Yikes, Kansas doing State IOUS now, like Californ-IA

[StageLeft]

Not cool

I actually have yet to do my NY state, but the state is in a huge deficit. I don't want them getting any ideas, I think I will have to file them asap.

I wasn't sure Kansas was on the list of fubared states. Let's make this fun: which will be the next state to suspend tax return payments?

*UPDATE* Per post from 2/27

 

[vi edit]

Illinois is a couple billion in the hole too. I purposely filed mine as soon as I could because I feared that my state would consider the same.

I was always curious how states, and the Feds in particular handled tax return season. Take my household for example....

My wife makes a VERY nice income. She did over $10,000 in overtime that was taxed through the nose. Her 401k is maxed out, mine is at 15% of my income, plus we have daycare flex plans, a pile of mortgage interest to deduct, and property taxes.

After it was all said and done, we ended up with almost $8,000 coming back from federal. I'm sure there are others out there in similar situations. Where's that money come from? I highly doubt that the state/fed governments are good enough to keep tabs on the over/unders that they are collecting throughout the year. Is there just some general fund they yank that out of and dump it into my bank account 6 days after I E-file?

 

[DealMonkey]

Oh lookee, Kansas has its own version of GOP obstructionists, holding the state hostage and forcing them to not pay bills and hold back tax returns. Seems to be a national epidemic of stupidity.

:roll:

 

[Genx87]

The stimulus package has been passed. These states are supposed to get payments that will close their deficits. What the hell are they spending this money on????

This is the problem with this ponzi scheme. In MN we were subsidizing at the city and county level with state funds as a way to combat rising property tax increases. The result was the city and counties spend like drunks from the state money and still had to raise property taxes.

Sounds like some of these states are taking the feds money and spending it beyond what they should.

 

[bamacre]

Originally posted by: vi edit
Illinois is a couple billion in the hole too. I purposely filed mine as soon as I could because I feared that my state would consider the same.

I was always curious how states, and the Feds in particular handled tax return season. Take my household for example....

My wife makes a VERY nice income. She did over $10,000 in overtime that was taxed through the nose. Her 401k is maxed out, mine is at 15% of my income, plus we have daycare flex plans, a pile of mortgage interest to deduct, and property taxes.

After it was all said and done, we ended up with almost $8,000 coming back from federal. I'm sure there are others out there in similar situations. Where's that money come from? I highly doubt that the state/fed governments are good enough to keep tabs on the over/unders that they are collecting throughout the year. Is there just some general fund they yank that out of and dump it into my bank account 6 days after I E-file?

They are investing in more of these.

 

[GTKeeper]

Merged

Fern
AnandTech P&N Moderator

Report pls delete.

 

[jpeyton]

Refunds are a bad idea anyway. They should have been putting the extra revenue in rainy day funds for years now; that way recessions like the one we're in wouldn't push states to the financial brink.

Oregon HAD a rainy day fund, but the idiots in this state decided a yearly "kicker" refund would be a better idea. Now our state, like many others, is figuring out how many teachers it can lay off and prisoners it can release.

 

[DealMonkey]

Originally posted by: Genx87
The stimulus package has been passed. These states are supposed to get payments that will close their deficits. What the hell are they spending this money on????

(A) THey haven't gotten payments yet, and (B) In some cases, the money they do get, won't necessarily close their deficit 100%.

 

[Ozoned]

Originally posted by: jpeyton
Refunds are a bad idea anyway. They should have been putting the extra revenue in rainy day funds for years now; that way recessions like the one we're in wouldn't push states to the financial brink.

Oregon HAD a rainy day fund, but the idiots in this state decided a yearly "kicker" refund would be a better idea. Now our state, like many others, is figuring out how many teachers it can lay off and prisoners it can release.

Refunds are NOT revenue, they are OVERPAYMENT of taxes.

 

[PokerGuy]

Originally posted by: jpeyton
Refunds are a bad idea anyway. They should have been putting the extra revenue in rainy day funds for years now; that way recessions like the one we're in wouldn't push states to the financial brink.

Oregon HAD a rainy day fund, but the idiots in this state decided a yearly "kicker" refund would be a better idea. Now our state, like many others, is figuring out how many teachers it can lay off and prisoners it can release.

WTF? Instead of issuing refunds the state should "put the extra money in a rainy day fund"?? You do realize that refunds are giving people THEIR money back that they kindly allowed the government to borrow INTEREST FREE. Are you insane?

 

[halik]

Originally posted by: jpeyton
Refunds are a bad idea anyway. They should have been putting the extra revenue in rainy day funds for years now; that way recessions like the one we're in wouldn't push states to the financial brink.

Oregon HAD a rainy day fund, but the idiots in this state decided a yearly "kicker" refund would be a better idea. Now our state, like many others, is figuring out how many teachers it can lay off and prisoners it can release.

That the most absurd thing I've read this month... even ignoring the fact that refunds are money OWED to the people, if you institute this sort of idiocy all you end up doing is make people go nuts with allowances on their W4s

Hell if I was in kalifornia I'd change my allowances to max also, I don't lend money for free.

 

[JSt0rm]

Originally posted by: halik
Hell if I was in kalifornia I'd change my allowances to max also, I don't lend money for free.

Last time they held the tax returns they paid interest. I think it was like 5% too. I'm going off memory so that might not be the %.

 

[StageLeft]

Originally posted by: jpeyton
Refunds are a bad idea anyway. They should have been putting the extra revenue in rainy day funds for years now; that way recessions like the one we're in wouldn't push states to the financial brink.

