Tag Archives: income taxes

Tax Freedom Day in Tennessee is here

font--Penalties.JPEG-0f10b

The federal income tax deadline looms, but Tennesseans have reason to celebrate.
As of April 5, Tennesseans collectively had made enough money to pay their total federal, state and local tax bill for 2014, according to the Tax Foundation’s annual Tax Freedom Day calculations.
Tennessee has one of the earliest Tax Freedom Days in the country, according to the Washington, D.C. based think tank’s annual report. Only Louisiana (March 30), Mississippi (April 2), and South Dakota (April 4) achieved tax freedom earlier this year.
For the nation as a whole, Tax Freedom Day arrives on April 21 —  three days later than last year “due mainly to the continuing economic recovery, which will boost federal tax revenue collected through the corporate, payroll, and individual income tax,” according to a news release.
“Arguments can be made for why the collective tax bill is too high or too low, but in order to have an honest discussion, it’s important to understand where we stand,” Tax Foundation economist Kyle Pomerleau said in the release. “Tax Freedom Day gives us a vivid representation of how much we pay for the goods and services provided by governments at all levels.”
Other highlights from the Tax Freedom report:
— Americans will spend more on taxes in 2014 than they will on food, clothing, and housing combined.
— Americans will spend 42 days working to pay off income taxes, 15 days for excise taxes, and 11 days for property taxes.
— Americans will pay $3 trillion in federal taxes and $1.5 trillion in state and local taxes, for a total bill of more than $4.5 trillion, or 30.2 percent of the nation’s income.
The Tax Foundation, which generally is critical of all tax increases, describes itself as a nonpartisan tax research group.
Click here for the full Tax Freedom Day report.

Tennessee has nation’s lowest tax burden


Workers of Tennessee, take the day off. You’ve earned it. While most of the country will work
PAULSON+MONEY.jpg
another two weeks or more to reach Tax Freedom Day, Tennessee workers passed that milestone on March 31, according to the Tax Foundation.


Tennessee has the lowest average tax burden in the country this year, the foundation says.

Tax Freedom Day represents how long it will take the average worker to earn enough money pay his or her total federal, state and local tax obligation for the year. For the nation as a whole, Tax Freedom Day this year comes on April 17.

Continue reading

Where’s your tax refund going?

A survey released by this week by the National Endowment for Financial Education offersthumbnail.aspx.jpeg some interesting insights into how different taxpayers handle their tax refund.

Folks who deliberately have more withheld from their pay in order to get a larger refund are, not surprisingly, a conservative bunch —  49 percent plan to pay down debt and 44 percent plan to salt it away.

Continue reading

The IRS has no sense of humor

Nobody likes paying income taxes, but refusing to pay based on some high-minded moral grounds could cost you a big fine and maybe jail time.

In an effort to keep folks out of the pokey, the IRS today issued its annual warning against using “frivolous tax arguments” to keep from paying Uncle Sam his due.

“Anyone who contemplates arguing on legal grounds against paying their fair share of taxes should first read the 84-page document, The Truth About Frivolous Tax Arguments.

“The document explains many of the common frivolous arguments made in recent years and it describes the legal responses that refute these claims. It will help taxpayers avoid wasting their time and money with frivolous arguments and incurring penalties,” the IRS says in a press release.

Like I said, the feds really don’t have a sense of humor.

Happy Tax Day from the left, right and center

It’s here — the day we love to hate. In honor(?) of tax day, here’s a sampling of tax news and comment from the left, right and center.

Capital Hill blog: Tax Hikes May Feed Short-Term Investing

Knoxville News Sentinel: Think tank: Tennessee state income tax would help fixed-income families

TaxProf Blog: Tax Polls

The Big Picture: Top 400 Taxpayers (I am not on this list)

Planet Money: Why the Private-Equity Guys May Soon Pay More Taxes

Instapundit: No taxation without satirization and More Taxes Or More Jobs — California Shows You Can’t Have Both