Nan Eklund wrote:

- quote -

Add to your list of novel tax situations, the state of
Alabama, where one can deduct federal income tax and, if
itemizing, social security and medicare tax. Sorry,
deductions for alcoholic beverage and cigaret taxes got
tossed out back in the mid 80's.

Cheer$,
Harlan Lunsford, EA in (the other) LA

<< -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << ------------------------------------------------->

For once this year I'm relieved I live in California.
Used to teach income tax preparation and had a little list -
of CP states, of states with no income tax, and of cities
with income tax. I'm so glad I never checked with an Ohioan
or the list would have been impossible. Thanks

Nan, EA in LA

<< -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << ------------------------------------------------->

Nan Eklund <naneklund[at]aol.com> wrote:
- quote -

I like living here, but was not in anyway trying to sell you on
the nicities of its tax structure - quite the opposite.

- quote -

I live in Franklin County, one of 88 Ohio counties but one
of the larger population ones, and in Franklin County alone
quite a few municipalities have an income tax, including
Columbus, Bexley, Canal Winchester, Gahanna, Reynoldsburg,
Worthington, Westerville, Dublin, Grove City and, I'm sure,
more (this is just from memory).

Each municipality can choose to give full, partial or zero
credit to taxpayers who have paid municipal income tax to
their workplace city.

SO a carpenter who is employed in 18 different cities that
impose income tax and lives in a city that has an income tax
has a somewhat nasty municipal tax situation. And while
UltraTax Ohio cities solution is OK - it breaks down past 3
cities, much less 18. That means hand calculations.

Well, as Helen has always said, if you can't do tax returns
by hand, you have no business using a computer, And if she
never said it, I will :^)

- quote -

OH county taxes apply to individual taxpayers filing
schedule C with YE inventories who are not current in their
tax filing.

But more importantly, many school districts now impose a
school district income tax, so - for example, a Reynoldsburg
resident will likely pay federal, state, city and school
district income tax.

Oh joy.

__
Art Kamlet ArtKamlet [at] AOL.com Columbus OH K2PZH

<< -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << ------------------------------------------------->

Kamlet[at]panix.com (Arthur Kamlet) wrote:

- quote -

You are correct. I realized that right after I pressed the
send button. Ever try to recall an email or posting?? I
really was not trying to be obtuse or perverse.

Frank, Tax-Aide

<< -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << ------------------------------------------------->

Ohio sounds lovely. Except: you have city income tax in
Akron, Cincinnati, Cleveland, Dayton, Toledo and Youngston
(at the last time I looked it up). Our rotten legislature is
contemplating allowing "governmental entities" in California
to establish income taxes. I am soooooo looking forward to
doing Federal, state, COUNTY and CITY. NOT!!!

Nan, EA in LA

<< -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << ------------------------------------------------->

<Tax-Aide[at]Yahoo.com> wrote:
- quote -

First, thanks very much for being a TaxAide counselor.

Next, I have to quibble with you on the use of "obverse"
which I've never heard used outside of numismatics. I
think you mean the Reverse side of Form 1040. The Obverse
side contains the taxpayers' Name, Address & SSNs.

__
Art Kamlet ArtKamlet [at] AOL.com Columbus OH K2PZH

<< -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << ------------------------------------------------->

Nan Eklund <naneklund[at]aol.com> wrote:

- quote -

Ohio allows an Ohio tax credit of $50 for taxpayer or spouse
age 65 or older.

Ohio allows one such tax credit per tax return, so taxpayers
filing MFS can get two such tax credits.

Ohio also allows a $200 max tax credit for pension income of
at least $8000, one credit per tax return.

If social security is not an issue, either because the
couple has maxed out their 85% of social security level, or
because, for example, the couple worked for a school
district or state or local gov't and receive no social
security, it again pays to file MFS.

And Ohio has a steeply graduated tax schedule that, for the
most part, does not depend on filing status, so it is not
surprising that lots and lots of people file MFS in Ohio.

__
Art Kamlet ArtKamlet [at] AOL.com Columbus OH K2PZH

<< -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << ------------------------------------------------->

I appreciate all this great information about over-65
exemptions. Thanks to everyone who responded, my failing
memory generated a history lesson for the young among us and
a nostalgia trip for the dino--uh, I mean the more mature.
]

Since I do itemize, the standard deduction for seniors
doesn't affect me. It was those fat exemptions I
remembered, near the top of page 1 of the 1040 where those
inviting but off-limits check-boxes imprinted themselves on
my brain long before I had any use for them. Boy (and girl
too, of course), would they make a difference now!

One good thing is the California credit mentioned by Nan
Eklund, since I can make use of that. But it just isn't the
same for us denizens of the pre-Bradley Jurassic Park is it?

Art

<< -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << ------------------------------------------------->

Art wrote:

- quote -

Yes. Prior to 1987, it was an exemption. Since 1986, it
has been an increased standard deduction, not an exemption.

- quote -

I don't know what you imagine, but they were federal prior to 1987.

- quote -

There is no wisdom where Congress was involved.

