IRS delays $600 reporting requirement

[markinnaples]

I've been working with governmental regulatory compliance for about 30 years, and trust me, every single rule that is passed by the govt has been analyzed closely. I know they say that the bills like the "Inflation Reduction Act" are massive, and congress isn't given proper time to review and understand them, but I guarantee that this bill has been developed over some years and the people who wrote it absolutely understand what's in it, at least the section they were responsible for. What they don't understand, what no one understands, are the unintended consequences (sometimes even if they seem intended), and these are usually the things that trip everyone up. I'll leave any politics out of this post, but the truth is, government in general is a self-feeding entity that wants more and more money, and more and more control, and will continue to grow if not checked and limited. Happy New Year.

[69 Post Sedan]

Originally Posted by RamAirBirds

Also BIG Corporations as mentioned before all have the best Lawyers and Accountants and all play within the Tax Code.

And right here IS the problem that needs to be resolved……

For example, we know of companies/organizations that pay little to no taxes due to misleading/false information on their taxes. They exaggerate on their assets to get loans yet lie about the value of assets to pay less in taxes. Our government needs to put a stop to this!!! Or make them held accountable! Corporate welfare is killing this country, not some measly $600 transaction.

Hopefully some of the new hires will be working on this never ending battle. I’m staying optimistic……..

Kurt

[markinnaples]

Most large corporations aren't able to lie on their taxes due to the high level of audits and examinations by outside auditors, the SEC, and whoever their federal regulators are. I think if they're paying low or no taxes, it's because they did whatever they had to within the confines of the tax laws, not cheating or lying. And when I say large, I mean large enough to be listed on one of the stock exchanges. This especially applies to large banks who actually usually have an examiner on-site full time, and honestly, most of the time they are under review by one of the above. Imagine that, 50-52 weeks of being under audit or review, but that's how it works.

[RamAirBirds]

markinnaples is 100% accurate in these last comments. Everything is the typical "Talking Points" that get regurgitated over and over again until the point that people begin to believe and regurgitate them themselves. Classic.
Remember a great Mark Twain Quote...from well over 100 years ago.
"It is easier to fool a man than to convince him that he has been fooled"
CNN does a great job with the former don't they? Our hard part is to do the later. That seems to be more of an uphill battle everyday that passes.

[RamAirBirds]

Sorry, Meant to say "Everything ELSE is the typical talking points" Just to clarify. markinnaples comments ARE NOT talking points but the truth.

[TMagda]

Originally Posted by 69 Post Sedan

And right here IS the problem that needs to be resolved……

For example, we know of companies/organizations that pay little to no taxes due to misleading/false information on their taxes. They exaggerate on their assets to get loans yet lie about the value of assets to pay less in taxes. Our government needs to put a stop to this!!! Or make them held accountable! Corporate welfare is killing this country, not some measly $600 transaction.

Kurt

Kurt, you cannot make a general statement like this and be taken seriously. If you have a specific example, fine, we can discuss. Spouting out unsupported talking points only dilutes the argument. For clarity, do you take any deductions on your tax return? Or do you pass on them to pay extra taxes? Corporations are under perpetual audit by not only financial auditors who validate the accuracy of the books and records, but also by the states, the IRS, governing bodies in other countries, etc... There are federal taxes, state taxes, property taxes, payroll taxes,... the list goes on. As I said above, the current corporate tax rules are incomprehensible to 99.9% of the general population, and 100% incomprehensible to the current media. Also, the $600 reporting threshold does not alter the tax consequences of those transactions, they were always required to be included in the determination of income, it just makes them easier to audit. Most tax plans can create a deferral, where taxes are due in a later period, but not avoidance.

[69 Post Sedan]

"55 Corporations Paid $0 in Federal Taxes on 2020 Profits"

https://itep.org/55-profitable-corpo...corporate-tax/

Now, I know that they do pay some taxes one way or another but there are too many loopholes that need to be shored up to stop the shenanigans……legal or not!

Kurt

[TMagda]

Originally Posted by 69 Post Sedan

"55 Corporations Paid $0 in Federal Taxes on 2020 Profits"

https://itep.org/55-profitable-corpo...corporate-tax/

Now, I know that they do pay some taxes one way or another but there are too many loopholes that need to be shored up to stop the shenanigans……legal or not!

Kurt

Loophole and shenanigans are more commonly referred to as tax law and tax planning if you do not work in the media. Deferral and avoidance are not the same thing.

[69 Post Sedan]

Without going down the political rabbit hole…..I’ll use one very good example of tax fraud.

Just recently, there was an organization that was found guilty of 17 counts of tax fraud……including falsifying business records. This company has paid little to no taxes for multiple years using this illegal scheme.

Again, I’m not trying to get in a political debate, but making sure I give a factual example of big money avoiding paying taxes…….illegally.

Kurt

[TMagda]

Here is a good start. https://www.foxnews.com/politics/hou...carthy-speaker