From: David Gilchrist <dgilx@mindspring.com>
Date: Thu, 22 May 1997 10:19:45 +0800
To: Ray Arachelian <sunder@brainlink.com>
Subject: Re: Just Say "No" to Congress
Message-ID: <1.5.4.32.19970522020304.006b9780@pop.mindspring.com>
MIME-Version: 1.0
Content-Type: text/plain


At 04:26 PM 5/21/97 -0400, Ray Arachelian wrote:
>On Sun, 18 May 1997, Vladimir Z. Nuri wrote:
>
>> R.A.:
>> >You seem to be misinformed.  You don't send your money to Uncle Sam.  It 
>> >gets taken out of every pay check before you even see it.   Then, come 
>> >April 15, you fill a piece of paper out with the hope you'll get some of 
>> >it back.  But sometimes, Uncle Sam takes even more.

Don't do it.  Work for yourself.  You make four payments a year. 

<snip>

>I myself consult out.  Consulting out means that the money isn't taken 
>out at all.  You just have to pay it back come April 15.  Day job, being 
>a full time job, money gets taken out automagically by the evil agents 
>of the IRS critters.  Consulting money, come the 1099 form, gets taxed 
>after.

Incorporate and you don't even get a 1099.  

>
>So even if you manage to upturn this law and get to keep the money until 
>April 15, it wouldn't affect me much.  IMHO it's much easier if the money 
>gets withheld, then having to pull hairs out doing tax forms come April.
>

Turbotax is hairless, painless and stupid proof. I know. I use it.

>Now if you can somehow repeal income tax, that would be a useful 
>achievement. :)

Consulting out is on the right track.  While you are waiting for the income
tax laws to change, _take advantage_ of what is lawfully available.  Crispin
wouldn't have a clue on this one.  Incorporate.  Any state.  It's cheap.
You can avoid some social security taxes for a system that won't be there in
few years anyway.  Remember when you could refile back a year or two if you
had a bad year (income averaging)?  A corporation can carry a loss back 15
years or *forward* , too, _and_ get a tax refund practically instantly.  It
is imho the levelest playing field available for the individual (wearing the
impenetrable corporate cloak (no shit, bulletproof), impenetrable even by
the irs) against taxation.  As for tax forms in April, use Turbotax.  You
don't have to know shit and it does complicated things for you like
depreciation.  Depreciate your car, your home office etc.  Own your assets
personally and lease them to your corporation.  Rents are free of social
security taxes.  Your car, your office etc.  With a little imagination you
may be able to make it fit your situation. If you're straight salary, _no_
other (reportable) income, you may be pretty much screwed but paying them
when you don't have to doesn't make much sense.
>
<snip>
>> I don't buy into the alienation and cynicism on this list peddled
>> by TCM, truthmonger, et.al., and I suggest that anyone else who
>> does is selling themself short, and in fact part of the problem and
>> not the solution.

That's my point, use them when you can.
>
>"If you're not part of the solution, you're part of the precipitate"  --
>whomever.. Say, whatever you've been smoking,

precipitate

David