How Much Is Collected In Taxes Yearly ??

[TAB]

Everything is voluntary, until you get caught. No one actually studies the amount of taxes paid on the governmental level. They really don't want people to know that number

[MikeBjerum]

Two items we deal with locally (Minnesota) include municipalities paying sales tax on purchases - Tax dollars paying taxes; and, (our local community) Payment in Lieu of Taxes - Our city owns the electric, water and wastewater utilities.  They collect $360,000 per year from the utilities "in lieu of taxes".  This figure is supposed to be what a private company would pay in property taxes if they owned the businesses.

When I was on the Utility Commission we fought this fee.  One member was constantly telling the City Administrator to let utilities be utilities and taxes be taxes - Utility bills are not deductible, and taxes are.

We also dealt with the electric utility having $1.25 million in savings to self insure our supply lines and set aside for depreciation replacement of equipment.  The City would use this money for collateral against other loans, so when we needed to dip in to pay for items, it wasn't available, and we had to borrow and pay interest - High interest, because our cash supply was already tied up on streets, park equipment, snow plows, lawn mowers, ...

[Big Frank]

I wouldn't be surprised if half of what we make goes to pay taxes of one kind or another, but it could be worse. Years ago I read that in the U.K. 80% of what they make is taken away in the form of taxes. They have to get by with only spending 1/5 of what they make. I'm sure things have only gotten worse over the years.

[TAB]

Let's see about 40% of my income goes too taxes+ ss+ other non tax taxes.( I am over the as cap or it would be closer too 45%)  About 1% of my gross is property  tax.  There is about $100/ month in fees added on too utilities  for my home.  $.35 / gallon for fuel.  I have no clue when it comes to excise taxes.  So 50% would be a very fair number, but all told I would not be shocked at 60%

[Rastus]

I think the right number is over 75%.  Everything you touch has been taxed somewhere before you get it.  I'll go on the oil that gasoline is made with.  Severance tax is 3 to 9 percent depending on which state.  Use 6%.  Of course, when for instance I am signing invoices for a 12 million dollar well 7-1/2% of that cost is sales tax or...if it is services (some are "exempt" from sales tax) the company/people providing the services are being taxed at around 45%...income tax, social security tax both ways, mediwhatever and on and on it goes.  Once I see the oil to someone it costs $2 to $5 to get it to a refinery...of course that cost is 30-60% tax.  Once sold to the refinery the profit is taxed.  Then the refinery pays taxes when it sells and taxes for it's workers, ad valorem, etc., etc.  Then you get it at the pump and get slammed.

This kind of thing is true for all that we buy.  Look at the supply chain from inception to your purchase...yeah, 75% of everything is a minimum of tax.

They hide it well, don't they?   

[Sponsor]

[billt]

I always like to use "Denatured" alcohol as a good example of the lengths the government will go to, so as not to get cheated out of tax money they so desperately want to collect. The term "denatured" basically means poisoned. The government insists by law, in their infinite wisdom, non beverage grade ethyl alcohol of any type be poisoned so it cannot be consumed as an untaxed beverage.

It's the only real difference between the 190 proof grain alcohol you buy at the liquor store for around $20.00 a quart. And the $6.00 a gallon stuff they sell in the paint dept. at Home Depot. TAX.

[Big Frank]

I found out I have until the 30th to pay my city taxes. I forgot that H&R Block already did those too. All I have to do is write out an $11 check, put my paperwork in the envelope, stamp it, and have it postmarked in the next 3 weeks. I might get it done this week but I'm not in any hurry. When I used to pay city taxes every year it was 1% of the adjusted gross income on my 1040. I haven't even looked to see what it is now.

[Rastus]

City taxes?  When in the heck do you live?  Damn...that sucks.

[Big Frank]

City taxes?  When in the heck do you live?  Damn...that sucks.

I'm in Flint, MI and this is the first time I've had to pay any city taxes at all in several years. $11 for a whole year isn't bad, and I wouldn't have to pay that if they didn't tax my gambling winnings. I won $1,000 on one game, and about 2 months later won $1,262.50 on another. Anything over $600 gets reported. The way I figure it $11 is less than 1/2 of 1% of $2,262.50. I can live with that.

It was a different story when I was working. City taxes were 1% of my income, minus exemptions and deductions. If I lived where I worked, I don't think I would have paid city taxes, but I couldn't afford a house there, or the property taxes.

[les snyder]

public service announcement... I turn 70 1/2 this year, and have been making arrangements for my Required Minimum Distributions of my IRAs... if you are young enough, and have a payroll deduction into which you contribute, look into the conversion to a ROTH IRA if possible...pay the taxes up front while you are still earning money... make sure your kids have the same information