terrifying 57% tax looms for biggest earners

where are our two new york senators and why haven't they fought to at least make new york taxes deductible on the fed return. phase outs,limitations and the alternative minimum tax greatly reduce the deductibility of new york taxes at not that high an income level given the cost of living in ny.

Scare tactic as there is no way the Moderate Senate will even come close to passing trash like this....did you see the House Democrats announce this yesterday....it was all West and East Coast Liberals on the stage and you couldn't find a Centralist Democrat anywhere near the place since they actually want to get re-elected....

Here is the question....between expiry of Bush's tax cuts and this health tax, the rich will be taxed close to 50-60% yet we still will have an over $1.8 Trillion deficit (which will be revised higher in the coming days) come Oct 1st at the start of FY2010.....the question is at this point they will have exhausted the "tax the rich" possibilities so then what?

seems pretty obvious....next step is to up everyone's taxes.

LOL! you guys on this board must be loaded.

No, the next step is to tax WEALTH...look for an minimal annual tax on savings in 2010

apt_boy - have fun at your "tea party" and don't forget to tune in to Glenn Beck and listen to his "insights".

just increase capital gains across the board and leave income alone.

Can one avoid paying nyc taxes by owning real estate elsewhere and claiming to live in nyc only minority of the time?

Yes...buy a beach house within commuting distance and live there during the summer and you are good to go....

Does anyone know anyone that actually pays NYC tax? That is a rhetorical questions but i have several buddies who rent who claim they live outside NYC by using their parents address, etc...i have one friend who has used Albany, NY since he moved to the city 10 years ago.....

Amazing...

"Does anyone know anyone that actually pays NYC tax?"

Uhh...I pay it, since I live here.

if youre cool with doing fraud, lie about where you live--but beware--with ezpass, cellphone tower records, cell phone gps dat, utility bills etc, fraud will be easy to prove--and fraud means a stay in some rather unpleasant real estate--subsidized....free!!!

"No, the next step is to tax WEALTH...look for an minimal annual tax on savings in 2010"

yep to the 1st part, nope to hte 2nd. it'll take the form of a huge death tax, simply cause most people now realize they will not inherit much, so why don't ask the few lucky ones to pay the bill?

gallup poll done before the crash, so for sure it only got worse afterwards:

"The poll, which was conducted Aug. 3-5, shows that fewer than 3 in 10 Americans (28%) expect to inherit either money or some valuable possessions from a relative, while 69% don't expect to inherit anything. Inheritance expectations appear to be greater among whites: Findings from the poll show that whites (30%) are more likely than nonwhites (19%) to expect a bequest."

http://www.gallup.com/poll/28519/most-americans-dont-expect-receive-inheritance.aspx

people expecting to inherit will have to be very good in marketing to prevent those that don't expect anything from taxing like there's no tomorrow. republicans are very good at this, for example, calling it: "the Death tax". it's an effective way to get the support of those with low IQ that have nothing to win by supporting the end of this tax.

"Uhh...I pay it, since I live here."

I guess you didn't get the "rhetorical question" part....

"if youre cool with doing fraud"

How is it fraud if you have dual residency and thus are paying all the necessary property tax in both places....

"I guess you didn't get the "rhetorical question" part...."

"Does anyone know anyone that actually pays NYC tax? That is a rhetorical questions but i have several buddies who rent who claim they live outside NYC by using their parents address, etc...i have one friend who has used Albany, NY since he moved to the city 10 years ago....."

I gues you don't either.

One of the next steps will be to tax currently non-taxed retirement accounts. Boomers have had decades to squirrel away earnings, and even if they don't have enough, all those funds are going to look mighty tempting as withdrawals begin.

true evnyc, most is in traditional IRAs so baby boomers will pay taxes on them (and at a higher rate than currently). a possibility is not to allow them to convert from traditional to roth ira, so taht the gov can maximize tax revenue.

To Apt_Boy: Wealth is ALREADY being taxed, through inflation. If you've saved in dollars, their value is going down because the government is printing alot more of them. You're getting taxed 1 to 2 percent a year via inflation just by keeping your wealth in risk-free savings bonds, which are yielding next to nothing.

yep, but inflation is an indirect tax. we were talking about direct taxes. money printing and inflation (by making sure that COLAs underestimate inflation year after year) are the only 2 ways of having a chance at paying the entitlements and public/private pensions. then again, that trick means implicit default... that's the paradox.

"One of the next steps will be to tax currently non-taxed retirement accounts. Boomers have had decades to squirrel away earnings, and even if they don't have enough, all those funds are going to look mighty tempting as withdrawals begin."

Except the majoriy are not non-taxed, they are deferred tax. They get hit when they get out anyway. They get the full tax rate.

And you think they'll get away with taxing roths, after the whole reason they told people to prepay the tax was to not have to pay the taxes later.

"And you think they'll get away with taxing roths, after the whole reason they told people to prepay the tax was to not have to pay the taxes later."

i don't believe that will happen. at the most they will limit (already is very little anyway) the annual contribution, who can put $ there and whether conversions from traditional are possible. that's about it. there's much more in 401(k)s and trad iras than in roths anyway.

EEEE1 - really don't understand your comment, because you can put all of your cash in TIP's and your statement now makes no sense

waverly - I really don't know who you are, and I am glad for that

I guess everyone can be a tough guy on this virtual playground

I am an accountant in NYC, and the NYC residency law is very tough. NYC has beefed up their enforcement of this law, and they have actually become alot more computer saavy under the Bloomberg administration. They are getting information directly from Co-ops and Condos regarding residents and also information from parking garages.
The law is that you must actually spend 183 days outside of NYC per year to not be considered a resident. AND, the kicker is... even if you can prove you were physically out of NYC - if you maintain a residence that you COULD HAVE stayed in, that is counted as a day in NYC. So basically, if you have a home in NYC and you do not rent it out full time - You are a NYC resident.

great info! thanks lennyb

thanks lennyb.
So are you saying that all these big-wigs who own an apartment in nyc, and it is one of 10 residences they own, are paying NYC taxes, even if they are not here for more than 182 days?

Further to what lennyb said, there was an interesting article in the NY Law Journal the other day about people trying to avoid NYS tax by registering to vote, getting driving licenses, etc., in Florida and staying out of NYS the 183 days. It seems NYS takes a subjective approach, looking at "where home is", and has won quite a few cases where the taxpayer, on the face of it, dotted all their i's. The same probably goes for NYC.

Do you know how many rich people own properties in NYC but dont step foot here all year and your telling me when they file their Florida tax return someone is going to pop up out of the blue and say "hey buddy, you owe us 3% NYC tax"

Right.....

All for this nonsense socialized healthcare. American will become "fat" with healthcare just like we did with food because of its overabundance, subsidies and American's inability to say no to free or cheap regardless of the long-term costs.

is it possible that america could be fatter?