Recent news shows we are heading for a big tax squeeze. The International Monetary Fund expects the big tax squeeze means 10 years of increasing government spending cuts and tax increases, so you need a Tax-Cut-CPA.
Many governments have long been increasing spending far faster than taxes. The Great Recession badly increased the big tax squeeze. The National Conference of State Legislatures says the total state budget gap is $145 billion for the year ending June 2010. The Center on Budget and Policy Priorities says it is $178 billion, twice the $80 billion of the worst 2002 - 2005 recession gap. We cannot sustain the record $1.42 trillion annual U.S. defict. At 10% of Gross Domestic Product(GDP), it is the most since 1945.
The Office of Management and Budget now projects a big tax squeeze, with a $9 trillion 10-year deficit based on 2010 budget proposals The big tax squeze relates to many politicians hiding deficits with accounting gimicks, like the official $117 trillion in off-budget Social Security and Medicare deficits, plus the $12 trillion U.S. national debt. This is $424,000 for each U.S. resident, so we are almost all bankrupt.
The big tax squeeze means that expanding Medicaid, with current healthcare plans, means education cuts, which is exactly what you do not want at times of rapidly increasing global competition. In a few decades the cost of Social Security, Medicare, and Medicaid will explode, causing our true national debt to jump from 55 to 300 percent of GDP
[This and the next paragraph are time and money saving commercials.] Many new health care taxes and federal and state laws stifle businesses. You can fight by converting employees to corporate contractors, independent contractors and outsourcing. We help you in ways that make government agencies unlikely to bother you and represent you in very rare cases where they do. You do not file protest tax returns or no returns. For example, on 11/21/09 employers of 15+ need a Genetic Information Nondiscrimination Act poster, as if you had time or money for genetic test discrimination. More important are Wage and Hour Laws (time and one-half), payroll record keeping, unemployment tax increases of up to 2,600% (see Florida below), the Family Leave (paid vacation) Act and others. Combined posters avoid 6+ posters and up to $17,000 in fines. Our local and remote services do the rest.
My eight-year Secrets of Outsourcing gave me a national magazine cover and more time to cut taxes. It helps if your tax-cut-CPA led many tax cut petition efforts and lawsuits. There was a good personal appearances before the Florida Supreme Court and a Colorado District Court (we won big in the U.S. Supreme Court). There was a crazy run for a county-wide Port Commission and an unlucky win (gave back salary and never let lobbyists buy lunch). QuickBooks 2010, automates try, try and try again tax-cut CPA efforts. I am good at QuickBooks help, as three-time QuickBooks "Ask the Expert" (QuickBooks Errors and Speeding Up QuickBooks Performance). It helps if an Intuit (QuickBooks) CEO writes "You're fantastic Mike, absolutely fantastic!" and may calls for 30 minutes (missed a football championship). I forgive him, as he got a QuickBooks update for ONE friend in five days, a week before Christmas. Did you ever hug an accountant? I get more than a hug a month. For free samples, sign up with the free South Florida QuickBooks Meetup (the largest anywhere, regardless of where you are) or contact me almost 24/7. [end commercial]
President Obama said stimulus spending created or saved 640,329 jobs. A precise number, for a fuzzy concept, raises doubts, especially since unemployment is 10.2%. Estimates of the cost per job actually created range from $71,000 to $323,000, far more than related wages, for a big negative $timulu$.
Florida Unemployment Tax Insanity increases taxes up to 2,600%, for employers with the best employee retention. On 9/30/09, an incredible 46% of single-family homes, in the Miami-Fort Lauderdale area, were worth less the than mortgages on them, This was only 21% nationally, so something is rotten in my tropical paradise. There is little doubt that this and the current Great Recession relate mainly to bi-partisan efforts, encouraging mortgages for unqualified buyers and continuing government dependence.
The big tax squeeze is only part of the Misery Index we had under Carter, when combined interest and inflation rates were around 20%. Even the very Liberal Huffington Post now has a Real Misery Index, which adds unemployment. It rose from 10.9% to 29.9% from June 2007 to June 2009, so even they may soon get smart. Finally, there is the so-called rise in home prices. Home prices are still dropping like a rock relative to gold (the real money) prices.
Once again, each time we find a problem that cries our for a government solution, if examined carefully, we find government caused the problem. Now use a Tax-Cut-CPA like me to minimize your big tax squeeze, so we can work together to restore government sanity.
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