Monday, June 6, 2016

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

* Have you seen the premiere issue of my new FREE monthly tax planning and preparation newsletter ROBERT D FLACH’S THE 1040 LETTER yet?  Why not?

* Professor Jim Maule’s bottom line advice to those going into business in the post “Choose The Entity Carefully BecausevTax Consequences Matter” is very, very important, and deserves repeating in full time and again (highlight is mine) -

When starting a business, selecting the form in which the enterprise is conducted is an essential consideration. There are advantages and disadvantages to each of the choices. Determining which form makes the most sense for a particular taxpayer depends on the particular characteristics of that taxpayer’s characteristics. It requires examination of the particular business, the market in which it operates, the long-term and short-term probability of success, the possibility of becoming a target for acquisition by another party, the tax situation of the taxpayer, the psychological and emotional constraints on the taxpayer’s business presented by third parties, the prospects of the taxpayer’s premature death, and dozens of other factors. Making the wrong decision, which is much easier to identify through hindsight, can have significant adverse consequences. It is worthwhile for the taxpayer to consult with a professional {a TAX professional first, a lawyer second – rdf}, to avoid relying on internet advice and sound bite bits of so-called wisdom, and to remain skeptical of decisions made by robots or other forms of artificial intelligence that disregard the factors not easily reduced to bits and bytes.”

* Jean Murray explains “How do I Keep Personal and Business Funds Separate?” – something that you must do.

* At FORBES.COM Niall McCarthy provides an “infographic” on "The U.S. States With The Highest Tax Burdens In 2016”.

Niall explains –

The tax burden measures the percentage of a person’s income which goes towards state and local tax, different to the tax rate, which depends heavily on income and personal circumstances.”

Somehow I thought NJ would be higher on the list – although #7 is bad enough.  I expect the low gas tax, if it is a factor in the determination, is what puts NJ lower on the list than anticipated.  

* Hey – do me a favor and download the free sample issue of my other new monthly newsletter BOBSERVATIONS and let me know what you think.

* Kelly Phillips Erb, FORBES.COM’s TaxGirl, reminds us that “Schemes Targeting Elderly Not Limited To Tax-Related Scams”.

* Something to look forward to this summer – according to the CCH week-day daily email newsletter “House Lawmaker’s Tax Reform Blueprint to Be Unveiled by End of June, Staffer Confirms”.

The item quotes Ways and Means Committee Chairman Kevin Brady listing of the principles that will guide and shape the impending tax reform blueprint.  I like the first 3 -

·         The tax code must be simpler, fairer, and flatter;

·         Loopholes must be closed and special interest provisions eliminated for lower rates for everyone;

·         Businesses of all size must have a fair and competitive tax rate

I will report on the “blueprint” at TWTP either in a BUZZ installment or a separate post when it is announced.

* Let’s end with one of the reasons I moved from metropolitan NJ to rural PA.  NJ.COM answers the question “Which N.J. towns pay the highest school tax bills?”.

NJ is consistently somewhere in the top of the list of highest real estate taxes.  One reason has always been (and I doubt this problem has been fixed) that upon retirement teachers, and other municipal employees, are paid, at I believe the current high rate, for all unused sick days over their entire career.  And it seems that highly paid NJ Superintendents of School are never sick – they are just “working at home”.

THE FINAL WORD

The surprising success of dangerous buffoon Donald Trump, a reality tv cartoon clown, in the Presidential campaign is a result of a genuine feeling of disgust with current “traditional” politicians by the public – a completely understandable response to the inaction, incompetence, and inability to work together for the good of the country by the idiots in Congress that has been going on for the past few decades.

The disenchanted have mistaken Trump’s often nonsensical spewings, which are in reality nothing more than pandering for publicity and praise, as being legitimate.  And there has really been nobody else who has attempted to voice their disenchantment.

But Trump doesn’t “speak his mind” – he says what he thinks his audience wants to hear, regardless of whether what he says is actually true or he actually believes it, to get the publicity and praise he unnaturally craves. 

Just about everything Tronald Dump says today contradicts what he has said, and done, in past years when he wasn’t running for office - not that what he said in past years was any more genuine at the time. 

But the result of choosing of Trump as their “champion” will be far, far worse than the current political situation.  Four more years of “the same” is far, far better to any years with the dangerous “Dumpster” in the White House.

Here is an important article for anyone who is thinking about supporting Trump should read – “The Seven Broken Guardrails of Democracy”.

An appropriate and spot on quote of quotes from the article –

President Nixon said in his 1969 eulogy of former President Eisenhower, ‘He exemplified what millions of parents hoped that their sons would be: strong and courageous and honest and compassionate.  And with his own great qualities of heart, he personified the best in America.’ Donald Trump, by contrast, former Republican presidential nominee Mitt Romney lamented, exemplifies what millions of parents would fear in their sons: ‘the bullying, the greed, the showing off, the misogyny, the absurd third-grade theatrics.’”


Sworn testimony from a former Trump U. manager said he believed it was a ‘fraudulent scheme’ that ‘preyed upon the elderly and uneducated to separate them from their money’."

The item reminds us that the dangerous buffoon was “a 93 percent owner, and the enterprise was designed around him, his brand and his business acumen”.

The reasons why Trump must NEVER be President are infinite!

TTFN
 
 
 
 
 

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