Wednesday, June 1, 2011
Help Me Howard: Tax on Tax
It's one thing to pay a tax but how would you feel is you paid a tax on that tax and a tax on that, and then another tax and another. Its what many people face every day. Most are fed up with it and one man has called Help me Howard with Patrick Fraser to find out if the taxing trouble is legal.
WSVN -- Like most people, Eddie Muniz is a proud American and like many Americans he is worried about the direction his country is headed.
Eddie Muniz: "The problem with breaking down here is you have other people waiting to take our place so we may never be supreme again if we do break down and thats my concern."
Eddies family owns a small business that provides medical care to patients that cant leave their homes, but most of his time is spent doing paperwork.
Eddie Muniz: "I would tell you its probably 80-percent regulatory paperwork and 20-percent actually providing services."
To keep up with the paperwork, Eddie leases a high end copier.
Eddie Muniz: "I am happy with the copier but I am definitely not happy with the finanace leasing company who leased the copier to us."
In particular, the taxes on the leased copier beginning with the sales tax then a property tax. Now let Eddie pick up the tax tale.
Eddie Muniz: "On top of that, this company is charging me a tax on my property tax. Furthermore, they are charging me a charge to tax me and then they are taxing me on the charge to tax me so we have five line items of taxes here for a copier."
Five apparent taxes for one copy machine and these two the tax service charge to collect the other three taxes, and a sales tax on that tax service charge as well taxing Eddies patience.
Eddie Muniz: "They are taxing us to death and they want to tax us more because they need more money so where are we going, and this is one of the big problems we have in this country."
As an American, Eddie sees all the taxes as excessive. As a businessman he sees them as crippling.
Eddie Muniz: "The copier is very efficien. I love it but the bottom line here is we are getting killed on all these taxes."
Getting killed by five apparent taxes leading to one simple question.
Eddie Muniz: "I want to make sure this is legal what they are doing to me."
Well Howard, a sales tax, a property tax, a sales tax on the property tax, a tax service charge and a sales tax on that. Is it all legal?
Howard Finkelstein: "Yes they can because the state's politicians vote have decided that it's OK to do this to businesss people. Every one of these taxes is legal although one that appears to be a tax is not it's a fee and its legal if both sides agree ahead of time."
When I spoke to the leasing company about their tax servicer charge, they confirmed it is a service fee to collect the taxes. A spokesperson told me the fee is written in the lease. So instead of five taxes on one copier Eddie is paying four. As anyone will tell you, still too many.
Howard Finkelstein: "The taxes are tough for business people. The taxes are hurting everybody, but in most elections less than 20-percent of the people vote. So until that other 80-percent stands up, the politicians will continue to do what they want to do to each one of us."
Seeing the politicians continue to slap tax after tax on everyone is not the only thing bothering Eddie. Almost as bad watching how governments spend that tax money.
Eddie Muniz: "Where is this money being used? And is it being used efficiently. I know I can use it efficiently. I am not sure the government can. Actually, I know the government cant."
Patrick Fraser: "Think about how much we are all being taxed. You pay income tax on your paycheck and when you spend the money left over, you pay state, sales tax, local sales taxes, property taxes and on and on. Every politician promises to do something about it but no politician, no matter what party does. Like Eddie asked when is it going to end?"
Troubles taxing you? Ready to cut it all out? Send a copy to us. We will try to fill in the blanks and not leave you broke.
CONTACT HELP ME HOWARD:
EMAIL: email@example.com (Please include your contact phone number when emailing)
REPORTER: Patrick Fraser at firstname.lastname@example.org