Current Events > Is the tax system in America really like this?

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pinky0926
01/21/20 8:21:38 AM
#1:


Government: Pay your taxes
You: How much?
Government: We know exactly how much but you need to work it out for yourself and if you get it wrong you go to prison

I mean in Britain it's like this:

You: Do I need to do anything with my taxes?
Government: Probably not, your boss did everything. We'll get in touch if anything is up though.

I miss the Australian system the most.

Government: Hey look you paid your taxes but we got it wrong, you're due $3000 back
You: You get it wrong every year
Government: I know lol, Merry Christmas!


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SaccharineSmile
01/21/20 8:24:46 AM
#2:


Ha those are pretty spot on

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#4
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EndOfDiscOne
01/21/20 8:32:12 AM
#5:


I'm a tax accountant. The government does not know how much you owe--they only know of certain pieces of your income that are reported to them. And you don't go to prison unless you're seriously evading taxes.

And believe it or not the government will give you a refund if you made a dumb mistake on your return and it results in an overpayment.

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TwoDoorPC
01/21/20 8:33:51 AM
#6:


on the downside, our government's tax office can just decide to fuck you about for no reason. like when they randomly switched me to basic rate recently.

over an hour on hold, just to tell them they messed up over the phone, and 5 mins later, with no further input from myself, they switched it back. still, hundreds missing from my payslip right before christmas and not even a "sorry".

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blablablax17
01/21/20 8:34:59 AM
#7:


dolomedes posted...
yepppp but you forget that we americans have to work out how much we need to pay not only to the federal government - also the state government(s)!


Not if you live in Nevada!
=3
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OwlRammer
01/21/20 8:39:52 AM
#8:


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DevsBro
01/21/20 8:42:13 AM
#9:


pinky0926 posted...
Government: Pay your taxes
You: How much?
Government: We know exactly how much but you need to work it out for yourself and if you get it wrong
Yeah pretty mu--

pinky0926 posted...
you go to prison
No WTF

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pinky0926
01/21/20 8:44:05 AM
#10:


OwlRammer posted...
wtf I wanna move to australia now

It was freakin' great. i didn't do my return 3 years in a row and ended up with a $12k return and no late fee, somehow

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Ilishe
01/21/20 8:44:52 AM
#11:


Here it's a clusterfuck like most everything else handled by the Govt

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AbstraktProfSC2
01/21/20 8:44:52 AM
#12:


EndOfDiscOne posted...
I'm a tax accountant. The government does not know how much you owe--they only know of certain pieces of your income that are reported to them. And you don't go to prison unless you're seriously evading taxes.

And believe it or not the government will give you a refund if you made a dumb mistake on your return and it results in an overpayment.

American government seems to know if you put something of your income in wrong which determines my taxes
Last time I made a mistake they told me to redo it but wouldnt tell me where I made a mistake.
Just said nope its wrong.

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emblem boy
01/21/20 8:54:07 AM
#13:


EndOfDiscOne posted...
I'm a tax accountant. The government does not know how much you owe--they only know of certain pieces of your income that are reported to them. And you don't go to prison unless you're seriously evading taxes.

And believe it or not the government will give you a refund if you made a dumb mistake on your return and it results in an overpayment.

For most people, I'd think they do know. I'd think it only gets complicated for those who have more complex filings
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The Trent
01/21/20 8:54:14 AM
#14:


AbstraktProfSC2 posted...
American government seems to know if you put something of your income in wrong which determines my taxes
Last time I made a mistake they told me to redo it but wouldnt tell me where I made a mistake.
Just said nope its wrong.

i bet all that time in jail was useful though because you could study tax code and practice mathing

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Sackgurl
01/21/20 9:04:18 AM
#15:


pinky0926 posted...
Government: We know exactly how much

it's a little more complex than this--because our employers withhold for us, and we may be married or have side gigs or investment income or whatever, our employers can only withhold and pay what we tell them to

then on the following year we're supposed to go back through and verify that was the right amount. usually the default is to be conservative with it and pay too much so we get some back

really slick people will pay too little (but not so much less that a penalty is triggered) and pay back the rest later, getting an interest free loan of a couple thousand dollars

like our healthcare system it is a product of having employers be the middleman

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garlic powder
01/21/20 9:06:08 AM
#16:


EndOfDiscOne posted...
I'm a tax accountant. The government does not know how much you owe--they only know of certain pieces of your income that are reported to them. And you don't go to prison unless you're seriously evading taxes.

