Community Forums

Stuart W · 11-21-2017, 06:27 AM

Looks like we live in the wrong state and county, but still working so no choice yet, will be traveling and visiting potential retirement states in the RV.

Stuart W · 11-21-2017, 06:30 AM

Quote:

Originally Posted by jharrell

It is deductible in ANY state, but if you do you can't deduct state income tax, one or the other. Usually income tax is the bigger deduction, but if you make a big purchase maybe not.

Please see: https://www.irs.gov/credits-deductio...ax-at-a-glance

Thank you, we will definitely look into this

TJ · 11-21-2017, 09:00 AM

Quote:

Originally Posted by Dan McMartin

True but you'd have to reach that doubled standard deduction to itemize meaning you'd have twice as many deductions that required now. You still get the value of the doubled deduction plus any deductions above that amount. Six of one and half dozen of the other.

No, Dan; you don't "get the value of the doubled deduction plus any deductions above that amount." Either you take the standard deduction or you itemize; one or the other.

So, if I lose $20K in itemized deductions and gain $12K in the new standard deduction, I pay taxes on $8K more than I used to. That's a tax increase any way you look at it. And, that's just about where I'll be if this "tax reform" passes.

TJ

Old-Biscuit · 11-21-2017, 09:35 AM

Quote:

Originally Posted by Stuart W

Ok that clears a lot up, thank you. California, Los Angeles is brutal, 9.5% sales tax[emoji51], I so wish sales tax was deductible here.
Oh the Reagen days, miss them

We live between 2 Small AZ Towns
Town 15 miles west------sales tax (State/County/City) is 9.35%
Town 5 miles east..........sales tax (State/County/City) is 10%

AZ State Sales Tax....5.6%
County Sales Tax...... From 0.25% to 2%
City Sales Tax...........0% to 3.5%

But the weather is nice........

Well OK.....it can be HOT

dadej · 11-21-2017, 09:53 AM

This is the same old story that has gone on in the United States forever. Lower my taxes but don't let it impact me. We need to think about our kids and grand kids future. We are talking about tax deductions for our second home. A lot of our kids don't even have one home and if they do own a home they are living better than a whole bunch of the world. Our taxes are too high I agree BUT government spending is WAY too high also. Something has to give or our grand kids are going to inheret a HUGE mess. Sorry for the rant!!

wildtoad · 11-21-2017, 10:52 AM

Our taxes would be a lot lower if more people actually paid some. With all the deductions many perhaps over half don’t pay into the general fund. Payroll taxes and sales tax yes, none of that pays to run the country.

TJ · 11-21-2017, 11:01 AM

Quote:

Originally Posted by dadej

This is the same old story that has gone on in the United States forever. Lower my taxes but don't let it impact me. We need to think about our kids and grand kids future. We are talking about tax deductions for our second home. A lot of our kids don't even have one home and if they do own a home they are living better than a whole bunch of the world. Our taxes are too high I agree BUT government spending is WAY too high also. Something has to give or our grand kids are going to inheret a HUGE mess. Sorry for the rant!!

You make some good points. A fair and equitable tax system coupled with responsible government spending is something we should all want...for ourselves and, for future generations.

I have no problem with doing away with the second home deduction, but taking away the medical expense deductions will hurt a lot of people. And, taking away the deduction for state and local taxes (income or sales tax, depending on which state you live in) unfairly taxes you twice on the same income. This is not "tax reform." And, adding $1.5 billion to the deficit is certainly not responsible government spending. All this is just partisan political posturing on both sides of the aisle.

TJ

cruzbill · 11-21-2017, 11:09 AM

wildtoad · 11-21-2017, 02:42 PM

Quote:

Originally Posted by Tranquil Jim

You make some good points. A fair and equitable tax system coupled with responsible government spending is something we should all want...for ourselves and, for future generations.

I have no problem with doing away with the second home deduction, but taking away the medical expense deductions will hurt a lot of people. And, taking away the deduction for state and local taxes (income or sales tax, depending on which state you live in) unfairly taxes you twice on the same income. This is not "tax reform." And, adding $1.5 billion to the deficit is certainly not responsible government spending. All this is just partisan political posturing on both sides of the aisle.

TJ

TJ, I concur that doing away with the medical deduction will hurt a lot of people especially those of use who pay the full amount of Obamacare policies and have to use the policy. Not being able to deduct medical expenses to the tune of $24k will hurt many.

aether_one · 11-21-2017, 03:06 PM

Quote:

Originally Posted by bruceisla

This part was true even if you did not itemize and used the state sales tax table.

Ummmm, No; its on Schedule A. You don't use Schedule A unless you itemize.

And for the OP:

It's OK to finance the MH and pay interest on the outstanding balance, but only if you can deduct a portion of that interest on your taxes?

saddlesore · 11-21-2017, 03:38 PM

Don't get too excited just yet...
1) It ain't a law yet
2) It would not take effect until the 2019 year at the earliest.
3) nothing is "set in stone" and won't be for quite a while .

raytwntrvlr · 11-21-2017, 03:53 PM

Quote:

Originally Posted by saddlesore

Don't get too excited just yet...
1) It ain't a law yet
2) It would not take effect until the 2019 year at the earliest.
3) nothing is "set in stone" and won't be for quite a while .

And for crying out loud.... a new administration/congress can shuffle the deck in another 4 years or so. it's a moving target folks. Some times it works great for you and sometimes not so great.

And for those of us subject to the dreaded AMT... we're really the lucky ones, aren't we? No grumbling now.

Always felt like it was a good sign that I had to pay a lot of taxes.

SlaterDoc · 11-21-2017, 03:59 PM

Personally, I am beginning to see this as the same ol' political "shell game" the pols have been playing for decades (since Ronnie). The signs are all there, confusion, lack of clarity, a plethora of conflicting assessments from the so called experts and the "snake oil" sales pitch by those who keep spending more and more! They ain't gonna give up their egg laying geese (the suckers known as taxpayers).

TJ · 11-21-2017, 04:56 PM

Quote:

Originally Posted by saddlesore

Don't get too excited just yet...
1) It ain't a law yet
2) It would not take effect until the 2019 year at the earliest.
3) nothing is "set in stone" and won't be for quite a while .

Well, President Trump has stated publicly that he'd like to make the new tax rules...if they are actually enacted...retroactive to 2017. I don't think that's possible, but it demonstrates the thinking...or, lack of it...involved.

TJ