Oregon HAD a rainy day fund, but the idiots in this state decided a yearly "kicker" refund would be a better idea. Now our state, like many others, is figuring out how many teachers it can lay off and prisoners it can release.

If states didn't give refunds people would have their withholdings cut to the bone. This is a trick that a state can pull once and only once. If they don't pay the money back in fairly short order people will command their employer to cut their withholdings and then next year the state won't be able to do the same trick again and will be short that cash in the interim. It's a terrible move and really pisses people off.

 

[frostedflakes]

Ouch. I don't think we've been hit too hard by the economic downturn, but our debt has ballooned over the last decade.

http://www.wibw.com/home/headlines/39531822.html

Sounds like the proposed bill cuts a lot from education. I doubt they'll get Sebelius to go along with it unless those cuts are reduced or removed.

 

[James Bond]

That's as good as money, sir. Those are I.O.U.'s.

 

[BoberFett]

I already attempt to cut my taxes as close as possible, the ideal would be to owe a couple bucks come April 15. And believe me, I don't pay my bill until April 15.

 

[waggy]

Originally posted by: jpeyton
Refunds are a bad idea anyway. They should have been putting the extra revenue in rainy day funds for years now; that way recessions like the one we're in wouldn't push states to the financial brink.

Oregon HAD a rainy day fund, but the idiots in this state decided a yearly "kicker" refund would be a better idea. Now our state, like many others, is figuring out how many teachers it can lay off and prisoners it can release.

ok i have seen you say a lot of stupid things. but that has to top the cake. save the money? err you don't have any idea what a refund is do you?

why should the state get to keep the OVERPAYMENT of taxes?

 

[MikeyLSU]

Originally posted by: waggy

Originally posted by: jpeyton
Refunds are a bad idea anyway. They should have been putting the extra revenue in rainy day funds for years now; that way recessions like the one we're in wouldn't push states to the financial brink.

Oregon HAD a rainy day fund, but the idiots in this state decided a yearly "kicker" refund would be a better idea. Now our state, like many others, is figuring out how many teachers it can lay off and prisoners it can release.

ok i have seen you say a lot of stupid things. but that has to top the cake. save the money? err you don't have any idea what a refund is do you?

why should the state get to keep the OVERPAYMENT of taxes?

I dont' think he means refunds when you do your taxes.

But when states has a surplus, they spend it, no matter what. Whether that be a refund, or other state projects. I think he is suggesting that instead of giving back a budget surplus, they should just invest the money for times like now.

 

[Mean MrMustard]

Originally posted by: James Bond

That's as good as money, sir. Those are I.O.U.'s.

See this one here? 250 thou... might want to hold on to this one...

 

[StageLeft]

Originally posted by: James Bond

That's as good as money, sir. Those are I.O.U.'s.

If they were as good as money they would be, well, money. Not an IOU.

 

[5to1baby1in5]

Originally posted by: Skoorb

Originally posted by: James Bond

That's as good as money, sir. Those are I.O.U.'s.

If they were as good as money they would be, well, money. Not an IOU.

Both are just pieces of paper with fancy writing on them.

Prehaps they should pay out in something more tangible like pigs, chickens and government issued assault weapons.

 

[StageLeft]

Originally posted by: 5to1baby1in5

Originally posted by: Skoorb

Originally posted by: James Bond

That's as good as money, sir. Those are I.O.U.'s.

If they were as good as money they would be, well, money. Not an IOU.

Both are just pieces of paper with fancy writing on them.

Prehaps they should pay out in something more tangible like pigs, chickens and government issued assault weapons.

I cannot keep any pigs at my house, but the weapons sound good. Should help when the coming war blackens the world and those left scrounging for survival are trying to take my food stockpile. 7.62 natos say no you can't!

 

[eleison]

Originally posted by: 5to1baby1in5

Originally posted by: Skoorb

Originally posted by: James Bond

That's as good as money, sir. Those are I.O.U.'s.

If they were as good as money they would be, well, money. Not an IOU.

Both are just pieces of paper with fancy writing on them.

Prehaps they should pay out in something more tangible like pigs, chickens and government issued assault weapons.

Actually, the US dollar is backed by US apache helicopters, F22, Abram tanks, and butt load of marines from one of the most powerful countries in the world.. After all, it is "legal and tender". The IOU's -- not so much... if the states goes bankrupt, your up shite creek w/o a paddle..

 

[dainthomas]

Originally posted by: Skoorb
Not cool

I actually have yet to do my NY state, but the state is in a huge deficit. I don't want them getting any ideas, I think I will have to file them asap.

I wasn't sure Kansas was on the list of fubared states. Let's make this fun: which will be the next state to suspend tax return payments?

Must be all those hippie socialists in Kansas and their communist welfare programs for illegal immigrants bleeding the state dry.

Edit: And Oregon's program is when state revenue exceeds by more than five percent the amount it was forecast to receive by the state economist. This amount is then sent back to taxpayers/corporations in the form of a "kicker" check. It is NOT a refund for overpayment of taxes. It effectively prevents any sort of rainy day fund from being built up during boom times, and is a big reason why our schools have been a joke for years.

 

[gar3555]

nothing to see here folks. The great state of Kansas worked out their budget issues, and refunds will go out as planned.
Here is a note from my State Senator:

The Governor held refunds up for a week or so in February to get us through a cash flow problem that always comes at this time of year. Tax refunds are going out before the receipts come in on April 15. In addition, one of the four big payments to schools is made at the end of February. It is always tight, but this year is much worse than anticipated. Thanks for your patience.
Sincerely,
Pete Brungardt
State Senate, District #24