Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
I work as a risk manager and claims adjuster for doctors. Our little company is owned by a health insurance company that brings in about $1.5 billion per year. When I have an employee embezzlement case I try and get out and meet with the employee when they are informed they have been found out. By couching my questions the right way I usually get them to talk about the whole thing and in so doing I try to draw them out as to how they spent the money as it opens a lot of avenues for subrogation/restitution.
Recently I was so performing this little task and when the interview was completed I asked the now ex employee what she planned on doing. She stated she was going to sell everything she owned and move to Thailand (or some country) to live with a friend who was also a fugitive from the law. Her friend worked as a ‘gopher’ for a production company owned by Brad Pitt. I wondered aloud why he would have a company there and was glibly told it was to avoid paying US taxes.
That last remarked led to have a discussion with our parent companies’ CFO about such tax dodges. He went on for about 20 minutes that virtually every entertainer, athlete and business big wig making serious money has legal means to avoid nearly all, if not all, US taxes on income. Just about the only people who can’t fully do this are pro athletes with their initial paychecks, but after that (if they make enough in endorsements…) they do the same thing. It was his educated opinion that of the people who have a gross income of $5 million or more annually, probably 80% hide the vast majority of their money (if not all) in areas that are legally non taxable.
That leads me to think about if we had a 7% flat tax to every citizen with no write-offs how much more would these people bring their money back in to be taxed. Senator Wyden (D-OR) opines that a 7% flat tax would bring in much more revenue than our current tax collection laws.
Well, I think our current tax system is pathetic; it's overly complicated and the codes are full of fluff. I HATE having to file all that garbage every year. If I must be taxed, tax me and forget it. I'm all for a flat tax. It would save so much administrative/government waste (like the IRS, for instance).
Well, I think our current tax system is pathetic; it's overly complicated and the codes are full of fluff. I HATE having to file all that garbage every year. If I must be taxed, tax me and forget it. I'm all for a flat tax. It would save so much administrative/government waste (like the IRS, for instance).
Not only that, but the IRS agents would be free to go after business tax cheaters more... and collect more delinquint taxes.
What I wonder is this. Since the IRS already knows all my income, and they compute my tax to see if I did it right, why do I have to file. Why don't they just compute my tax and send me a statement, and if I disagree with their figures, I can offer my own. Like the bank does. I don't have to file a statement every month with the bank to tell them how much I deposited and what checks I wrote. They just do it all themselves, and tell me what they think my balance is. I can contest that if I think it is wrong.
In general, I'm fairly in agreement with US taxes and the way they are assessed. They are much too complicated, but ironing out a lot of the detailed calculations would take care of that. Basicly, the government needs so much revenue to pay their bills, and they get it from us one way or another, and I guess this way is as good as any.
How can they know all your income? My wife makes about 1/3 of her income in cash payments for tutoring and piano lessons. Also, how can they know your write-offs?
The current system is a real mess. I've had more than 1 battle with the IRS.
What I wonder is this. Since the IRS already knows all my income, and they compute my tax to see if I did it right, why do I have to file. Why don't they just compute my tax and send me a statement, and if I disagree with their figures, I can offer my own. Like the bank does. I don't have to file a statement every month with the bank to tell them how much I deposited and what checks I wrote. They just do it all themselves, and tell me what they think my balance is. I can contest that if I think it is wrong.
Because they only have your gross income; they don't know your deductions from income. The purpose of you filing is to reduce the amount you would otherwise owe.
Because they only have your gross income; they don't know your deductions from income. The purpose of you filing is to reduce the amount you would otherwise owe.
Im talking about people whose entire income comes from reported sources and whose number of dependents has already been reported for withholding purposes. Which is probably a majority of people.
There is no justifiable reason for most deductions. If you earned the money you pay the tax, no matter what you did with it after you earned it. There could be a very simple process for assessing and collecting the tax, with a supplemental form for requesting a rebate for any eligible deductions, which should be very few in number.
I work as a risk manager and claims adjuster for doctors. Our little company is owned by a health insurance company that brings in about $1.5 billion per year. When I have an employee embezzlement case I try and get out and meet with the employee when they are informed they have been found out. By couching my questions the right way I usually get them to talk about the whole thing and in so doing I try to draw them out as to how they spent the money as it opens a lot of avenues for subrogation/restitution.
Recently I was so performing this little task and when the interview was completed I asked the now ex employee what she planned on doing. She stated she was going to sell everything she owned and move to Thailand (or some country) to live with a friend who was also a fugitive from the law. Her friend worked as a ‘gopher’ for a production company owned by Brad Pitt. I wondered aloud why he would have a company there and was glibly told it was to avoid paying US taxes.
That last remarked led to have a discussion with our parent companies’ CFO about such tax dodges. He went on for about 20 minutes that virtually every entertainer, athlete and business big wig making serious money has legal means to avoid nearly all, if not all, US taxes on income. Just about the only people who can’t fully do this are pro athletes with their initial paychecks, but after that (if they make enough in endorsements…) they do the same thing. It was his educated opinion that of the people who have a gross income of $5 million or more annually, probably 80% hide the vast majority of their money (if not all) in areas that are legally non taxable.
That leads me to think about if we had a 7% flat tax to every citizen with no write-offs how much more would these people bring their money back in to be taxed. Senator Wyden (D-OR) opines that a 7% flat tax would bring in much more revenue than our current tax collection laws.
You're right. But then, you'll see these very same celebrities and entertainers get in front of the news cameras and complain about how the government should be doing more to help the poor, the homeless, the cause du jour, you name it. Of course, that's easy for you to say, because you have a battalion of tax accountants working overtime to keep your money out of the clutches of the Federal government.
Meanwhile, the average business owner who sweats his balls off to realize a 6-7% profit every year has to turn around and pay 1/3rd of that back to the government, whether he actually ever sees that money or not.
I just pretty much hate the celebrity culture in this country. They are a bunch of worthless hypocrites.
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.
Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
