Do you cheat on your tax?
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Do you cheat on your tax? (by Homer [TX]) Dec 3, 2017 12:17 PM
       Do you cheat on your tax? (by RathdrumGal [ID]) Dec 3, 2017 12:32 PM
       Do you cheat on your tax? (by Deanna [TX]) Dec 3, 2017 12:43 PM
       Do you cheat on your tax? (by Oregon Woodsmoke [ID]) Dec 3, 2017 1:08 PM
       Do you cheat on your tax? (by S i d [MO]) Dec 3, 2017 1:18 PM
       Do you cheat on your tax? (by Sisco [MO]) Dec 3, 2017 1:20 PM
       Do you cheat on your tax? (by Julie [KS]) Dec 3, 2017 1:22 PM
       Do you cheat on your tax? (by David [MI]) Dec 3, 2017 2:05 PM
       Do you cheat on your tax? (by Kyle [IN]) Dec 3, 2017 2:06 PM
       Do you cheat on your tax? (by LisaFL [FL]) Dec 3, 2017 2:08 PM
       Do you cheat on your tax? (by Bill [NC]) Dec 3, 2017 2:09 PM
       Do you cheat on your tax? (by myob [GA]) Dec 3, 2017 2:21 PM
       Do you cheat on your tax? (by Dave [MO]) Dec 3, 2017 2:35 PM
       Do you cheat on your tax? (by Paulio [PA]) Dec 3, 2017 2:39 PM
       Do you cheat on your tax? (by Shelby [IA]) Dec 3, 2017 3:02 PM
       Do you cheat on your tax? (by Beth [WI]) Dec 3, 2017 3:42 PM
       Do you cheat on your tax? (by cjo'h [CT]) Dec 3, 2017 3:50 PM
       Do you cheat on your tax? (by LisaFL [FL]) Dec 3, 2017 3:58 PM
       Do you cheat on your tax? (by Colin [CO]) Dec 3, 2017 4:00 PM
       Do you cheat on your tax? (by David [MI]) Dec 3, 2017 4:01 PM
       Do you cheat on your tax? (by David [MI]) Dec 3, 2017 4:03 PM
       Do you cheat on your tax? (by Robert J [CA]) Dec 3, 2017 4:26 PM
       Do you cheat on your tax? (by Roy [AL]) Dec 3, 2017 4:31 PM
       Do you cheat on your tax? (by NE [PA]) Dec 3, 2017 4:44 PM
       Do you cheat on your tax? (by NE [PA]) Dec 3, 2017 4:53 PM
       Do you cheat on your tax? (by WMH [NC]) Dec 3, 2017 5:03 PM
       Do you cheat on your tax? (by Homer [TX]) Dec 3, 2017 5:04 PM
       Do you cheat on your tax? (by LisaFL [FL]) Dec 3, 2017 5:09 PM
       Do you cheat on your tax? (by cjo'h [CT]) Dec 3, 2017 10:26 PM
       Do you cheat on your tax? (by Roy [AL]) Dec 4, 2017 2:07 AM
       Do you cheat on your tax? (by myob [GA]) Dec 4, 2017 4:56 AM
       Do you cheat on your tax? (by razorback_tim [AR]) Dec 4, 2017 5:16 AM
       Do you cheat on your tax? (by WMH [NC]) Dec 4, 2017 5:26 AM
       Do you cheat on your tax? (by David [MI]) Dec 4, 2017 6:21 AM
       Do you cheat on your tax? (by Robin [WI]) Dec 4, 2017 6:57 AM
       Do you cheat on your tax? (by LisaFL [FL]) Dec 4, 2017 8:18 AM
       Do you cheat on your tax? (by S i d [MO]) Dec 4, 2017 11:09 AM
       Do you cheat on your tax? (by BRAD 20,000 [IN]) Dec 4, 2017 12:24 PM
       Do you cheat on your tax? (by David [MI]) Dec 4, 2017 12:42 PM
       Do you cheat on your tax? (by cjo'h [CT]) Dec 4, 2017 2:35 PM
       Do you cheat on your tax? (by Luba [NY]) Dec 4, 2017 5:18 PM
       Do you cheat on your tax? (by Wilma [PA]) Dec 6, 2017 9:48 AM
       Do you cheat on your tax? (by Pmh [TX]) Dec 6, 2017 3:01 PM
       Do you cheat on your tax? (by Ray-N-Pa [PA]) Dec 7, 2017 6:36 AM

