Did any of you participate in the Cash For Clunkers program? Guess what? BOHICA! The $4500 is taxable. Yep! Bend over and crack a smile because the gummint done screwed you again.
But many of those cashing in on the clunkers program are surprised when they get to the treasurer's office windows. That's because the government's rebate of up to $4500 dollars for every clunker is taxable."They didn't realize that would be taxable. A lot of people don't realize that. So they're not happy and kind of surprised when they find that out," Nelson said.
Why should they be? It's the gummint. You don't get sumpin' fer nuttin' unless you are a welfare recipient.
So here's the deal. You get $4500 for your "clunker" and that's subtracted from the purchase price of your new car. You get charged sales tax on the full purchase price so you're paying sales tax on the $4500. Then, many states are gonna charge income tax on that $4500.
How are y'all liking this program now?
Wasn't it PT Barunm that said "There's a sucker born every minute". or something to that effect. Well, there's a hell of a lot more than that now a days.
Posted by: Ray on August 27, 2009 03:13 PMMaybe it's because I'm a rocket scientist, but my natural expectation would be the $4500 represents taxable income; it's no different from your boss giving you a $4500 bonus because he knows you're buying a car. It's only the something-for-nothing mentality that would have expected a free ride (literally!) in the first place.
Just a few days ago I was readin' an article on folks who were tryin' to take advantage of the program. One guy went to the Hundai dealer and claimed he made the best deal he could without C4C. When he told them he wanted to turn in a clunker, the best they could do was knock off another 500 bucks and cough up Hundai's $2000 match.
Maybe they've changed the math since I was in school, but I'd say he got ripped-off for at least $3K, maybe $4K, and we, the taxpayers are gonna give that dealer back whatever amount the guy should have gotten. How close to fraud is that, and how dumb is the guy?
WTFU, folks.
Rob J
Posted by: Inbred Redneck on August 28, 2009 10:15 AMTwo a$$holes I work with here at the University went for C4C. NO thought whatsoever to not only having to pay tax(es) on the cash, let alone what's it's going to cost the rest of us. When I told 'em I expected to use their cars one weekend a year because I was helping pay for them, they looked at me like I was the dumbshit, once again proving the Chapmanian Theory that Higher Education does not equal Common Sense.
Posted by: chappy on August 28, 2009 01:44 PMGovernment Handouts. Aren't they a wonderful thing??
Posted by: Paul on August 28, 2009 02:21 PMthe taxpayers are gonna give that dealer back whatever amount the guy should have gotten. How close to fraud is that,
Redneck:
1. The taxpayers will surely pay for this new demonstration of "economic equality."
2. The money will go to the government in the form of new and higher taxes.
3. I do not believe, for one minute, that the car dealers will see much, if any, of that money. I'm sure the goverment will justify witholidng the money for "carrying charges" or use it to fund more Katrina "victims."
SO, everyone gets ripped off - the taxpayers, the car dealers, the idiots who went C4C and will now pay more taxes. Everyone - except the fradulent, socialist gummint now in place.
I'd fall on the floor laughing, if it weren't so scary and serious.
Posted by: Jane Austen on August 30, 2009 09:20 AMI'm laughing at the people who thought you wouldn't have to pay full sales tax or income tax on granted money.
As they say, two things in life are certain...
Posted by: Robin Palm on August 30, 2009 09:59 AMCforC....
People are more educated today ...but they sure as hell are not any smarter. Any time the Government does something for you .....it takes your money to do it.
So you pay for it in the first place, then pay taxes on what the government "gave" you.....then wait for your state & local municipality to knock on your door for their share.
Hope,Change ....How`s the Obama Shit Sandwich taste now?