• Start with Social Security on the x-axis. After you file your taxes, you may get a state tax refund or a federal tax refund - or both if you live in a state that taxes income. So you can have a total income in the high five figures, potentially even six figures, and still keep federal income taxes low or even at zero. All quotes are in local exchange time. If nobody paid more taxes, the country would eventually go broke or face inflation, which would be bad for everyone. Her therapist said we’re a toxic family. So people like Warren Buffet are willing to pay higher taxes (that is to say, people who are wealthy and of the same mindset, not necessarily all of the wealthy), however they aren't willing to do so unless everyone who is wealthy does. • On the y-axis, plot the maximum of the “other income” to guarantee zero federal taxes. 8) Which of the following compensation will be subject to graduated rates? So, I support the program not because it feeds the hungry, but because I expect it to feed me if I'm ever hungry. Someone brought this up when I questioned the Libritarian stand point on less goverment yesterday "If people didn't have to pay taxes they would contribute to charities instead to help out those in need" (sorry paraphrasing the exact quote). So I plotted a line for three different cases: 100%/0%, 50%/50%, and 0%/100% in the two income buckets. Because I didn’t want to publish 19 different charts, I just put it all into this animation: I was positively surprised that, even when tapping Social Security, we should be able to keep taxes quite low. I bring this up because I'm not against taxes at the local and state level, but the federal income tax seems a bit excessive. Which of the following statements regarding realized income is true? convoluted formula used to determine how much of your Social Security is taxable income. Honestly no. Capital Gains Tax on sale of land and/or building. That’s old news. Subject to 12% creditable withholding VAT, c. Subject to 15% branch profit remittances tax, d. Exempt from branch profit remittances tax. With no federal government, people stop paying their federal income taxes, naturally. Why? The IRS' timeline to go after non-filers is essentially unlimited. Additional School Building was built and finished on April 1, 2013 at a cost of 2,000,000 with a depreciable life of 50 years. 2) If a branch of a foreign corp. in the Philippines remits passive income earned in the Philippines to the head office, what is the applicable tax on the said transaction?