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Do you cheat on your tax? (by Homer [TX]) Posted on: Dec 3, 2017 12:17 PM
Message:

That's right. I asked if as a landlord, do you cheat on your taxes? I recently had a driveway replaced, while waiting on the concrete to set, I was chatting with the contractor. Turns out he has about a dozen units in the hood. They all pay in cash, he collects is person, which is way opposite from what I do. Anyway, the conversation went toward paying taxes. I found out I was a "da@n fool " for paying taxes on my earnings from the rentals. As I record every penny I take in, and it ends up on my taxes, and pay dearly each year for my honesty. So how about the rest of you ? Are you honest in your reporting? Oh, and no, I won't be using this tax cheat again. --75.141.xxx.xxx




Do you cheat on your tax? (by RathdrumGal [ID]) Posted on: Dec 3, 2017 12:32 PM
Message:

No, I do not cheat on my taxes. That being said, I do try to take every legal deduction. And I 1099 my contractors.

I have also known LLs who claim they never buy toilet paper or light bulbs for their homes -- they all buy it under their rentals. The person who told me this was a nurse married to an anesthesiologist, who was already making well into the 6 figures in the 1990s. They divorced a few years later, as it was more than his taxes he was cheating on.

Once a cheat, always a cheat.

--98.146.xxx.xx




Do you cheat on your tax? (by Deanna [TX]) Posted on: Dec 3, 2017 12:43 PM
Message:

I like only having one set of facts to keep track of. --166.137.xxx.xx




Do you cheat on your tax? (by Oregon Woodsmoke [ID]) Posted on: Dec 3, 2017 1:08 PM
Message:

The IRS has no sense of humor and the only reason they don't terrify me is I know I can account for every penny of expense and income since, like, forever. --174.216.x.xx




Do you cheat on your tax? (by S i d [MO]) Posted on: Dec 3, 2017 1:18 PM
Message:

No, and I won't rent to anyone with "under the table" income or use contractors who don't report income either. Not only is it immoral, but also if they'll cheat Uncle Sam and their fellow American tax payers they will also cheat me. --173.19.xx.xxx




Do you cheat on your tax? (by Sisco [MO]) Posted on: Dec 3, 2017 1:20 PM
Message:

Ditto what Sid said. --72.172.xxx.xx




Do you cheat on your tax? (by Julie [KS]) Posted on: Dec 3, 2017 1:22 PM
Message:

This is kinda funny because it seems like around here those that complain the most that schools are underfunded are the ones who are tagging their vehicles out of state, don't own property & pay no property tax, basically do everything they can to avoid paying any kind of tax including not working.

I got better things to do than dodge the tax man. While I take every advantage I can I don't need the stress of wondering when it's gonna hit the fan at the IRS in my name. --63.245.xxx.xxx




Do you cheat on your tax? (by David [MI]) Posted on: Dec 3, 2017 2:05 PM
Message:

Tax laws aren't like laws against murder, rape, or theft. It has no basis in universal right or wrong, it is simply a law passed in a democracy. It may be illegal, but it's certainty not immoral.

And I take the view that tax laws are, like other laws, only bad to break in as far as the IRS can nab you for it, and even then only as bad as the penalties would be. (Robert J has told stories of tenants snitching on the IRS claiming he didn't report his rental income, that is evidence)

The IRS isn't going to open a full investigation into whether that roll of TP you used in your rental or in your own house . Same if a deduction was attributed to one house when it was supposed to be depreciated as startup costs for another house. There's no paperwork to prove any of these. --50.4.xxx.x




Do you cheat on your tax? (by Kyle [IN]) Posted on: Dec 3, 2017 2:06 PM
Message:

I record and report all my income and expenses accurately. I do work to track and claim all available deductions, but I do not under-report income or over-report expenses.

