Per Diem and Tax Rules
12-17-2023, 08:53 AM
#21
Gets Weekends Off
Joined APC: Oct 2023
Posts: 107
Originally Posted by sailingfun
I suspect you are going to cry when the AMT comes back. All those deductions were wiped out by the AMT anyway.
Turbo Tax; Congratulations you are getting 5600.00 refund. We just need to see if you are subject to the AMT to finish your tax return. Opps, sorry you owe 4700 dollars. How do you want to pay?
You were doing the AMT calculations I assume. They were not optional.
Turbo Tax; Congratulations you are getting 5600.00 refund. We just need to see if you are subject to the AMT to finish your tax return. Opps, sorry you owe 4700 dollars. How do you want to pay?
You were doing the AMT calculations I assume. They were not optional.
You'd think that if you were going to embark on a new program, you'd get a couple of opintions from pros who knew what they were doing, but hey, let's invest in Iraqi dinars instead.
12-17-2023, 10:06 AM
#22
Gets Weekends Off
Joined APC: Sep 2017
Posts: 900
Originally Posted by HelloNewnan
I've found most "financial" and or "tax" advice published anywhere on the internet or passed on to me by "other than professionals" to be highly suspect. Most people leave out details or mitigations that are basically key to their whole way of doing things, they've missed something really important, or are passing on bad advice that they got. That doesn't include those who are intentionally passing on bad information for personal gain or just because they're twisted that way. I knew one guy over in base housing that had a "surefire" way of doing things that seemed suspect, but he swore was legit. A couple years later the IRS landed on him like a ton of bricks. Why do you think every other ad on talk radio is "Do you owe the IRS a gozillion dollars? Call us and maybe we can help you to not goto the slam for tax evasion".
You'd think that if you were going to embark on a new program, you'd get a couple of opintions from pros who knew what they were doing, but hey, let's invest in Iraqi dinars instead.
You'd think that if you were going to embark on a new program, you'd get a couple of opintions from pros who knew what they were doing, but hey, let's invest in Iraqi dinars instead.
12-17-2023, 10:38 AM
#23
Can’t find crew pickup
Joined APC: Jun 2021
Posts: 1,985
Originally Posted by Gspeed
Incredibly regressive to lower wage earners. #laughsinrich
I’ll tell you what, they can pay a “lower” flat tax rate and let’s limit “refunds” to the amount you actually paid.
12-17-2023, 10:49 AM
#24
Gets Weekends Off
Joined APC: Nov 2017
Position: NYC 7ERA
Posts: 1,966
Originally Posted by Whoopsmybad
You mean the people who get 2-5X back in tax returns than they paid in?
I’ll tell you what, they can pay a “lower” flat tax rate and let’s limit “refunds” to the amount you actually paid.
I’ll tell you what, they can pay a “lower” flat tax rate and let’s limit “refunds” to the amount you actually paid.
But my brother, who lets just say probably gets a W2 for maybe half his income, has 3 kids, etc.. Gets paid more than he paid in come refund time. (probably not now as kids aged out even though they live at home)
I thought tax deductions/credits could just take you to 0.. Nope. Refundable Tax Credits.. EITC and ACTC were the big ones. No wonder he loved tax season..
Meanwhile I made just enough to not get anything, lost student loan interest excemption, etc.
12-17-2023, 11:14 AM
#25
Banned
Joined APC: Jan 2008
Position: Pilot
Posts: 2,625
Originally Posted by iahflyr
Exactly this. Day trip per diem is taxable, but per diem on overnight trips is tax exempt. That has always been the case.
What has changed is we used to be able to write off 80% of the difference between the higher government M&IE rate and what we got paid. So if govt per diem in DC is $79/day, and we got paid $2.50/hr per diem ($60/day), we could have written off the $19 difference. Unfortunately that is one of the many deductions we lost with TCJA under Trump.
Under TCJA, you can also no longer write off union dues, unreimbursed employment expenses, moving expenses, tax prep expenses, state income tax and property tax of 10k a year or more, and mortgage interest over 750k (neither of these limits increase with inflation).
TCJA was the largest tax increase of my life. Good riddance when TCJA expires in 2 years and 15 days (Yes I have been counting since late 2017).
What has changed is we used to be able to write off 80% of the difference between the higher government M&IE rate and what we got paid. So if govt per diem in DC is $79/day, and we got paid $2.50/hr per diem ($60/day), we could have written off the $19 difference. Unfortunately that is one of the many deductions we lost with TCJA under Trump.
