No more income taxes under forty thousand?

Question

The president said people who make forty thousand or less wont have to pay income taxes anymore. Is this true? A friend told me this. She said the president was on all the tv channels some time last week.

Answer 1

IRS Form 1040 violates the federal Paperwork Reduction Act (PRA) and is therefore a legally invalid form.

Under the Public Protection clause of the PRA, no person can be penalized for failing to file a 1040 if the IRS fails to fully comply with the PRA.

The IRS Individual Form 1040 has not and cannot comply with the requirements of the PRA because no existing statute authorizes the IRS to impose or collect the federal income tax from individuals. That lack of bona fide authority makes it impossible for IRS to avoid violating the PRA.

Section 3512 of the PRA, titled “Public Protection” reads as follows:

(a) Notwithstanding any other provision of law, no person shall be subject to any penalty for failing to comply with a collection of information that is subject to this subchapter [44 USCS § § 3501 et seq.] if--

(1) the collection of information does not display a valid control number assigned by the Director in accordance with this subchapter [44 USCS § § 3501 et seq.]; or

(2) the agency fails to inform the person who is to respond to the collection of information that such person is not required to respond to the collection of information unless it displays a valid control number.

(b) The protection provided by this section may be raised in the form of a complete defense, bar, or otherwise at any time during the agency administrative process or judicial action applicable thereto.

Answer 2

It depends on how you are filing and what your circumstances are. Usually when talking about the tax bite, politicians usually use the 4 person family.

I know it was true for me in 2004. I have a 3 person family and made $40K. I paid $0 in federal income taxes that year. I'm sure a single person with no dependents will pay taxes.

If you want, you can probably figure it out pretty quickly by going to www.irs.gov, and download the 1040A form and instructions. Just plug in $40,000 income and whatever dependents, then just take the standard deduction. See what happens.

Answer 3

you are looking at 15% under 40 grand