Former Starbucks Prez Says: Don't Gut Estate Tax

[Mr. Big Dog 10,747]

Kansas does not and would not tax a refund from their own state as stated by clloyd.

you are confusing state income tax with federal income tax,

You wilthheld 1500 from your income to pay your Kansas income tax. You filed a Kansas return. After filing you see that you over withheld. You file your return, Kansas sends you a 300 dollar refund. You are done with Kansas...no more issues with Kansas this year.

Now you have an income that you previously claimed as part of a deduction on you federal return. You owe the US govt the marginal tax on the 300 that you received and for the year in which you received it.

you're missing it....

it's not that i withhold too much i overpay! hence the refund.

and sure as the sun rises early every year kansas sends me a form 1099-g with the same amount i was refunded the year before

I am missing nothing.

That 1099 is for you to use to file your Federal income tax as the source data to support the taxable incomes on your Fed return....it states the source of your income...it has nothing to so with the state of Kansas...they only issued it, but is not used in any way further with the state of Kansas.

Let's settle this dispute once and for all: While it almost hurts to say it, the fox is right!

[desert_fox 32]

Kansas does not and would not tax a refund from their own state as stated by clloyd.

you are confusing state income tax with federal income tax,

You wilthheld 1500 from your income to pay your Kansas income tax. You filed a Kansas return. After filing you see that you over withheld. You file your return, Kansas sends you a 300 dollar refund. You are done with Kansas...no more issues with Kansas this year.

Now you have an income that you previously claimed as part of a deduction on you federal return. You owe the US govt the marginal tax on the 300 that you received and for the year in which you received it.

you're missing it....

it's not that i withhold too much i overpay! hence the refund.

and sure as the sun rises early every year kansas sends me a form 1099-g with the same amount i was refunded the year before

I am missing nothing.

That 1099 is for you to use to file your Federal income tax as the source data to support the taxable incomes on your Fed return....it states the source of your income...it has nothing to so with the state of Kansas...they only issued it, but is not used in any way further with the state of Kansas.

Let's settle this dispute once and for all: While it almost hurts to say it, the fox is right!

Im sure that the hardest thing that you have ever had to do Reinhard.....hahaha

but thanks

[Ban Hammer 14,656]

link

Is my state income tax refund taxable to Kansas?

If you have reported a previous year's state income tax refund on your current Federal income tax return, you must subtract this on your Kansas return by entering the amount of the refund on Kansas Schedule S, Part A, line A8.

in the meantime, i'll pass on the free vj tax advice

[chri'stina 190]

Kansas does not and would not tax a refund from their own state as stated by clloyd.

you are confusing state income tax with federal income tax,

You wilthheld 1500 from your income to pay your Kansas income tax. You filed a Kansas return. After filing you see that you over withheld. You file your return, Kansas sends you a 300 dollar refund. You are done with Kansas...no more issues with Kansas this year.

Now you have an income that you previously claimed as part of a deduction on you federal return. You owe the US govt the marginal tax on the 300 that you received and for the year in which you received it.

you're missing it....

it's not that i withhold too much i overpay! hence the refund.

and sure as the sun rises early every year kansas sends me a form 1099-g with the same amount i was refunded the year before

I am missing nothing.

That 1099 is for you to use to file your Federal income tax as the source data to support the taxable incomes on your Fed return....it states the source of your income...it has nothing to so with the state of Kansas...they only issued it, but is not used in any way further with the state of Kansas.

Let's settle this dispute once and for all: While it almost hurts to say it, the fox is right!

Im sure that the hardest thing that you have ever had to do Reinhard.....hahaha

but thanks

wow!!

[kaydee457 13]

Let's settle this dispute once and for all: While it almost hurts to say it, the fox is right!

DITTO! Give it a rest already

[Mr. Big Dog 10,747]

[link

Is my state income tax refund taxable to Kansas?

If you have reported a previous year's state income tax refund on your current Federal income tax return, you must subtract this on your Kansas return by entering the amount of the refund on Kansas Schedule S, Part A, line A8.

in the meantime, i'll pass on the free vj tax advice

Do yourself a favor and look at that schedule S - line A8 is where you back that refund out of your federal AGI. What that means is that Kansas wants to make sure that you adjust your AGI as reported on federal 1040 for any prior year KS state refund that you owe fedral tax on so that you're not taxed on it again by the state of Kansas. Just like clloyd, fox and I were saying all along. Thanks for making our point.

Meanwhile, I'll have to decline your offer on the free tax advice. In fact, I don't think I'd want that tax advice from you if you offered to pay me for it.

[Ban Hammer 14,656]

[link

Is my state income tax refund taxable to Kansas?

