Whatta great CON! Cash 4 Clunkers rebates are TAXABLE INCOME!!!

[Midnight Marauder]

Ya KNEW there had to be a catch!

Whoops! Cash For Clunkers Payments Are Taxable!

Some of the drivers that bought new cars through cash for clunkers are learning that it wasn't quite the deal they hoped for. But many of those cashing in on the clunkers program are surprised when they get to the treasurer's office windows. That's because the government's rebate of up to $4500 dollars for every clunker is taxable.

"They didn't realize that would be taxable. A lot of people don't realize that. So they're not happy and kind of surprised when they find that out," Nelson said.

That'll leave a bad taste in some mouths!

I'm gonna need OXYGEN to get through this laugh.... Be back later after I recover..... Can barely type.... They wanna also run our health care..... can't stand it will be back later....

 

[Oldandtired]

I will say this........it was not made obvious to the people.

The gpovernment did what they chastised the credit card companies for doing....put the imp-ortant stuff in the fine print.

 

[Ravi]

Wow, in my town that would be a whopping $270. The horror.

 

[Midnight Marauder]

Wow, in my town that would be a whopping $270. The horror.

Yeah! That makes it a-okay that our federal tax dollars are going into state and local coffers by way of this boondoggle!

You should send them double ravi, you seem to like getting the greased pole so much!

 

[Ravi]

Wow, in my town that would be a whopping $270. The horror.

Yeah! That makes it a-okay that our federal tax dollars are going into state and local coffers by way of this boondoggle!

Not quite, nice try.

 

[ba1614]

Wow, in my town that would be a whopping $270. The horror.

$270 is still $270 to me, and it could be a whole lot more if it's enough to put them in another tax bracket!

 

[Midnight Marauder]

Wow, in my town that would be a whopping $270. The horror.

Yeah! That makes it a-okay that our federal tax dollars are going into state and local coffers by way of this boondoggle!

Not quite, nice try.

Then what? You're reflexively defending this by trying to make it sound like it's no big deal! It's perfectly okay with you, correct?

Yes.

 

[Ravi]

Wow, in my town that would be a whopping $270. The horror.

$270 is still $270 to me, and it could be a whole lot more if it's enough to put them in another tax bracket!

It's sale tax, not federal income tax. You guys aren't too bright, are you? Oh, wait...you proved that with four years of Bush.

 

[Ravi]

Yeah! That makes it a-okay that our federal tax dollars are going into state and local coffers by way of this boondoggle!

Not quite, nice try.

Then what? You're reflexively defending this by trying to make it sound like it's no big deal! It's perfectly okay with you, correct?

Yes.

Why wouldn't it be okay? You pay sales tax on the full purchase price, no matter who pays the purchase price. It's not rocket science...but tell me, why would you want to rip off your state? Most states are hurting for tax revenues these days.

 

[Midnight Marauder]

Wow, in my town that would be a whopping $270. The horror.

$270 is still $270 to me, and it could be a whole lot more if it's enough to put them in another tax bracket!

It's sale tax, not federal income tax. You guys aren't too bright, are you? Oh, wait...you proved that with four years of Bush.

Idiot, we KNOW it's state and local taxes. So not only do you have the registration, state and local tax on the car, now you also have the taxes on the c4c rebate from the gubmint!

And they want to run our HEALTH CARE next!

And it only took eight replies for one of the Obamaphiles to evoke BOOOOOOOOOSH!!!

 

[Meister]

Yeah! That makes it a-okay that our federal tax dollars are going into state and local coffers by way of this boondoggle!

Not quite, nice try.

Then what? You're reflexively defending this by trying to make it sound like it's no big deal! It's perfectly okay with you, correct?

Yes.

No matter what this administration throws at the American people, Ravi is going to be good with it.

 

[ba1614]

Wow, in my town that would be a whopping $270. The horror.

$270 is still $270 to me, and it could be a whole lot more if it's enough to put them in another tax bracket!

It's sale tax, not federal income tax. You guys aren't too bright, are you? Oh, wait...you proved that with four years of Bush.

According to the article it could be taxed as income

 

[Midnight Marauder]

Not quite, nice try.

