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Yvonne Benjamin

THE AMERICAN RECOVERY ACT: What Does It Mean To You?

As a small business owner I sometimes find myself not keeping abreast of all the tax regulations because I’m busy advertising and running my business. Now with the latest Stimulus package approved by Congress, I needed to know the changes that will impact me personally and as a business owner.

Ronald R. Mueller, MBA, Ph.D. author of “Home Business Tax Savings Made Easy" is informing people that the American Recovery and Reinvestment Act of 2009 is HUGE - not just in its price tag, but also in its complexity - so you can expect to read a whole string of Tax Tips as Dr. Muller continues to dissect this massive package containing 100's of both smart investments and pork barrel projects. Due to my busy schedule, I don’t have to go searching for the information because Dr. Mueller will send updates directly to my inbox.

HERE ARE SOME OF THE HIGHLIGHTS:

• The Section 179 "accelerated depreciation" limit of $250,000, which expired on 12/31/08, has
been extended throughout 2010
• The 50% Bonus Depreciation on purchase of business assets, which also expired on 12/31/08, will
continue also
• 5-year "carry-back" of Net Operating Losses for small businesses (more on this in my next issue
of "Tax Tips You Can Bank On")
• Temporary relief of Estimated Tax Payments for small businesses (more on this in my next issue
of "Tax Tips You Can Bank On")

• W-2 workers' take home pay will increase by $400 (for individuals) and $800 (for married couples)
beginning on/about April 1, paid at rate of 6.2% of earned income, until the $400/800 limits are
reached. Phase-outs apply for high income earners.

• Social Security recipients, Veterans who are on disability pay, and Railroad Retirees will each see
$250, which will be paid by the agency producing their current monthly checks.

• Anyone (not just small businesses) who purchases a new car, light truck, RV or motorcycle from
February 17 through December 31, 2009 may deduct, on their Federal tax returns, any state and
local Sales and Excise taxes.

I think you will find this information to be very valuable. I plan to purchase a new car within the next couple of months. Now thanks to the last bullet above, I will be able to write of the sales and excise taxes. That is awesome!

If you want to be kept in the loop regarding both personal and business tax issues, go to http://www.kickstartcart.com/app/aftrack.asp?afid=943622 and subscribe to “Tax Tips You Can Bank On”. Be sure to pass this valuable information on to everyone you know.

Have a Great Day!

Yvonne Benjamin
www.GreaterTravelBiz.com
yb@greatertravelbiz.com

Tags: act, based, business, deductions, home, irs, recovery, savings, stimulus, tax

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dreydrey Comment by dreydrey on March 3, 2009 at 3:02pm
Dealership here I come!
Steven R. Smith Comment by Steven R. Smith on March 3, 2009 at 2:53pm
Yvonne, Thank you very much for such vital information. I look forward to hearing from you again!
Gina Caparelli Comment by Gina Caparelli on March 3, 2009 at 2:50pm
Thanks for the info!
Stanislav-Stan: KrTil Comment by Stanislav-Stan: KrTil on March 3, 2009 at 2:39pm
P.S.

For those who are still in the fog, a short test may help. Many people love to pay the tax as told and manipulated into, to support their country, and that's only commendable.

Test your knowledge here:

True or False ?


1. The I.R.S. is a government Agency.

FALSE. It is a private corporation. Incorporated in Delaware 1933.


2. The I.R.S. collects taxes.

FALSE. The IRS collects tribute! Look on the back of any cheque they have ever endorsed. It says, “Pay to the order of F.R.B. (Federal Reserve Bank) to the credit of United States Treasury”. This means that the Federal Reserve is keeping all of the “tax” money that the I.R.S. sends, and is crediting it to the phoney “interest” that the Treasury owes the Federal Reserve. Not one dime is spent in the United States.

3. The Federal Reserve is a Federal Agency.

FALSE. It is an admittedly private corporation, privately held by the 12 families (one American and 11 foreign)


4. The U.S. Congress writes the tax laws of the I.R.S.

FALSE. I.R.S. Attorneys write this junk and Congress merely “rubber stamps” it.


5. Filing a tax return is mandatory according to the law.

FALSE. The I.R.S. tells you in the 1040 instruction book that the tax is voluntary. They also say it is voluntary in every document they have.


6. If I don’t file and pay my taxes, I will go to jail.

FALSE. Over sixty million Americans did not file or pay “taxes” with the I.R.S. last year. Investigate the story of this media created hoax!


7. The I.R.S. is too tough for me to take on.

FALSE. The I.R.S. is the only one person – the one that is contacting you and if you know your rights, you can take that one person “on” easily. Learn and know your rights and they will never contact you again as there will always be plenty of ignorant people to take “care” of instead.


8. Everyone knows that there is a law that you have to file and pay income taxes.

FALSE. Phillip Marsh, author of the best selling “The Complete Patriot” has been unable in 8 (eight) years of research to find such a law. He has now abandoned the search for such a law because the Congressional Research Service (the Agency which researches the law for Congress) can’t find the law either. Ask to see a copy of the letter from Sen. Daniel Inouye (D. Hawaii) which confirms this fact.


9. I like paying taxes and supporting my country

FALSE. Not one dime of the money the I.R.S. bamboozles from you goes to support of this country.

10. I understand the I.R.S. has tax laws that say I have to pay taxes.

FALSE The I.R.S. Code is not a law. Further more the I.R.S. misapplies every law in the I.R.S. Code. The problem stems from the fact that the average “taxpayer” never sees the I.R.S. Code. Have you?