Just got an application with a letter from the applicant's manager attached explaining this person really makes much more than is shown on the pay stubs because they do not report most of their tips. --73.102.xxx.xx




Do you cheat on your tax? (by LisaFL [FL]) Posted on: Dec 3, 2017 2:08 PM
Message:

I have found that many, many people do this. It sometimes makes me feel like the chump reporting every penny.

I have used a light bulb or cleaning supply billed to the rentals on occasion but that's about the extent of it. Then again I rent out 2/3rds of my residence and claim all the income but only 2/3rds of the expenses. I find several missed receipts each year so it still balances out in the IRS's favor. I 1099 everyone I'm supposed to as well.

I've been offered a 10 to 20 percent discount to pay in cash but it's not even worth considering since my ability to write it off saves me more than that due to my tax bracket. And it leaves a bad taste in my mouth being asked. Then again the way small businesses are taxed I don't really blame them for asking. --173.170.xxx.xxx




Do you cheat on your tax? (by Bill [NC]) Posted on: Dec 3, 2017 2:09 PM
Message:

The IRS sent me a letter a few years ago saying that I owed them almost $9,000.00. Went to the local IRS office with all my records and proved that I did not. Got a letter about 2 weeks later telling me my tax liability was $00.00 --76.0.xxx.xxx




Do you cheat on your tax? (by myob [GA]) Posted on: Dec 3, 2017 2:21 PM
Message:

does the name leona hemsley mean anything to anyone here? --99.103.xxx.xxx




Do you cheat on your tax? (by Dave [MO]) Posted on: Dec 3, 2017 2:35 PM
Message:

Nope, my account's bookkeeper tracks all my transactions and has a spreed sheet for each house.. All subs are 1099 or they don't do any work for me. I would not want that liability. Agree with what Sid said.

--72.24.xx.xx




Do you cheat on your tax? (by Paulio [PA]) Posted on: Dec 3, 2017 2:39 PM
Message:

I wonder if the same people who say they never cut corners on income taxes also purchase each and every permit their municipalities require. By failing to buy a permit not only are you depriving your local government of the permit fee, but you are also avoiding a trigger that would raise your property taxes. So you may be moral with the feds, but with the locals, not so much. --50.107.xxx.xxx




Do you cheat on your tax? (by Shelby [IA]) Posted on: Dec 3, 2017 3:02 PM
Message:

I donít lie but my mom cleans houses for a living and doesnít report everything she earns so she doesnít have to pay into taxes as much as she should. --173.26.xxx.xx




Do you cheat on your tax? (by Beth [WI]) Posted on: Dec 3, 2017 3:42 PM
Message:

If federal taxes were collected through a VAT tax instead of on income, then the tax cheats would be paying tax.

I suspect that a substantial number of trades people do many, if not all, of their side jobs for cash.

And, no, I do not cheat on my taxes. If anything, I overpay when I do not include an expense. --24.177.xxx.xx




Do you cheat on your tax? (by cjo'h [CT]) Posted on: Dec 3, 2017 3:50 PM
Message:

Hell no,back where I come from in the North of Ireland,you'ld be shot for doing a lot less. As far as taking out permits for doing work,I never do,I always do the work first,then if they come after me,I'll take out one under duress.just found a copy of one from 1984,From doing some brickwork.Great memories!Charlie......................there are more things more important than Permits...................................don't know what,but there just is.............. --174.199.xx.xx




Do you cheat on your tax? (by LisaFL [FL]) Posted on: Dec 3, 2017 3:58 PM
Message:

Paulio, good point.

In my area non-owner occupied owners are treated grossly unfairly from a property tax stance. As an example I remember one year my taxes on a 800 sq.ft. 2/1/1 were $1800. The owner occupied house next door, a 1200 sq ft. 3/1/1 property taxes were $800.

