Help me understand this.....I buy equipment and pay tax on it....then every year after that I pay personal property tax again. Yes, I pay all my taxes and being self employeed it takes a toll on the pocket book. Any good sites about these types of taxe questions. Ive tried the Texas SBA site it just explains that YOU WILL PAY these taxes. But does not explain percentages or write offs.Please give comments, advice, or any other info.. Thanks Chuck
Posted by Raymond Chapman (Member # 361) on :
When you bought the equipment the tax was a sales tax and when to Austin. It would be nice if that was the end of it, but then every year you will pay another tax (personal property tax) to your county for the priviledge of keeping that equipment. That tax is used for schools, and a long list of other things that are kept up by the county.
Do you have employees? Get a few and then you will see a whole new array of taxes.
It's not all fun, but it is the price we pay for living in the greatest country in the world. And since we live in Texas we are even more blessed.
Posted by KARYN BUSH (Member # 1948) on :
wow..i guess i'm glad i live in tax free new hampshire...couldn't imagine the extra expense..sorry to hear it.
Posted by Bill Modzel (Member # 22) on :
In Michigan we don't pay sales tax on equipment used in production. That even applies to our design workstations.
They do hit us with the Personal Property tax yearly though. I'm not sure how it works down there but here it's on some sort of depreciating rate BUT make sure that you report it you your accountant when you take some equipment out of production or sell it. It does come off the list.
Posted by jimmy chatham (Member # 525) on :
ask your accountant.
Posted by Kissymatina (Member # 2028) on :
Karen, it balances out. I don't believe Texas has an earned income tax. If they do, it's structured differently. Here we don't have personal property taxes, but pay more in gasoline taxes, school property taxes, local earned income taxes.
Posted by Raymond Chapman (Member # 361) on :
Different states have various tax laws and ways of getting their hand in your pocket. In the end it probably all balances out to the same percentage amount. One exception is Alaska where there is not only an absence of tax, there is a refund that the citizens get each year (after being residents for a number of years).
Posted by Monte Jumper (Member # 1106) on :
Let's see ...if I remember right Texas has no state income tax. Or has that changed?
Seems like a trade off!
Then again if I were hand lettering out of my truck...I'd much rather be taxed for my brushes and my pounce wheel than taxed for my computer and plotter.
I guess I see your point!
You know come to think of it I've never heard of anyone that was happy about ANY tax. Sounds like a good tax attorney would pay for itself.
Good luck!
[ April 11, 2003, 12:53 PM: Message edited by: Monte Jumper ]
Posted by James Donahue (Member # 3624) on :
Didn't Bob Dylan have a song or album called "You gotta serve somebody"? Americans aren't as free as they think they are. TA-DA! There you have it folks, today's right wing blather. Sincerly Radar.
Posted by David Wright (Member # 111) on :
Monty never heard of anyone happy about any tax? Read Raymond's post. We pay the same type of tax here in Wayne County (Detroit Area). When the citizens decided they wanted more, they didn't raise any tax they would have to pay, but passed it on to the businesses. The American Way.
Posted by Joey Madden (Member # 1192) on :
If you don't put a space between The IRS, it spells THEIRS
Posted by Rick Beisiegel (Member # 3723) on :
Hey Bill
I pay tax in Michigan on my production equipment each month in my lease payment? What am I missing??
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