Home / Taxes / Don’t Spend That Tax Refund. Pony Up More for Next Year.
Print Friendly and PDF

Don’t Spend That Tax Refund. Pony Up More for Next Year.

Written by Gary North on December 28, 2012

Welcome to the AMT: the alternative minimum tax.

The AMT will drop down in 2013 to people who make $65,000 a year or more. It presently hits only people making over $400,000.

Americans have not budgeted for this.

Here are other things they have not budgeted for.

No more deduction for state and local sales taxes. (If you live in a state with no sales tax, no problem.)

No more deduction for college tuition paid for your kids.

No more deduction for mortgage interest insurance.

A little here, a little there: it adds up.

Will the revenues generated balance the federal budget? No.

Is there any hope for balancing the federal budget? No.

Is anyone in Washington in favor of balancing the federal budget? Ron Paul. He leaves office on January 2.

To pay off the national debt, is it enough to balance the budget? No. The government would have to run a surplus.

But if the $16 trillion were paid off, would we be off the hook? No. We are running a real deficit of $11 trillion a year. But it’s not counted.

So, is there no hope? Of course, there’s hope. The government will default on its promises.

But what if the promises were made to you?

Sorry, Charlie.

Continue Reading on blogs.hrblock.com

Print Friendly and PDF

Posting Policy:
We have no tolerance for comments containing violence, racism, vulgarity, profanity, all caps, or discourteous behavior. Thank you for partnering with us to maintain a courteous and useful public environment where we can engage in reasonable discourse. Read more.

7 thoughts on “Don’t Spend That Tax Refund. Pony Up More for Next Year.

  1. Abolish the Federal Reserve, have a debt-free currency issued by the US Treasury and the economy would like up like a Christmas tree. There is no way the national debt can ever be paid off. It's just digits on a monitor that Americans have been convinced is a lawful debt they owe.

  2. Rabelrouser says:

    Actually, they do OWE their "fair share" of the debt, they owe it by contractual obligation under the Uniform Commercial Code which makes all citizens co-debtors. The UCC is the bankruptsy agreement (1933 Geneva convention) that was instituted from the federal government to the states, then to the counties and cities, through incorporation laws. All "statute laws" are justified under the UCC.
    Yes going back to backed currency (gold & silver) would solve the "debt problem" and serve to keep the government from spending more than they actually have. Fiat money, is false currency and is nothing more than a ledger mark; that is what we have today.
    But the average citizen does not want to know this, or learn this. It is too easy to play the political game of blame and party. But because of being un-educated to the truth, they WILL suffer the coming collapse. If they can not confront the politicians with the truth nothing will be fixed, it will only get worse.

  3. ken1lutheran says:

    That's an odd description of the UCC. The UCC is the codification of the commercial laws of the several states, which they are free to modify as they like, not an agreement of the federal government with anyone. Since its enactment is at the state level, it couldn't apply to the federal government unless there's some provision of federal law that enacts rights similar to some article of the UCC as applicable to the US government. I practiced commercial law for many years and this doesn't sound like anything I ever came across.

  4. Make all our politicians take a 10% cut in pay and benefits and apply the savings towards the national deficit and it would be wiped out overnight and get their attention to do their jobs to avoid the so called fiscal cliff

  5. Absolutely untrue. You have no legal background/comprehension or you wouldn't be tossing around words like "contractual obligation". Everything Congress does is by legislation; they can change the law tomorrow and void/invalidate/expunge any "contractual obligation". There has to be meeting of the minds between the parties, consideration and full disclosure of all the terms before you can enter into a "contractual obligation". Anything else would amount to an unconscionable contract.

  6. Rabelrouser says:

    First start with the "Commercial Code that was written to regulate the banks : Regulation Commercial Code- Reg C.C.; then after the Social Security act was implemeted to get the public used to giving "taxes" to the Fed (for their benifit ofcourse), the UCC was adopted by the Incorporated Federal United States of America ( please go to NebraskaRepublic.org to understand the origination of the "Incorporation of the government). Following this up with a study of The Creature from Jykell Island to understand that the Federal Reserve actually wrote those laws that "congress passed".
    The UCC codifys ALL Laws and papers over the prior Common Law into Statute Law. After 1954 ALL states were to adopt the UCC as you stated (Lousianna was the last to adopt in 2005); due to Federal Spending programs that gave the states "Federal Funds. Their compliance for funds was the adoption. I.E. UnConstitutional Spending Programs.
    I have studied this for 25 years and understand as a BAR attorney you were not priviledged to the First Debtor / Creditor Agreement : 1933 Geneva Convention.

  7. Rabelrouser says:

    Please see my previous reply and then study for yourself, the truth is out there, but you have to want to see it.