So I'm not feeling too sorry for my county losing out on a permit fee here and there. Especially when the requirements are over the top. Can't replace a fence section without a permit or one window. Not to mention the process for obtaining it and then having to waste an eight hour day hanging out for an inspector who is pretty much worthless come to do the final inspection. So for some things like a roof or whole air conditioner, it makes sense. Other things, I'll take my chances. I can't very well leave a tenant for several days without a toilet or water heater. They don't work for our benefit.

--173.170.xxx.xxx




Do you cheat on your tax? (by Colin [CO]) Posted on: Dec 3, 2017 4:00 PM
Message:

"The difference between tax avoidance and tax evasion is the thickness of a prison wall"

--73.169.x.xx




Do you cheat on your tax? (by David [MI]) Posted on: Dec 3, 2017 4:01 PM
Message:

LisaFL, you're looking at it the wrong way. You should look at it as the owner occupied house getting a break on property taxes. --50.4.xxx.x




Do you cheat on your tax? (by David [MI]) Posted on: Dec 3, 2017 4:03 PM
Message:

No different than banks charging different rates and terms, or insurance companies charging different premiums --50.4.xxx.x




Do you cheat on your tax? (by Robert J [CA]) Posted on: Dec 3, 2017 4:26 PM
Message:

I don't have to cheat on my taxes, they are so complicated that when being audited, the IRS get's it wrong the first 2 out of three times....

My brother a CPA, MBA and Economist went to tax court 5 or 6 times on the same issues. Until he called a tax judge an idiot, he finally won and set precedence in tax code. He was not allowed to present the evidence, the court had to look it up for themselves and their library was incomplete so it took some time for them to purchase the right books... --47.156.xx.xx




Do you cheat on your tax? (by Roy [AL]) Posted on: Dec 3, 2017 4:31 PM
Message:

Now, Homer my friend,...did you really expect someone here would actually confess to cheating on their income and taxes? This is one of those posts I always wanted to make but just didn't have the nerve to post it. Glad it was you and not me.

Many years ago, I once heard a statistic that if every American reported their true income and paid every dime in taxes they actually owed,...there would enough money to pay-off the multi-trillion dollar national debt.

I will admit that I report all of my rental income. It is painful, but I do it. Like Deanna, I only want one set of facts to deal with. Besides, I am not a very good liar.

I have a CPA that does my tax accounting and whatever he says I owe, I bite the bullet and pay it. Even estimated tax too. --68.63.xxx.xxx




Do you cheat on your tax? (by NE [PA]) Posted on: Dec 3, 2017 4:44 PM
Message:

Paulio, I think there's more at stake with the Feds than local municipalities.

All of my business stuff is ran through QB, reviewed by the book keeper and finalized by my accountant.

I report all income for another reason too. My bank wants to see high income, so it behooves me to report it.

I want the IRS stuff right. I could care less about the local stuff. --50.107.xxx.xxx




Do you cheat on your tax? (by NE [PA]) Posted on: Dec 3, 2017 4:53 PM
Message:

Actually, the only thing that really confuses me are meals.

I expense out meals when I eat out while working on rentals. Some people say no. Some people say yes. Some people say if it's under a certain amount, then it's fine.

I do it and let the accountant figure it out. --50.107.xxx.xxx




Do you cheat on your tax? (by WMH [NC]) Posted on: Dec 3, 2017 5:03 PM
Message:

Don't mess with the IRS. --74.110.xxx.xx




Do you cheat on your tax? (by Homer [TX]) Posted on: Dec 3, 2017 5:04 PM
Message:

Roy, lol, I honestly didn't expect but one or two responses. Truth be told, my income taxes are pocket change compared to my property tax. This year I will almost hit 100k in taxes due my local Goverment. That's the one that really hurts. There is no way of getting around those, at least not that I have found, besides protesting every year. It is what the man says it is. --75.141.xxx.xxx




Do you cheat on your tax? (by LisaFL [FL]) Posted on: Dec 3, 2017 5:09 PM
Message:

DavidMI, more of them not paying their fair share at the expense of renters. The difference is arguably too extreme considering they each receive the same benefits. But yes, a benefit, at the expense of others. Unfair taxation, nothing new. --173.170.xxx.xxx