<< -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << ------------------------------------------------->

apfeffer[at]sbcglobal.net (Art) wrote:

- quote -

See obverse of IRS F1040. Standard decuction increased for
over 65 and.or blind. Calif increases tax credit by $80 for
65+ and/or blind. Frank, Tax-Aide

<< -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << ------------------------------------------------->

"Art" <apfeffer[at]sbcglobal.net> wrote:

- quote -

You are not imagining these things. They were used quite a
few years ago, but no longer exist.

Wayne Brasch, CPA, M. S. Taxation

<< -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << ------------------------------------------------->

"Art" <apfeffer[at]sbcglobal.net> wrote:

- quote -

Your recollection is correct.
Before 1986, persons 65 or over got an additional personal
exemption. Since that time the tax break for such people
has taken the form of an addition to the standard deduction.
Therefore, no break for seniors who itemize deductions.
The same applies to the blind.

<< -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << ------------------------------------------------->

"Art" <apfeffer[at]sbcglobal.net> wrote:

- quote -

Yes there used to be extra exemptions for age and blindness.
They were replaced by increases in the Standard deductions
about 1986.

<< -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << ------------------------------------------------->

Art <apfeffer[at]sbcglobal.net> wrote:

- quote -

Yes, indeed, in the far distant past, when dinosaurs still
roamed the earth, there was an additional personal
exemption.

Now there is a much smaller increase to the standard
deduction.

Nothing if the taxpayer finds it better to itemize.

__
Art Kamlet ArtKamlet [at] AOL.com Columbus OH K2PZH

<< -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << ------------------------------------------------->

apfeffer[at]sbcglobal.net (Art) writes:

- quote -

At one time the Federal return gave extra personal
exemptions, but that was replaced with the standard
deduction add-ons some years ago.

Phil Marti
Topeka, KS

<< -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << ------------------------------------------------->

Art asked:

- quote -

First, Art, they aren't exactly extra "exemptions" -- but
rather, additions to the "standard deduction." You'll find
them immediately after the AGI at top of page 2 on 1040 and
1040A forms. There are boxes to check if the TP (or Spouse,
if MFJ) are 65 or blind -- and the total number of boxes
checked (both MFJ TPs could be 65 and blind) is then
multiplied by a number which is supplied (Last year it was
$1150) -which is added to the normal standard deduction to
arrive at a new total.

Actually, all of this "math" is done for TPs in the
instructions, where a chart is provided showing the correct
total standard deduction for typical TP situations.

This "special treatment" is often forgotten, since it
doesn't apply to or affect those who itemize deductions.

Bill

<< -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << ------------------------------------------------->

apfeffer[at]sbcglobal.net (Art) writes:

- quote -

There *is/are* (note present tense) exactly such an
exemption(s), and have been for years.

--
Rich Carreiro rlcarr[at]animato.arlington.ma.us

<< -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << ------------------------------------------------->

apfeffer[at]sbcglobal.net (Art) writes:

- quote -

There are additional allowances for those over Age 65. The
amounts have increased for 2003 but, for an idea of how it
works, based on 2002 allowances, "The additional amount for
age will be allowed if you are age 65 or older at the end of
the tax year. You are considered to be 65 on the day before
your 65th birthday. Therefore, you can take the additional
amount for 2002 if your 65th birthday was on or before
January 1, 2003.

The additional amount for blindness will be allowed if you
are blind on the last day of the tax year.

For example, a single taxpayer who is age 65 and legally
blind would be entitled to a basic standard deduction of
$4,700 and an additional standard deduction amount of
$2,300, which is $1,150 for being age 65 and $1,150 for
being blind. The total standard deduction would be $7,000.

If you or your spouse were 65 or older or blind at the end
of the year, be sure to claim the additional standard
deduction amounts by checking the appropriate boxes on Form
1040A (PDF) or Form 1040 (PDF). The additional standard
deduction amounts cannot be claimed on Form 1040EZ (PDF).

Certain individuals are not entitled to the standard
deduction. They are:

A married individual filing a separate return whose spouse
itemizes deductions,

An individual who was a nonresident alien or dual status
alien during any part of the year; or An individual who
files a return for a period of less than 12 months due to a
change in his or her annual accounting cycle."

"Jack" - John H. Fisher - TaxService[at]aol.com
Philadelphia, Pa - Atlantic City, NJ - West Wildwood, NJ
My Newsgroups & Boards at: http://members.aol.com/TaxService/index.html

Where Ignorance is bliss, 'tis folly to be wise!=

<< -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << ------------------------------------------------->

- quote -

It left us about 1986 or so. But there was one.

Helen, EA in PA
Member of The Tax Gang
President, PA Society of Enrolled Agents
Campaigning for NAEA Board of Directors - Looking for YOUR vote

<< -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << ------------------------------------------------->

apfeffer[at]sbcglobal.net (Art) wrote:

- quote -

There is currently no extra EXEMPTION amount for being over
65 or blind, but rather an increased STANDARD DEDUCTION for
same. Of course, if you itemize, you get no benefit from the
higher standard deduction.

<< -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << ------------------------------------------------->