Under TCJA, you can also no longer write off union dues, unreimbursed employment expenses, moving expenses, tax prep expenses, state income tax and property tax of 10k a year or more, and mortgage interest over 750k (neither of these limits increase with inflation).
TCJA was the largest tax increase of my life. Good riddance when TCJA expires in 2 years and 15 days (Yes I have been counting since late 2017).
12-17-2023, 11:20 AM
#26
Gets Weekends Off
Joined APC: Jan 2006
Posts: 1,544
Originally Posted by Red Forman
You don't like paying your fair share?
GOP has always been against double taxation. Look how they oppose the death tax. Yet somehow they are perfectly fine having us pay federal tax on our state taxes.
The Democrats through Inflation Reduction Act proposed raising the SALT limit to 80k (which would have exempt the bottom 99.5% from double taxation), and that was only shot down by their most conservative member. Remind me who is the party of lower taxes? For me, it’s been Democrats since 2017.
12-17-2023, 11:23 AM
#27
Banned
Joined APC: Jan 2008
Position: Pilot
Posts: 2,625
Originally Posted by iahflyr
I do pay my fair share. What I cannot stand is double taxation, paying tax on what I’ve already paid tax on (state income taxes, property taxes).
GOP has always been against double taxation. Look how they oppose the death tax. Yet somehow they are perfectly fine having us pay federal tax on our state taxes.
The Democrats through Inflation Reduction Act proposed raising the SALT limit to 80k (which would have exempt the bottom 99.5% from double taxation), and that was only shot down by their most conservative member. Remind me who is the party of lower taxes? For me, it’s been Democrats since 2017.
GOP has always been against double taxation. Look how they oppose the death tax. Yet somehow they are perfectly fine having us pay federal tax on our state taxes.
The Democrats through Inflation Reduction Act proposed raising the SALT limit to 80k (which would have exempt the bottom 99.5% from double taxation), and that was only shot down by their most conservative member. Remind me who is the party of lower taxes? For me, it’s been Democrats since 2017.
12-17-2023, 11:52 AM
#28
Gets Weekends Off
Joined APC: Feb 2020
Posts: 734
Originally Posted by iahflyr
I do pay my fair share. What I cannot stand is double taxation, paying tax on what I’ve already paid tax on (state income taxes, property taxes).
GOP has always been against double taxation. Look how they oppose the death tax. Yet somehow they are perfectly fine having us pay federal tax on our state taxes.
The Democrats through Inflation Reduction Act proposed raising the SALT limit to 80k (which would have exempt the bottom 99.5% from double taxation), and that was only shot down by their most conservative member. Remind me who is the party of lower taxes? For me, it’s been Democrats since 2017.
GOP has always been against double taxation. Look how they oppose the death tax. Yet somehow they are perfectly fine having us pay federal tax on our state taxes.
The Democrats through Inflation Reduction Act proposed raising the SALT limit to 80k (which would have exempt the bottom 99.5% from double taxation), and that was only shot down by their most conservative member. Remind me who is the party of lower taxes? For me, it’s been Democrats since 2017.
A5S
12-17-2023, 12:01 PM
#29
Gets Weekends Off
Joined APC: Dec 2013
Posts: 2,236
Originally Posted by iahflyr
I do pay my fair share. What I cannot stand is double taxation, paying tax on what I’ve already paid tax on (state income taxes, property taxes).
GOP has always been against double taxation. Look how they oppose the death tax. Yet somehow they are perfectly fine having us pay federal tax on our state taxes.
The Democrats through Inflation Reduction Act proposed raising the SALT limit to 80k (which would have exempt the bottom 99.5% from double taxation), and that was only shot down by their most conservative member. Remind me who is the party of lower taxes? For me, it’s been Democrats since 2017.
GOP has always been against double taxation. Look how they oppose the death tax. Yet somehow they are perfectly fine having us pay federal tax on our state taxes.
The Democrats through Inflation Reduction Act proposed raising the SALT limit to 80k (which would have exempt the bottom 99.5% from double taxation), and that was only shot down by their most conservative member. Remind me who is the party of lower taxes? For me, it’s been Democrats since 2017.
12-17-2023, 01:30 PM
#30
Gets Weekends Off
Joined APC: Jan 2006
Posts: 1,544
Originally Posted by All 5 Stages
Sounds like it's your state legislators, and possibly local municipal legislators, that you're mad at -- they are the ones that set your state/local taxes and tax rates
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