to each monthly distribution under the “Simplified General Rule”.    

* TAXGIRL Kelly Phillips Erb has been running guest posts this past week.  One makes some good sense – “Guest Post: Tax Cut Extension à la Robin Hood?” by Erika Thacker.

THE FINAL WORD

Good news!  One of the most steaming piles of excrement of the misnamed “reality tv” genre – THE JERSEY SHORE - has been cancelled.  The brain-dead idiots whose bad behavior is the basis of the show apparently demanded too much money.

The show’s main slut, Spookie, just gave birth to a baby boy.  I truly pity the child.  Unfortunately her Jersey City-based spin-off show was renewed. 

TTFN