And believe it or not the government will give you a refund if you made a dumb mistake on your return and it results in an overpayment.


This.

What do you guys think the refund is for? (if you get one)

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EndOfDiscOne
01/21/20 9:06:26 AM
#17:


emblem boy posted...
For most people, I'd think they do know. I'd think it only gets complicated for those who have more complex filings
They could make educated guesses and be correct for a lot of people. But they don't have any real way of knowing that you don't have a side hustle, or sold something things on eBay, or donated a bunch of money to charity, etc.

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Balrog0
01/21/20 9:06:50 AM
#18:


we could definitely simplify the process but

EndOfDiscOne posted...
I'm a tax accountant. The government does not know how much you owe--they only know of certain pieces of your income that are reported to them. And you don't go to prison unless you're seriously evading taxes.

And believe it or not the government will give you a refund if you made a dumb mistake on your return and it results in an overpayment.

this is also true for sure

I did a lot of contract work one year and didn't pay my taxes quarterly so I owed a lot of money come tax time. The IRS set up a payment plan with no hassle and no interest, it was very reasonable. I also forgot one source of income another year and it was pretty painless to fix. Not to say theyre never petty or vindictive but if youre trying to be upfront with them its usually not bad

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DevsBro
01/21/20 9:08:20 AM
#19:


The government "knowing" isn't a matter of them having the exact amount in a database somewhere so much as they know how to calculate it.

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bknight
01/21/20 9:34:27 AM
#20:


Government called me on my phone and said I owned them $1000, they told me they had an arrest warrant out for me and that the only way to not get arrested was to pay them in Itunes gift cards, maxed out my credit cards but I at least paid off my debt, thanks for calling me and giving me a chance IRS.
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Kolibri X
01/21/20 9:52:28 AM
#21:


Did a child write this?

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gatorsPENSbucs
01/21/20 10:00:21 AM
#22:


Kolibri X posted...
Did a child write this?

I think TC just comes up with random things to complain about, that really nobody complains about, hoping that a few people will latch on. Its quite a weird thing to do, but he seems to love it and every time he makes a topic like this I wonder if he just has a hat full of words and draws a word out when hes bored.

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pinky0926
01/21/20 10:01:22 AM
#23:


gatorsPENSbucs posted...
I think TC just comes up with random things to complain about, that really nobody complains about, hoping that a few people will latch on. Its quite a weird thing to do, but he seems to love it and every time he makes a topic like this I wonder if he just has a hat full of words and draws a word out when hes bored.

They're onto me

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scar the 1
01/21/20 10:03:52 AM
#24:


pinky0926 posted...


Government: Hey look you paid your taxes but we got it wrong, you're due $3000 back
You: You get it wrong every year
Government: I know lol, Merry Christmas!
This is the same as in Sweden. Your employer pays a standard amount of tax, and if you're eligible to any sort of deductions you get money back. Usually that's tracked automatically, but you can also manually declare extra deductions. There can be edge cases where you instead need to pay extra taxes, but generally it's like the above. It's pretty good.

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Oatcakes
01/21/20 10:11:15 AM
#25:


The Australian thing happens in the UK too. Had a few reimbursements over the years.
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Bananana
01/21/20 10:14:04 AM
#26:


The IRS has tried several times to make it so that they can just provide you with the necessary information, but companies like TurboTax and H&R Block have successfully lobbied to pass laws restricting them from doing so, so that people need to do their own taxes and need their services.