And just so you know, I.R.S. is responsible for three quarters of bankruptcies in the U.S. today. Until you learn where your money is wasted and who digs deep into your pocket you will never accomplish financial independence even when your paycheque from Max will exceed $20,000.00 a month.
Stanislav-Stan: KrTil Comment by Stanislav-Stan: KrTil on March 3, 2009 at 2:27pm
Another $50,000.00 may be added to your business if Ronald R. Mueller, MBA, Ph.D. can honestly research the Income Tax Act and give you straight forward answers. Bellow is the ad offering $50K for those who are in the know. By the way, according to IRS statistics over 40 million Americans do not have taxable income, hence do not pay any income tax.

What do they do different? They just fired their government licensed tax man and either gained the knowledge on their own or hired someone who is knowledgeable, not detrimental to their business. Tax Code has over 7,000 pages to confuse the hell out of you.

I would love to take a shot at those $50K but I do not live in the USA and it would be a waste of time as it is a scam. People love to be victims and to do what everybody else is doing without ever thinking for themselves. Very convenient indeed and extremely tiring at the same time. Then they wonder why 2 million people lost their home, being grateful for a few crumbs falling off the table, while billions are stolen from them right under their noses.

Here is the ad:
$50,000.00
R E W A R D

Is offered to anyone who can show me the following:

1. What statute makes me liable to pay an income tax.
2. How I can file an tax return without waiving my Fifth Amendment protected Rights.

My name is Bill Conklin and I have researched the Internal Revenue Code for twelve years. It is my opinion after extensive research that there is no statute that makes anyone liable for the income tax and that all individuals who file tax return waive their Fifth Amendment protected Rights. The I.R.S. refers to the income tax system as a “voluntary tax system” so they can continue to use the information proffered on 1040 Returns against individuals in criminal cases.

What does the I.R.S. say about me? Mr. Conklin “knows the I.R.S. and I.R.S. procedures inside and out.” (Quote of Russ Vialpando, Special Agent, Denver District Office.)

Write for a free information packet to: N.C.B.A.
P.O. Box 2255
Longmont, CO 80502

My mentor told me many years ago: "Just be observant and aware. Majority of people are so busy making a living, they have no time in the day left to make money, never mind educating themselves. Those who manage to do so are taken to the cleaners. Ignorance is the key ingredient for easy manipulation of the masses."

Respectfully yours

Stan Krtil
www.Health-Wealth-and-Happiness.net

The difference between taxidermist and the tax man is, that taxidermist leaves the skin."
Robert Canchola Comment by Robert Canchola on March 3, 2009 at 2:27pm
Excellent Information in some scary times.
Visit us at www.ThinkBIGGrowFast.com, we help businesses promote their business "and" we need additional Sale & Marketing folks.
Daar Fisher Comment by Daar Fisher on March 3, 2009 at 2:21pm
Oops forget to mention the multiple-$trillions sitting in tax havens that would be repatriated to the U.S. economy under a FairTax system.
Daar Fisher Comment by Daar Fisher on March 3, 2009 at 2:19pm
The most powerful - and ongoing - "stimulus" plan would be to enact H.R. 25, the FairTax Act of 2009. It completely eliminates payroll and income tax on business (compliance of which now is simply passed along in higher consumer prices). It also ends personal income taxes, and ends theI.R.S. These are replaced with a consumption tax (a price-inclusive sales tax, spelled out on retail receipts) at the point of retail purchase. Business-to-business purchases are exempt (as this would have the effect, such as now, of embedding costs in final purchase price).

Passing the FairTax also corrects border-adjustment problems with our exports which now carry embedded inc/payroll taxes in prices. This places American goods, in export markets, at a 22% disadvantage. (Even European VATs permit jettisoning these tax components prior to export.) Imports, and visitors making purchases in the U.S. would help support our country.

As for genuine "fairness," the FairTax has a "prebate" provision that would send every legal resident family a monthly advance rebate on their spending for the month (this is termed a "prebate"). This cash payment (check, or EFT) would be equal to the FairTax rate (23% inclusive) on poverty-level spending for a family and would be calculated based on family SIZE (NOT income). Thus, NO resident of the U.S. would even BEGIN paying taxes until after basic needs are met. This eliminates the need to a TAX CODE replete with credits, exemptions and the tools by which Politicians and Lobbyists cut deals - at your, and my, expense! It also eliminates Congress's "behavior control" (e.g., buy a green car, you get special treatment which everyone else will pay for) - this, of course, was never the intention of our country's founding fathers.

Listen to what Mike Gravel (D) has to say about the fairness of the FairTax.

Most importantly, enactment of the FairTax would make moot, arguable violation of our 4th and 5th Amendment rights under the Constitution. With the dissolution of the present income tax collection system, we would again be secure in our possessions, and we would not have to disclose information that can be used against us in a court. No more threats of audits, interest and penalties brought against average wage-earning working families. If you're not already on board, visit FairTax.org - find out how congressional support has been growing in every session of Congress. Join your local State component. DO IT NOW.

PS Dr. Laurence Kotlikoff believes that only the FairTax will save our economy and provide the growth, and tax base, necessary to overcome the U.S. gov'ts total unfunded obligations which now top $88 trillion - that's up a WHOPPING $35 TRILLION from when Kotlikoff was interviewed!!
Walt Mentzer Comment by Walt Mentzer on March 3, 2009 at 2:18pm
Hey where did my comments go????
SatRa Comment by SatRa on March 3, 2009 at 2:16pm
Thanks Yvonne! This is very helpful info!

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