coolestguyever said:
Avinash_Tyagi said:
coolestguyever said:
Avinash_Tyagi said:
coolestguyever said:
I understand that the poor can't afford to pay a lot but that doesn't mean we should exploit the rich. With all the programs in place for poor people there is becoming less and less incentive to work hard and become rich, you know your going to be taxed through the ass and get no special treatment.
Also another thing to note: Who is it that's donating large amounts of money to charity? Is it the poor guy who is barely getting by?? No its the rich guy with lots of disposable income. Not only are we being taxed, but the more generous rich people also donate to charity like my father. |
The rich donate for the tax breaks, no other reason, how do I know that, because the only way that the data would be collected on who donates is if people file it in their taxes, if it was done anon, there would be no data on who gave money to charity.
We should tax the rich more, and their cap gains as well
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Your right on. Nobody donates out of kindness or anything, its just the tax breaks. My dad doesn't donate to the foundation for the mentally challenged because his sister is mentally retarded...no its for the tax breaks. My Uncle doesn't donate to diabetes research because his son is diabetic, its for the tax breaks.
Come on dude most of the people either donate for random kindness or they know someone with a certain disease like diabetes, breast cancer, etc.
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Do they write it off on their taxes, or just give without worrying about what they get back? If they give and then expect to get tax breaks because of it then no they aren't giving for altruistic reasons. People who are truly altruistic don't expect recognition or money back for their actions, they just give. |
It doesn't take away from how generous it is if you write it off on your taxes. Plus you don't get all the money you donate off of your taxes. If you donate $1000, you don't get $1000 off your taxes. I don't know how much you do get, but its not the full amount.
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A tax deduction is when you reduce your gross taxable income by a certain amount to determine what you owe in taxes. For a concrete example, if you have a 25% tax rate and you get a $1,000 deduction it would work out to being a tax savings of $250. In contrast, a tax credit is when you reduce the amount of tax you pay by a certain amount; a $1,000 tax credit means you pay $1,000 less in taxes.
From what I understand, I don't think it is possible for someone to be in a net positive position from giving money to charity which (basically) eliminates the argument that people give money to charity for selfish reasons.
This doesn't mean that there aren't "loopholes" in the system ... but most of those I have ever heard about involved getting a tax receipt for a good or service that was donated rather than money; and this works primarily because it is difficult to determine what this good or service is truely valued at, and a tax receipt can easily over-estimate the value of it. Even these are not too much of a problem though because there are few things that can be donated that are over-valued enough to impact a person's taxes in a meaningful way, and enough audits are done that enough people are caught who try that most people are afraid to try.