Do you cheat on your tax? (by cjo'h [CT]) Posted on: Dec 3, 2017 10:26 PM
Message:

Myob,Yes I remember Leona Helms ley,where the idiot tried to make a name for himself by picking on an easy mark...Charlie.....................................................................didn't go quite the way he thought.................................. --174.199.xx.xx




Do you cheat on your tax? (by Roy [AL]) Posted on: Dec 4, 2017 2:07 AM
Message:

According to my CPA, the IRS assumes everyone is guilty until proven innocent. Yes, you read that correctly, you are guilty until proven innocent. And the IRS can make your life miserable with constant never ending tax audits. Again, coming directly from my CPA, 'you do not want the IRS on your a$$',...please trust me here'. Just do the right thing and report your correct income and expenses. --68.63.xxx.xxx




Do you cheat on your tax? (by myob [GA]) Posted on: Dec 4, 2017 4:56 AM
Message:

cjo'h CT of course you would she was from CT also. Wasn't she also called the Queen of mean? by her employee's? --99.103.xxx.xxx




Do you cheat on your tax? (by razorback_tim [AR]) Posted on: Dec 4, 2017 5:16 AM
Message:

I do not. I view tax cheats as people who are stealing directly from me because everyone who pays correctly could pay less if everyone paid what they owe. My personal observation of people who openly admit that they underreport their income is that they wonít think twice about cheating you in business dealings either. --70.182.xx.xx




Do you cheat on your tax? (by WMH [NC]) Posted on: Dec 4, 2017 5:26 AM
Message:

Our CPA looks to find and take every deduction we legally qualify for under the law. I don't want to pay one penny more in taxes than I have to. And as RE investors, there are a lot of legal deductions not available to ordinary W-2 income earners. So to deliberately hide income or lie about expenses? I couldn't sleep at night for worry of retribution.

The "one set of facts" statement noted above definitely applies to us, too. --74.110.xxx.xx




Do you cheat on your tax? (by David [MI]) Posted on: Dec 4, 2017 6:21 AM
Message:

LisaFL, who is "more of them"? In MI, the local and state govt is very good about policing abuses of primary residence exemption on property taxes. Each person only gets one ... --12.156.xxx.xx




Do you cheat on your tax? (by Robin [WI]) Posted on: Dec 4, 2017 6:57 AM
Message:

Oh, to collect rents and not pay taxes on them! Yes, that would be wonderful. But since I have a perspective that extends beyond this life, the short-term benefit is FAR outweighed by the eternal downside.

In the meantime, I'm working on moving assets into Roth IRAs so I can collect rent and not pay taxes on them legally! --204.210.xxx.xxx




Do you cheat on your tax? (by LisaFL [FL]) Posted on: Dec 4, 2017 8:18 AM
Message:

David MI, More "like them" not paying their fair share.....

Not more "of them"

I didn't mean to be unclear.

Owner occupied the way it's done in our area is grossly unfair.

Another house I purchased back in 2003 for $72,000, the owners annual tax bill was $243.00. My tax bill is 2004 was $1300.00. If the owner still owned the home their bill would likely now be around $300. Mine is $1700. Exampt same benefits and services being received. I should not be paying over 500% more for the exact same thing. Perhaps 50% is reasonable. Non-owner occupied, and second home owners bear the burden. --173.170.xxx.xxx




Do you cheat on your tax? (by S i d [MO]) Posted on: Dec 4, 2017 11:09 AM
Message:

LisaFL,

I noticed a similar phenomenon with the utility company. They have "business" rates vs. "residential rate".

Businesses have costs which they must exceed with revenues, or they go out of business. Where does the revenue come from? Their customers! It's sort of silly to boost rates on businesses because the customers end up paying it anyway. The same is true with your rental taxes. You have to raise rates to cover the taxes, which will be paid--ultimately--by the renter.

