While most of the four in 10 U.S. households who own an IRA don't plan
to convert those accounts to Roth IRAs this year, tens of thousands,
perhaps even hundreds of thousands, are deciding to take the conversion
step — and many are making some astonishing mistakes that experts say
could be avoided easily.
Another Tax Day, another check to Uncle Sam. Right?
More and
more, though, that isn't the case. Indeed, a growing number of
taxpayers pay no income tax whatsoever. And because of increasing
pressure to expand government even faster than the unsustainable path
it's already on, the United States is on a glide path toward an
economic meltdown. According to the Tax Foundation, the number of
taxpayers that had no federal income tax liability increased 45 percent
between 2001 and 2008.
As tax day approaches, the Internal Revenue Service is giving agents more flexibility to work with taxpayers who have seen their incomes drop during the recession.
JuWanda Harris spent the last year rising before the sun to work two
jobs, using the money to support her brother and sister and help her
parents with everything from gas bills to toothpaste.
With a surge of last-minute votes expected, Oregon will decide Tuesday whether to impose higher taxes on businesses and people whose income is well into six figures.
