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one thing alot of people forget about during the 90 % tax rate days where there where a lot of right offs that dont exist any more. car payment interest, credit card interest, property taxes, any money invested that increased the value of a house, etc.... that lowered the actual interest paid much lower than it looked like on paper. now most of these tax right offs did not even come in to effect until you made 100's of 1000's.
i know a mortgage broker who had to pay an effective tax rate of 70 % in 2005. he had rental houses, he had to pay income tax on the houses, but if he had to put a roof on a house he could not right it off. all because he made too much money. he and his wife made almost a mil in 2005 and paid about 700,000 in taxes. that seems real fair to me... not
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