I get a chuckle when folks say, "If you rent it's the land lord who has to pay the taxes, maintenance, and insurance." Maybe that is true for a land lord who hasn't got enough sense to run a profitable investment, but I "bake" the costs of all three of those item (plus CapEx, lawn care, compliance with city rules and ordinances, management, income taxes, and profit margin) into my rents. My renters do pay all of those charges, just not line item by line item.

Same folks talk about how $15/hour wages will "help" the poor. Clearly they never passed high school level Economics. $15/hour minimum wage helps ME, because I rent to minimum wage renters, often. I will absolutely raise my rents not only to cover the increased expenses of my labor and supplies, but also because there will be more people running around with a lot more money...so charge 'em whatever the market will bear. I'd love to raise my $600/month rents to $750-$900/month, and I would too! Pay off my mortgages with artificially inflated rents!

Try to explain this to a person who claims to be politically progressive and favors rapid, significant minimum wage increases. Watch their heads slowly start to melt as the implications for all of it sets in.

--173.19.xx.xxx




Do you cheat on your tax? (by BRAD 20,000 [IN]) Posted on: Dec 4, 2017 12:24 PM
Message:

I find it easier and cheaper to pay the tax than to try and wiggle around it.

We had a simple error on a return but the fines, penalties, 6!! hours on hold, letters back and forth, they never could find the check they signed for...all over a $600 math error.

My solution: make more money.

Make enough money you don't care how big the tax bill is.

I now pay more in income tax, even after all the legit RE deductions, than I used to gross on my job.

BRAD --68.51.xx.xxx




Do you cheat on your tax? (by David [MI]) Posted on: Dec 4, 2017 12:42 PM
Message:

In MI, the term for lower prop taxes on owner occupied property is PRE, Principle Residence Exemption. Which perfectly clarifies the point , to provide an exemption from regular property tax rates. It provides encouragement for people to buy their own homes.

More to the point , it's not meant to tax businesses as second and vacation homes also have to pay the higher property tax. Sid, not everything is meant to shivv small businesses. --12.156.xxx.xx




Do you cheat on your tax? (by cjo'h [CT]) Posted on: Dec 4, 2017 2:35 PM
Message:

Myob,you're right,Didn't think of that.I never worked under her, probably never could have,would have told her where to go. NE, never had a problem with buying lunch out,always took the little box.then you knew what you were eating,you never really knew what the catch of the day was? ? ? ? Did you? ? ? Charlie.....................remember that little dog that got hit with the F150....................................... --174.199.xx.xx




Do you cheat on your tax? (by Luba [NY]) Posted on: Dec 4, 2017 5:18 PM
Message:

We are reporting every dollar. Need to show a bank that we are making money on rental, so bank will give new mortgage for the future property. --69.120.xxx.xxx




Do you cheat on your tax? (by Wilma [PA]) Posted on: Dec 6, 2017 9:48 AM
Message:

We don't. I actually got into an argument with a tax accountant when he took the $250 teacher's deduction for us when we had not given him any receipts (hubby didn't have any expenses that year). "But he's a teacher, and it's a gimmee - they (IRS) never ask for those receipts!" he said. Last time I used him to do my taxes!

--71.175.xxx.xxx




Do you cheat on your tax? (by Pmh [TX]) Posted on: Dec 6, 2017 3:01 PM
Message:

Homer: how do you spell your last name - IRS wants to know so they can pay me big whistle blower $. Iíll split 20% back to you. thx. --104.218.xxx.xx




Do you cheat on your tax? (by Ray-N-Pa [PA]) Posted on: Dec 7, 2017 6:36 AM
Message:

I hope I am not cheating on my taxes. I wish I could come out with a certain specific answer. My tax return is over 500 pages in size. If I would give the same facts and data to 10 CPAs, I would come up with 10 different answers. There is a problem with that.

I do use strategies to lower my tax obligation, but I don't call that cheating. It is business planning. I just wish the standards were easier to understand even by the experts, because they can't agree on a best final tax number for me.

I am glad to see the system get overhauled, but I don't know if it will mean my final tax number is more exact. I wish it was

--24.101.xxx.xxx



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