Big brother targeting the little guy...again

[Smokinone]

I just don't understand the concept of taxing whats already been taxed. And this new Biden tax is at such a low threshold. I know it's income based, but still. The little guy can't get a break.
They just can't tax enough to keep up with their over the top spending and corruption.

‘New Years’ Nightmare’: IRS Targets Gig Workers, Sends 30 Million New Tax Forms

The agency is charging new taxes on Americans who make a side income of more than $600 from activities like online selling or freelance work.

www.theepochtimes.com

 

[Shadetree Mechanic]

They will be monitoring bank accounts to make sure the taxes are paid. People are going to start putting it under the mattress again......

 

[Smokinone]

I guess when you've never worked for a living and live off the fat of others, this is the crap you come up with.

 

[Shadetree Mechanic]

If you have a yard sale, this is considered profit. Even though you are selling personal items that you originally purchased with money that was taxed. Even though you are selling at a huge loss.

You might be better off starting a "Yard Sale Business". Then deduct business expenses, and depreciate the value of the items you are selling. You can operate for 5 years without showing a profit. Then dissolve the business, change the name, and do it again.

 

[BC Coyote]

People are going to start putting it under the mattress again......

I've never stopped putting it under the mattress !
Cash is king. After the shit hits the fan cash will still have value, but banks sure won't.

 

[Smokinone]

If you have a yard sale, this is considered profit. Even though you are selling personal items that you originally purchased with money that was taxed. Even though you are selling at a huge loss.

You might be better off starting a "Yard Sale Business". Then deduct business expenses, and depreciate the value of the items you are selling. You can operate for 5 years without showing a profit. Then dissolve the business, change the name, and do it again.

When we go to a cashless society which is being pushed, it won't matter what you do.
Pretty sad really that govt has access to your money. I know a lot of it started with the excuse of drug dealers, but most of the world aren't dealing drugs. Same thing was applied to buying cars etc. cash, or large cash down payments.

 

[lonestarbandit]

This is old news unfortuantly. But will catch a lot of people out at tax time.
There's a reason they hired all those tax agents and it wasn't to go after the wealthy or middle class. Those guys have tax shelters and attorneys. So guess who they're after....
There's also a reason ditched I PayPal vemo etc. That way I won't be tempted to use and lose track of the pathetic yearly limit thus incurring the wrath of our lovely IRS.

 

[unit_399]

Everytime I see a thread like this, it onl;y reinforces our reasons for moving here. There really isn't an income tax here. The basic income tax is 1.8% of your gross income. Any retirement income is not included. EVERYONE pays it . . . NO exceptions. For citizens, there is a yearly city property tax 0.26% on the assessed value of your land, not including any improvements. The cities uses this to fund services, roads, etc. The National government gets most of its income from ECOPETROL and an AVT (Added Value Tax) which is called SALES TAX in the US. AVT on everything except food and medicine. Completely fair, since everyone (Poor, Middle, or RIch) pays it Other than that, only fees for various permits and other government paperwork.

Colombia has a HUGE unreportable income system. Lower income people have no bank accounts and deal in cash, barter, etc. so their earnings can't be traced. Those with no bank accounts pay based on an assigned minumum monthly wage of 720 000 Pesos ($180 US) . Taxation of these lower income (poor) people is seldom enforced. Our IRS (called DIAN) only goes after the middle and upper class earners. Again , pretty fair.

The system here isn't perfect, but I feel that it's light years ahead of the US tax system.

- 399

BTW - We don't give-away tons of $$$ to other countries, but we gladly accept it.

 

[lonestarbandit]

Everytime I see a thread like this, it onl;y reinforces our reasons for moving here. There really isn't an income tax here. The basic income tax is 1.8% of your gross income. Any retirement income is not included. EVERYONE pays it . . . NO exceptions. For citizens, there is a yearly city property tax 0.26% on the assessed value of your land, not including any improvements. The cities uses this to fund services, roads, etc. The National government gets most of its income from ECOPETROL and an AVT (Added Value Tax) which is called SALES TAX in the US. AVT on everything except food and medicine. Completely fair, since everyone (Poor, Middle, or RIch) pays it Other than that, only fees for various permits and other government paperwork.

Colombia has a HUGE unreportable income system. Lower income people have no bank accounts and deal in cash, barter, etc. so their earnings can't be traced. Those with no bank accounts pay based on an assigned minumum monthly wage of 720 000 Pesos ($180 US) . Taxation of these lower income (poor) people is seldom enforced. Our IRS (called DIAN) only goes after the middle and upper class earners. Again , pretty fair.

The system here isn't perfect, but I feel that it's light years ahead of the US tax system.

- 399

BTW - We don't give-away tons of $$$ to other countries, but we gladly accept it.

One of the many reasons I will retiring to the Philippines vs staying here. Assuming it hasn't been declared a satellite nation to China by then lol.
Of course ironically even as an expat ill still beholding to the IRS for life.

 

[Crambone]

Look out Big Brother coming!

BRICS PAY

Decentralized multicurrency digital international payments system

www.brics-pay.com

 

[nomadradio]

starting a "Yard Sale Business"

Just make sure you show a profit once every (three?) years. I think it's three.

Just the same, if you show a loss too many years in a row the IRS will call it a "hobby" and deny all your business deductions. The trick is to show as little profit as you can honestly do.

Been getting 1099s every year for decades. Don't think I ever considered crying over it.

73

 

[fourstringburn]

I've never stopped putting it under the mattress !
Cash is king. After the shit hits the fan cash will still have value, but banks sure won't.

Not exactly, gold is and always has been real world tangible wealth. Cash is paper and when it hits the fan, will still be nothing more than paper.

 

[Eldorado828]

This shows it's a little relief for the little guys that dabble some. For another year anyway.

IRS changed 2024 tax reporting threshold for payment apps like Venmo, Cash App

If you earn more than $5,000 on payment apps like Venmo in 2024, you should automatically get a 1099-K tax form. Here’s what you need to know.

www.verifythis.com

 

[lonestarbandit]

This shows it's a little relief for the little guys that dabble some. For another year anyway.

IRS changed 2024 tax reporting threshold for payment apps like Venmo, Cash App

If you earn more than $5,000 on payment apps like Venmo in 2024, you should automatically get a 1099-K tax form. Here’s what you need to know.

www.verifythis.com

Very interesting. I guess they determined the proposed 600.00 threshold encompassed too many people and was prohibitive in cost and staffing vs return to the nations coffers to enforce. A surprise to no-one but them, clearly.

 

[nomadradio]

proposed 600.00 threshold

Was six hundred bucks for decades. Annoyed me that they would not index it. Having to issue a 1099 for the kid that mows the lawn in summer just seemed silly. Indexing for inflation, from 1985 to today would boost $600 to $1750. At least I wouldn't have to do it for getting the lawn mowed.

73