There are two systems of taxation in the United States:
One for the Informed The other for the Uninformed
"Over and over again courts have said that there is nothing sinister in so arranging one`s affairs as to keep taxes as low as possible. Everybody does so, rich or poor and all do rights, for nobody owes any public duty to pay more than the law demands:taxes are enforced exactions, not voluntary contributions." Judge Learned Hand
A simple tax tip:

What did you pay in income taxes last year?
Consult your most recent (vice 2005) Tax Return
Look at line 63 (The Amount you paid in Federal Income Taxes)
Don`t overlook what you paid in State Income Taxes (Refer to California Form 540 line 37)
Add the amount paid in Federal and State-Total-divided by 12 equals the amount you paid, on average, each month last year.
Most people pay more taxes than necessary. Why? They have tax returns prepared vs. planned.
Financial Planning may help you reduce your tax burden with tax planning.
- source : www.irs.gov
Disclosure: Not tax advice. Please consult your tax professional. |