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Annihilated
01/21/20 10:18:51 AM
#27:


pinky0926 posted...
Government: Pay your taxes
You: How much?
Government: We know exactly how much but you need to work it out for yourself and if you get it wrong you go to prison

Uh, no, that's not even close. Literally nobody on the planet knows how much you'll owe every year, that's why you have to do tax returns the following year.
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AbstraktProfSC2
01/21/20 10:23:02 AM
#28:


The Trent posted...
i bet all that time in jail was useful though because you could study tax code and practice mathing
lol?
I just said I had to redo my taxes once. never said I went to jail
You dont need to study tax code to do taxes and I dont remember needing to do math on my taxes. Just pretty much put numbers in....are you like 16?

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The Trent
01/21/20 10:23:58 AM
#29:


AbstraktProfSC2 posted...
lol?
I just said I had to redo my taxes. never said I went to jail
You dont need to study tax code to do taxes and I dont remember needing to do math on my taxes. Just pretty much put numbers in....are you like 16?

wait are you saying the assertion in the OP is untrue and they didn't throw you in the slammer when you got it wrong

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AbstraktProfSC2
01/21/20 10:26:02 AM
#30:


The Trent posted...
wait are you saying the assertion in the OP is untrue and they didn't throw you in the slammer when you got it wrong
i worked it out for myself. if I didnt. then Id potentially be in prison for tax evasion

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highpathetic
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The Trent
01/21/20 10:26:55 AM
#31:


oh so it was like negligible in the end like no additional fines or penalties, just kinda "hey try again buck-o" which you did and everything was cool

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AbstraktProfSC2
01/21/20 10:28:00 AM
#32:


The Trent posted...
oh so it was like negligible in the end like no additional fines or penalties, just kinda "hey try again buck-o" which you did and everything was cool
yes

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Paragon21XX
01/21/20 10:28:34 AM
#33:


bknight posted...
Government called me on my phone and said I owned them $1000, they told me they had an arrest warrant out for me and that the only way to not get arrested was to pay them in Itunes gift cards, maxed out my credit cards but I at least paid off my debt, thanks for calling me and giving me a chance IRS.

It's amazing how many people actually fall for this ruse.
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BignutzisBack
01/21/20 10:42:35 AM
#34:


gatorsPENSbucs posted...
I think TC just comes up with random things to complain about, that really nobody complains about, hoping that a few people will latch on. Its quite a weird thing to do, but he seems to love it and every time he makes a topic like this I wonder if he just has a hat full of words and draws a word out when hes bored.

lmao

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spudger
01/21/20 12:15:13 PM
#35:


correct save the prison part. thats only for tax evaders and scammers.
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Manocheese
01/21/20 12:21:03 PM
#36:


pinky0926 posted...
I miss the Australian system the most.

Government: Hey look you paid your taxes but we got it wrong, you're due $3000 back
You: You get it wrong every year
Government: I know lol, Merry Christmas!

So you like giving the government an interest-free loan?
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pinky0926
01/21/20 12:29:41 PM
#37:


Manocheese posted...
So you like giving the government an interest-free loan?

I like getting surprise money every year that I hadn't budgeted for

(You can spare me the responsible fiscal sermon btw, I know the point you're making. It's just nice to get cashback sometimes)

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SK8T3R215
01/21/20 12:30:29 PM
#38:


They know anything reported to them that you also get a form of (W-2, 1099s, etc)

They don't know any other information you include that isn't provided to them.

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samurai bandit
01/21/20 12:45:31 PM
#39:


SK8T3R215 posted...
They know anything reported to them that you also get a form of (W-2, 1099s, etc)

They don't know any other information you include that isn't provided to them.

So they should at least pre fill that info and only make you do any adjustments that might be needed

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Annihilated
01/22/20 12:45:23 AM
#40:


samurai bandit posted...
So they should at least pre fill that info and only make you do any adjustments that might be needed

TurboTax does that already. It does not save that much time. It certainly wouldn't streamline tax returns in the way a flat tax would.
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ColdOne666
01/22/20 1:08:30 AM
#41:


pinky0926 posted...
Government: Hey look you paid your taxes but we got it wrong, you're due $3000 back
You: You get it wrong every year
Government: I know lol, Merry Christmas!

So true lol
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SK8T3R215
01/22/20 2:12:46 AM
#42:


ColdOne666 posted...
So true lol

Uh this is because of how you filled out your W-4...

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