Posts Tagged ‘taxes’

State

Opinion: The State Is Sick And This Law Is Not Making It Better

blogs.courant.com

The Senate voted 18 to 17 Wednesday to pass the nation’s first state mandate on private employers to offer paid sick days. The measure has Gov. Dannel Malloys support as it goes to the House where it is expected to pass. This act by the General Assembly and the Governor is just another hostile move towards small businesses in Connecticut.

The law requires affected companies to give one hour of sick time for every 40 hours of work, up to a maximum of five days a year. It is effective Jan. 1.  It applies to dozens of specific types of service workers at companies with more than 50 employees.  Exempt are manufacturers, municipalities, and YMCAs.

Senate Minority Leader John P. McKinney, R-Fairfield, noted that benefit is required of a large restaurant, but not the school cafeteria where his children eat daily.

“It’s OK if our kids are served food from someone who is sick, but it’s not OK if someone goes into a restaurant?” McKinney said. ctmirror

In a perfect world all the arguments for this bill would make sense, but as anyone in the workplace that has sick days already know, it’s a free day off with pay. How many of us have used that privileged day for things other than illness? So under the guise of letting mommy stay home to care for her child or daddy to stay home as not to share his germs with fellow workers, the small business owner is being mandated to pay them whether that is the reason or not-it’s theirs to use.

Once again the fine print in these bills are never explained either. Why are manufacturers exempt? Why? What makes them different than the small business owner when it come to the argument of paying employees to stay home when they are sick? Ditto municipalities. Do theses employees have non contagious germs or something? This is deja vu where the healthcare reform was passed and mandated for the public but wasn’t good enough for Congress to be part of.

The course the State of Connecticut is on is one of ruin. Higher taxes which will suppress if not depress growth, a state Earned Income Credit (EIC), which on the federal level is the most abused tax policy in place and can be expected to become abused here as well,  and the counterproductive estate taxes for small business owners. In addition the Governor has implemented policies that have already been proven in other states and at the federal level has having been failures such as the Amazon Tax (virtually unenforceable as even acknowledged by Department of Revenue Services Commissioner Kevin Sullivan), and the luxury tax tried at the federal level back in 1991, which had such a devastating affect on those industries that it was eventually repealed.

It’s clear in my mind that the financial course the state is on is a recipe for disaster, and should come as no surprise when our neighboring states begin to see signs of recovery while we wallow in the stranglulation of regulations and higher taxes.

General

IRS=It Really Sucks

 

 

A computer glitch led the to the IRS sending out 200,000 CR-14 balance due notices to taxpayers who filed elctronically telling them to send a check by April 15th. From Forbes:

 

Here’s the deal. It’s typical for e-filers with a balance due to authorize the IRS to draw the money from their checking account at a later date. So basically you have a taxpayer who has already programmed money to come out of his account to go to the IRS automatically on say April 18 getting a letter telling him to pay the same amount by check by April 15. Some of these taxpayers are probably going to end up mistakenly sending in the check. The automatic draw and the paper check could hit the IRS in close proximity, even on the same day. more

General

Money Dept: Tax Tips To Help You Lower The Tax Bite On Your Tax Return

It’s the middle of tax season, and while many have already filed their 2010 tax returns, there are millions who have yet to face the music.  One of the benefits for taxpayers is the Residential Energy Credit. This is a credit allowed for purchases of energy efficient items for your home, but one must be careful as to what items qualify for the credit. A lot of people are under the assumption that anything that has ENERGY STAR on it qualifies for the credit. A useful guide to what products qualify is found at the Energy Star website.  For some other tax tips read from The Wall Street Journal

As nearly everyone who has ever filed a 1040 form knows by now, Washington ended the year by sending a bunch of goodies to America’s taxpayers: a two-year extension of lower tax rates, a one-year break on Social Security taxes and yet another short-term “fix” to the dreaded alternative minimum tax.

But don’t let that lull you into complacency. Tax experts are already warning read more

State

Opinion: Gov. Malloy, Tear Down This Wall (Of Taxes)

Apparently Governor Malloy doesn’t remember that day in October 1991 when 40,000 protesters converged on the state Capitol to loudly, and sometimes profanely voice their demand to repeal the State Income Tax enacted by then Gov. Lowell P Weicker Jr. The fervor of anger was so high that day that Weicker had to be extracted from the angry crowd and ushered inside.  The crowd represented the middle class of Connecticut and they left no doubt that they were sick and tired of being taxed to death. Weicker trying to close a nearly $1 billion deficit said instituting an income tax was the only way to overcome the deficit.

Flashforward to today. The income tax has been in play for 20 years and here we are with a $3.5 billion deficit.  Last Wednesday Malloy unveiled his proposed budget and from listening to everyone I’ve talked to, he’s the Weicker of today.

Now to be fair this hardly all lands on Malloy, but the it’s quite evident that the present $3.5 deficit was brought about on the spending end of things, not the inability to generate funds. The income derived from the past 20 years of the income tax, should have been more than adequate to control and balance a budget. So this is why I refuse to accept the huge tax increases Governor Malloy is proposing.

Governors like Christie of New Jersey and Walker of Wisconsin are taking the approach of reducing the budget through spending cuts and givebacks. It is not right for Malloy to ask the rest of us to pay more for the mispending habits of the previous Governors and General Assemblies, and without sunset provisions on the tax increases, then he is not serious about reducing spending.

National

Money:Ouch! Congress Fiddles While Taxpayers Burn

1040formhelp.com

Congress has yet to act on whether or not the Bush tax cuts will be allowed to expire in January 2011. They have also not addressed the adjustment of the withholding tax tables if they the tax cuts do expire. read more


Powered by WordPress | Theme by Black Cat Studio