If you have reported a previous year's state income tax refund on your current Federal income tax return, you must subtract this on your Kansas return by entering the amount of the refund on Kansas Schedule S, Part A, line A8.

in the meantime, i'll pass on the free vj tax advice

Do yourself a favor and look at that schedule S - line A8 is where you back that refund out of your federal AGI. What that means is that Kansas wants to make sure that you adjust your AGI as reported on federal 1040 for any prior year KS state refund that you owe fedral tax on so that you're not taxed on it again by the state of Kansas. Just like clloyd, fox and I were saying all along. Thanks for making our point.

Meanwhile, I'll have to decline your offer on the free tax advice. In fact, I don't think I'd want that tax advice from you if you offered to pay me for it.

i'm glad you understood it that way. it was intended to mean i'll pass on the advice in here and i'll stick with the legal people's opinion on post. they are on the hook for it as they do my taxes every year.

[clloyd 0]

Did subtract take on a new meaning from the last time I checked?

[Mr. Big Dog 10,747]

Did subtract take on a new meaning from the last time I checked?

Charles has apparently never actually filed taxes so he doesn't know what's going on...

[Ban Hammer 14,656]

Did subtract take on a new meaning from the last time I checked?

Charles has apparently never actually filed taxes so he doesn't know what's going on...

actually, you're right. i don't file them. the tax center on base does

[*Robert* 2]

I'm glad I know how to do my own taxes.

[Don_Joy's Prince 0]

The estate tax is still on the agenda within the halls of the U.S. Congress.

In our nation's capital, after Congress failed by several votes in June to abolish the federal estate tax, the Senate will soon consider a bill to gut the law and dramatically reduce the tax.

This change would be a mistake. Our federal inheritance taxes raise substantial revenue exclusively from those most able to pay -- the heirs and heiresses of multimillionaires and billionaires. The federal tax will raise over $1 trillion in the coming 15 years.

Paying an estate tax is one of the ways that those of us who have accumulated wealth in our society re-fertilize the garden of opportunity that we have benefited from. As an individual and former executive at Starbucks, I know the hundreds of ways our society's investments have helped my company and me. None of us exists on an island -- and no wealth can be created without a society that provides a fertile ground of opportunity.

I don't sympathize with the wealthy families that have spent millions to abolish the estate tax. Passing on unlimited inheritances is not only bad for our children but also unhealthy for a democracy to tolerate concentrations of hereditary wealth and power. It is more important to give our kids educational opportunities and encourage them to make their own way in the world of work. I have a moral responsibility to all the children in our society, not just my own, to ensure access to quality education.

The advocates of repeal talk about how the tax threatens family farms and small businesses. A responsible reform of the federal estate tax will assist closely held family businesses and farms that might be squeezed by the tax. It is irresponsible, however, to let a few hundred households drive a debate over our state and national tax systems.

In the coming week, the U.S. Senate will likely vote on an estate tax proposal that will effectively gut the federal estate tax. This proposal will probably raise the amount of wealth exempted from $4 million for a couple to something like $10 million, and significantly cut the rate from its current level of 46 percent. This kind of proposal would cost hundreds of billions of dollars over the decade following repeal, and would closely approximate the negative budgetary effects of full repeal.

National anti-tax groups are exerting enormous pressure on U.S. senators who oppose gutting the tax. Such tactics have no place in a dignified and honest dialogue about an important policy matter. Their proposed law change includes pairing an estate tax cut with popular tax breaks that expired last year. Tying the extension of these unrelated tax cuts to the estate tax is but a form of political pressure. Hopefully we will be able to see through the subterfuge to understand the vital issues at stake.

The key question is, why now? With an $8.5 trillion federal debt, it seems an odd time to give the super-haves another tax break. How would we replace $774 billion in lost revenue? What will this do to our investments in equality of opportunity?

When we eliminate or dramatically reduce the most progressive tax in our state and federal systems, we effectively shift the tax burden from the wealthy to others. The estate tax should be responsibly reformed, but not gutted. We should preserve the fundamental framework of the tax -- and the substantial revenue it generates.

I agree with Bill Gates, Sr., that the estate tax is a "gratitude" or "grateful heirs" tax. Financially fortunate individuals like myself have a responsibility to pay back society in many forms, including charitable giving. But we also have an obligation to pay an inheritance tax. When the revenue is linked to important services like education and health care, the matter is crystal clear.

Howard Behar is the former president of Starbucks International. These are his own personal views and do not represent those of Starbucks.

I don't give a care what he thinks. It is an immoral tax to steal someones money after he dies! It's the principle.

[Trumplestiltskin 5,791]

I dunno - regardless of the threshold I think estate taxes are fundamentally unfair.

[Dr. Obvious 49]

Wow, blast from the past.

[dalegg 143]

Wow, blast from the past.

Hey, you were married on my 37th birthday!