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IRS Now Wants To Repeal Cell Phone Tax

narramissic writes "Last week the IRS caused an uproar when it requested public comments on ways to clarify a decades-old law, seldom enforced, that would tax personal usage of business cell phones. But IRS Commissioner Doug Shulman said that the request for comments did not mean that the largely ignored rule would now be enforced. 'Some have incorrectly implied that the IRS is "cracking down" on employee use of employer-provided cell phones,' Shulman wrote. 'To the contrary, the IRS is attempting to simplify the rules and eliminate uncertainty for businesses and individuals.' And in fact, the IRS is now recommending that the law be repealed, saying that 'the passage of time, advances in technology, and the nature of communication in the modern workplace have rendered this law obsolete.'"

2 of 124 comments (clear)

  1. It's a pun, dude by smittyoneeach · · Score: 4, Informative
    --
    Get thee glass eyes, and, like a scurvy politician, seem to see things thou dost not.--King Lear
  2. Re:Hey, ya know: screw the dumb stuff by Colonel+Korn · · Score: 4, Informative

    Cool down buddy. Consumption tax flat tax etc are all stupid ideas sold to people like you who are easily persuaded that the grass is greener on the other side. Have you lived in economies that tax goods and services at more than 10%? Can you imagine the kind of tax evasion that goes on, and the parallel cash economy that springs up immediately? How many people you know who evade the simple 5% or 6% local sales tax on the services by the landscaper or the handy man? That is the tax that goes to pay for your own local neighbourhood schools and snow removal. Now imagine how willing they will be to pay a 17% or 22% tax to distant Washington DC? Can you imagine the kind of intrusive systems needed to catch the scofflaws? If you think IRS is intrusive looking at your pay slip, wait till you get IRS demanding you show documentation for having paid tax on your wrist watch and shaving blades.

    Do these right wing nutties have any idea of the dangers of a cash economy? Today, in USA, 1$ in cash is worth 1$ in bank. But 1 million dollars in cash is worth lot less than 1 million dollars properly accounted for in the bank. Black money is worth lot less in USA than white money. That is not the case in Mexico, Phillipines, Pakistan, Bangladesh etc. Once unaccounted money gets decent buying power, then corruption sets in. We are paying pittance for our judges, police chiefs,
    auditors and law enforcers in general. Once cash economy takes root, corrupt people will work their way into every crevice of power and it would exceedingly difficult to get rid of them.
    The source of cash economy is tax evasion. Purely on that account, we should stop drinking the cool aid about consumption tax and such stupid ideas.

    All of Europe lives with a VAT, which is a consumption tax. The rates are usually around 20%. Citizens aren't ever asked to show they paid tax - that's put on the businesses. I've seen more under the table money in the US than in Europe, perhaps because the VAT is so much simpler to enforce across the board. Prices in Europe always include tax - no one shakes their fists at the tax markup, and those who have a problem with it don't seem as upset as the typical American who is upset with the income tax.

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    "I zero-index my hamsters" - Willtor (147206)