Then what? You're reflexively defending this by trying to make it sound like it's no big deal! It's perfectly okay with you, correct?

Yes.

Why wouldn't it be okay? You pay sales tax on the full purchase price, no matter who pays the purchase price. It's not rocket science...but tell me, why would you want to rip off your state? Most states are hurting for tax revenues these days.

Strawman argument. The GOVERNMENT is ripping YOU off, by not making this rebate non-taxable! Because they didn't think it through.

And by the way, my state doesn't collect any state income tax, and is IN THE BLACK as in, SURPLUS.

 

[Ravi]

$270 is still $270 to me, and it could be a whole lot more if it's enough to put them in another tax bracket!

It's sale tax, not federal income tax. You guys aren't too bright, are you? Oh, wait...you proved that with four years of Bush.

Idiot, we KNOW it's state and local taxes. So not only do you have the registration, state and local tax on the car, now you also have the taxes on the c4c rebate from the gubmint!

And they want to run our HEALTH CARE next!

And it only took eight replies for one of the Obamaphiles to evoke BOOOOOOOOOSH!!!

The federal government cannot regulate state sales and income tax. I certainly hope you aren't advocating that. If you weren't so afraid to visit cars.gov you'd have known this ahead of time.

 

[ba1614]

Just another "unintended consequence" of ill planned ideas.

 

[Vast LWC]

Now, I'm not saying that what you linked isn't factual information, but the source is some guy's blog on a web site...

Plus, the $4500.00 is not "taxable income" as far as federal taxes are concerned is it? Which makes the OP, as well as the source blog article, a bit on the misleading side.

After all, if it were federally taxable, people would be paying like $2000.00 out-of-pocket.

 

[Ravi]

Not quite, nice try.

Then what? You're reflexively defending this by trying to make it sound like it's no big deal! It's perfectly okay with you, correct?

Yes.

No matter what this administration throws at the American people, Ravi is going to be good with it.

I'm actually not an Obama fan, but you guys whine about the stupidest things. Why not whine about something he actually does wrong?

 

[ba1614]

It's sale tax, not federal income tax. You guys aren't too bright, are you? Oh, wait...you proved that with four years of Bush.

Idiot, we KNOW it's state and local taxes. So not only do you have the registration, state and local tax on the car, now you also have the taxes on the c4c rebate from the gubmint!

And they want to run our HEALTH CARE next!

And it only took eight replies for one of the Obamaphiles to evoke BOOOOOOOOOSH!!!

The federal government cannot regulate state sales and income tax. I certainly hope you aren't advocating that. If you weren't so afraid to visit cars.gov you'd have known this ahead of time.

Doesn't change the fact they didn't think it through.

 

[Ravi]

Then what? You're reflexively defending this by trying to make it sound like it's no big deal! It's perfectly okay with you, correct?

Yes.

Why wouldn't it be okay? You pay sales tax on the full purchase price, no matter who pays the purchase price. It's not rocket science...but tell me, why would you want to rip off your state? Most states are hurting for tax revenues these days.

Strawman argument. The GOVERNMENT is ripping YOU off, by not making this rebate non-taxable! Because they didn't think it through.

And by the way, my state doesn't collect any state income tax, and is IN THE BLACK as in, SURPLUS.

Again, idiot, the federal government cannot control what the state considers taxable. But you go right ahead and lobby the fed takeover of your state.

 

[Midnight Marauder]

It's sale tax, not federal income tax. You guys aren't too bright, are you? Oh, wait...you proved that with four years of Bush.

Idiot, we KNOW it's state and local taxes. So not only do you have the registration, state and local tax on the car, now you also have the taxes on the c4c rebate from the gubmint!

And they want to run our HEALTH CARE next!

And it only took eight replies for one of the Obamaphiles to evoke BOOOOOOOOOSH!!!

The federal government cannot regulate state sales and income tax. I certainly hope you aren't advocating that. If you weren't so afraid to visit cars.gov you'd have known this ahead of time.

You're impossibly stupid and dishonest. IF they made this rebate NOT taxable, that would NOT be regulating state sales and income tax. It would be controlling their own federal program.

Have you nothing but strawmen?