How to Pay No Federal Income Tax

[steveox]

During the recent presidential election, tax reform was a hot-button issue. Billionaire investor Warren Buffett and Republican presidential candidate Mitt Romney both ignited fiery debates -- Buffett when he claimed the richest 1 percent of the population is not paying its fair share of taxes and Romney when he said nearly half of Americans pay no federal income tax.

According to the Tax Policy Center, 46.4 percent of Americans paid no federal income tax in 2011, a percentage that may sound alarming. But other taxes, such as those levied on property, cigarettes, gas, liquor, payroll, Social Security, and state and local taxes, ensure that virtually no one gets off scot-free.

Even so, the significant number of Americans who pay no federal income tax raises the question: How can a taxpayer reduce federal income tax liability down to nothing?

http://finance.yahoo.com/news/how-to-pay-no-federal-income-tax-203553910.html

You gotta be rich to do this!

 

[BigRob]

During the recent presidential election, tax reform was a hot-button issue. Billionaire investor Warren Buffett and Republican presidential candidate Mitt Romney both ignited fiery debates -- Buffett when he claimed the richest 1 percent of the population is not paying its fair share of taxes and Romney when he said nearly half of Americans pay no federal income tax.

According to the Tax Policy Center, 46.4 percent of Americans paid no federal income tax in 2011, a percentage that may sound alarming. But other taxes, such as those levied on property, cigarettes, gas, liquor, payroll, Social Security, and state and local taxes, ensure that virtually no one gets off scot-free.

Even so, the significant number of Americans who pay no federal income tax raises the question: How can a taxpayer reduce federal income tax liability down to nothing?

http://finance.yahoo.com/news/how-to-pay-no-federal-income-tax-203553910.html

You gotta be rich to do this!

You don't have to be "rich" to not pay any federal income taxes. I would wager that most of that 46.4% were average people who make $50,000 or less a year.

 

[steveox]

I Used work at Regal cinemas i had to pay FICA and Medicare those are federal taxes

 

[dogtowner]

I Used work at Regal cinemas i had to pay FICA and Medicare those are federal taxes

you specifically state income taxes and now you want to bring up an unrelated matter. and while they are referred to as payroll taxes they are actually premiums.

want to get out of income taxes the easy way ? do what so many millions of the long term unemployed are doing, go on disability. dont have to be rich to do that.

 

[Cruella]

I Used work at Regal cinemas i had to pay FICA and Medicare those are federal taxes

Social Security and Medicare are not federal income taxes. Those go into your personal SS account. Not only that, your employer had to match those amounts and what they paid also goes into your SS account. Most pay checks show at least five deductions. Federal Income tax, FICA, medicare, state income tax and State disability. Your employer also pays a percentage of your earnings into state and federal unemployment, in the event you get laid off.

 

[steveox]

The way the Wealthy get out of it is by stocks and tax shelters. Putting your money in some forgein bank account is another way to get out of it. Like putting it in Switzerland. Another way the rich get out of paying the IRS is drop their American citizenship so there! you dont have a thing to do with the IRS anymore

 

[Gabriel_Bell]

When you buy a stock for, say, $10 a share and hold it for years, as Buffett typically does, you do not need to pay taxes on the increase in value until you sell it. Or perhaps after you die, your wife sells it.

The rate is lower on stocks held for over one year. 19% rather than up to 39%.

If you run a Hedge Fund, there are LOTS of ways to pay very little in income taxes.
'
Switzerland is not the best place to go. That would likely be thr Caiman Islands, Bahamas, or the Channel Islands of the UK.
Renouncing one's citizenship is rare. John Bogle did it.

Did Bogle live a better life as a result? I doubt it. Once you have $50 million or so, there are few ways to add more comfort and enjoyment to one;s life.

 

[Phoenix68]

How to Pay No Federal Income Tax​

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I'VE ALREADY HEARD THIS ONE!!!!
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[Gabriel_Bell]

Apparently, Trump paid nothing to the IRS for several years, claiming his loss on his billion dollar casinos.

 

[mark francis]

During the recent presidential election, tax reform was a hot-button issue. Billionaire investor Warren Buffett and Republican presidential candidate Mitt Romney both ignited fiery debates -- Buffett when he claimed the richest 1 percent of the population is not paying its fair share of taxes and Romney when he said nearly half of Americans pay no federal income tax.

According to the Tax Policy Center, 46.4 percent of Americans paid no federal income tax in 2011, a percentage that may sound alarming. But other taxes, such as those levied on property, cigarettes, gas, liquor, payroll, Social Security, and state and local taxes, ensure that virtually no one gets off scot-free.

Even so, the significant number of Americans who pay no federal income tax raises the question: How can a taxpayer reduce federal income tax liability down to nothing?

http://finance.yahoo.com/news/how-to-pay-no-federal-income-tax-203553910.html

You gotta be rich to do this!

Those who follow Bill and Hillary should be aware all you need to avoid paying taxes is to hide your riches in tax exempt foundations and give donations to politicians who can help shield those foundations from serious investigations.