There Is No Such Thing As Tax Simplification!

Written by Wayne M. Davies


I'm a little upset right now, so please bear with me. I don't get upset very often - you can always tell because smoke starts coming right out ofrepparttar top of my bald head! - but I'm here to tell ya', this one really has me both laughing and crying atrepparttar 112707 same time!

Recentlyrepparttar 112708 IRS came out with this press release:

IRS Increases Interest/Dividend Threshold Source: Associated Press Publication date: 2002-09-26

WASHINGTON (AP) - More than 15 million taxpayers will be able to skip filing a separate IRS form for interest and dividend income next year under a move announced byrepparttar 112709 tax agency Thursday. Beginning with 2002 returns due next April, most taxpayers won't have to filerepparttar 112710 separate schedule with their 1040 forms if their interest and dividend income is $1,500 or less. That replacesrepparttar 112711 current threshold of $400, which has been in place since 1974.

Taxpayers who file 1040 forms use Schedule B to list interest and dividend payments. Underrepparttar 112712 new rules, millions of taxpayers will simply report their interest and dividend income without filingrepparttar 112713 separate forms.

Charles Rossotti,repparttar 112714 Internal Revenue Service commissioner, estimated that 15 million taxpayers will be no longer have to filerepparttar 112715 extra form.

"We will continue our efforts to reducerepparttar 112716 burden on taxpayers and simplifyrepparttar 112717 tax code," said Pam Olson, acting assistant Treasury secretary for tax policy. END OF PRESS RELEASE

Now, aren't you just thrilled to hear thatrepparttar 112718 IRS, in it's infinite wisdom and undying compassion forrepparttar 112719 American taxpayer, has decided to make life easier for you by changingrepparttar 112720 rules regardingrepparttar 112721 filing requirements for one tax form know as Schedule B? Give me a break!

In case you were just dying to know, Schedule B is a form that you must file with your personal tax return if your total interest and/or dividend income exceeds $400. Now, you only have to file Schedule B if your investment income exceeds $1,500.

Byrepparttar 112722 way, no matter how much investment income you have, ALL taxable investment income must be reported on your tax return. The issue here is whether or not you have to provide a detailed itemized listing of your investment income.

Example: Let's say you have $1,000 of interest income. Underrepparttar 112723 new rules, you can just putrepparttar 112724 $1,000 right on Page 1 of Form 1040. And that's it.

But if you have $2,000 of interest income, you have to complete a separate form (Schedule B) and list each source of that interest income, i.e.repparttar 112725 name of each bank account or other financial institution and how much interest or dividend income you earned from each source.

So because of this simple rule change, about 15 million people will not have to file Schedule B.

And becauserepparttar 112726 IRS has removed this one form fromrepparttar 112727 tax returns of 15 million people, an IRS official hasrepparttar 112728 nerve to make this pronouncement:

Do NOT File a Home Insurance Claim

Written by Stephen Bucaro


---------------------------------------------------------- Permission is granted forrepparttar below article to forward, reprint, distribute, use for ezine, newsletter, website, offer as free bonus or part of a product for sale as long as no changes are made andrepparttar 112706 byline, copyright, andrepparttar 112707 resource box below is included. ---------------------------------------------------------- Do NOT File a Home Insurance Claim

By Stephen Bucaro

You can PAY for home insurance, but don't try to actually USE your home insurance or you may be blacklisted byrepparttar 112708 insurance companies. The home insurance companies only want to TAKE in money, not PAY OUT any money. On Jan. 2, 2003 CBS Evening News exposed a scheme by home insurance companies to blacklist customers who file claims.

According torepparttar 112709 CBS Evening News report,repparttar 112710 insurance industry uses a secret system called CLUE (Comprehensive Loss Underwriting Exchange) to blacklist customers who actually try to use their insurance. The system was originally set up to help companies detect fraud, But now it's being used in a scheme to blacklist customers who use their home insurance.

Several home insurance companies say they are blacklisting customers who file claims because "claim losses outweigh premiums". But consumer advocates say a look atrepparttar 112711 companies financial records shows they are in financial trouble because of big Enron and Worldcom stock market losses.

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