{"id":26084,"date":"2019-08-06T08:00:48","date_gmt":"2019-08-06T12:00:48","guid":{"rendered":"https:\/\/www.escapeartist.com\/?p=26084"},"modified":"2020-09-16T09:36:55","modified_gmt":"2020-09-16T14:36:55","slug":"the-american-tax-checklist-ticking-off-all-the-types-of-taxes","status":"publish","type":"post","link":"https:\/\/www.escapeartist.com\/blog\/the-american-tax-checklist-ticking-off-all-the-types-of-taxes\/","title":{"rendered":"The American Tax Checklist: Ticking Off all the Types of Taxes"},"content":{"rendered":"
The United States Tax Code is a comprehensive collection of tax prescriptions that outline all the possible ways in which the tax applies to any individual. Failure to comply with the Tax Code rarely ever means that you\u2019ll be sent to jail, however, you could incur penalties for non-compliance.\u00a0<\/span><\/p>\n The IRS can charge penalties amounting up to 25% of all taxes<\/span><\/a> that you haven\u2019t paid before. A quarter of your overall incomes and wealth can potentially be seized as part of your payment. To put things in perspective, this amounts to a total of $25,000 for every $100,000 missed in taxes. <\/span>Considering that the rate itself is between 10%-37%,<\/span><\/a> the cumulative is going to be far less if you just filed your taxes. For this reason, tax evasion or accidental non-compliance costs you far more than paying taxes in the first place.<\/span><\/p>\n As someone looking to maintain your long-term financial well being, it makes sense to look for ways that you can reduce your tax burdens. The first step in all of this is to <\/span>know the tax system<\/span><\/a> and beginning to file your taxes that you can later file a return for. Once your incomes are reported in the system, you can then use the loopholes present to take advantage.\u00a0<\/span><\/p>\n <\/p>\n The tax system in the United States fundamentally applies to a wide range of incomes earned by individuals. There are further sub-categories that describe the ways in which tax applies to your various financial resources.\u00a0<\/span><\/p>\n Fortunately, the Internal Revenue Service releases <\/span>tax guides<\/span><\/a> that can help you decide what taxes you should expect to pay and the returns on the taxable income you can get.\u00a0<\/span><\/p>\n <\/p>\n Individual taxes usually comprise of taxes that you have to pay on the incomes coming in from different sources. This includes real estate, shareholdings, wages, capital gains and much more.\u00a0<\/span><\/p>\n <\/p>\n The real challenge with your income taxes really comes from what qualifies as taxable income for you. This includes a broad range of incomes that may include health insurance, travel reimbursements and many similar payments. Your taxable income includes:<\/span><\/p>\n <\/p>\n <\/p>\n <\/p>\n These taxes are charged on property that you acquire through a purchase or receive as payment for your services or sell yourself. This can include any number of instruments such as stocks and bonds, real estate etc.<\/span><\/p>\n <\/p>\n <\/p>\n <\/p>\n Each of the types of expenses listed above are to be included as part of your taxable income. The IRS also offers an explanation of the extenuating circumstances where you can exclude the tax from your payments.\u00a0<\/span><\/p>\n <\/p>\n Ultimately, your tax burdens have to be fulfilled one way or another. Financial astuteness requires that you minimize your tax burdens in a way such that your taxable income is decreased. It\u2019s entirely possible to manage this redistribution of your taxable income. These steps include setting up your corporations abroad<\/a>, siphoning off your funds to offshore locations and getting multiple passports.<\/span><\/p>\n As they say, discretion is the better part of valour. As a financial libertarian myself, I hold much stock in financial prudence when dealing with financial regulations because there is little anyone can do if they\u2019re caught in the cross-hairs. For one thing, no one really <\/span>has<\/span><\/i> to break the law in order to reduce their financial obligations to the state when there is a possibility that their burdens can be reduced. For another, it helps to comply with state regulations to avoid being subjected to excessive scrutiny or be thrown in a cage.\u00a0<\/span><\/p>\n <\/p>\n In a situation where the state allows you to reduce your own payments for as long as you comply with regulations, it makes much more sense to play the system rather than antagonize it.\u00a0<\/span><\/p>\n Working with some of the measures that I\u2019ve mentioned above like multiple passports, foreign bank accounts<\/a> and foreign incorporations<\/a> can help you avoid much of the tax burdens. With the returns that you file for any taxes you\u2019ve paid, you can probably save a big chunk of the funds that you paid as taxes before.<\/span><\/p>\n The combined effects of these strategies can lend much support to your long term financial stability and sustain your economic independence.\u00a0<\/span><\/p>\n <\/p>\n The best things you can do is to hire an excellent Chartered Public Accountant (CPA) who specializes in the offshore markets. The number one complaint I receive when taking on new clients is that their current CPA is woefully ill-equipped to deal with the new structures and investments we are setting up. Therefore I recommend forming a relationship with a CPA immediately – To speak with the firm we use click here.<\/a><\/p>\n <\/p>\n <\/p>\n","protected":false},"excerpt":{"rendered":" The United States Tax Code is a comprehensive collection of tax prescriptions that outline all the possible ways in which the tax applies to any individual. Failure to comply with the Tax Code rarely ever means that you\u2019ll be sent to jail, however, you could incur penalties for non-compliance.\u00a0 The IRS can charge penalties amounting […]<\/p>\n","protected":false},"author":678,"featured_media":26374,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"content-type":"","om_disable_all_campaigns":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[1401],"tags":[406],"yst_prominent_words":[2937,1922,3336,4494,4496,4005,4489,1878,4491,4490,2131,4493,2128,4492,3423,4497,3398,3477,1804,4488],"acf":[],"jetpack_sharing_enabled":true,"jetpack_featured_media_url":"https:\/\/www.escapeartist.com\/wp-content\/uploads\/2019\/08\/List-every-type-of-tax.png","_links":{"self":[{"href":"https:\/\/www.escapeartist.com\/wp-json\/wp\/v2\/posts\/26084"}],"collection":[{"href":"https:\/\/www.escapeartist.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.escapeartist.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.escapeartist.com\/wp-json\/wp\/v2\/users\/678"}],"replies":[{"embeddable":true,"href":"https:\/\/www.escapeartist.com\/wp-json\/wp\/v2\/comments?post=26084"}],"version-history":[{"count":14,"href":"https:\/\/www.escapeartist.com\/wp-json\/wp\/v2\/posts\/26084\/revisions"}],"predecessor-version":[{"id":32370,"href":"https:\/\/www.escapeartist.com\/wp-json\/wp\/v2\/posts\/26084\/revisions\/32370"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.escapeartist.com\/wp-json\/wp\/v2\/media\/26374"}],"wp:attachment":[{"href":"https:\/\/www.escapeartist.com\/wp-json\/wp\/v2\/media?parent=26084"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.escapeartist.com\/wp-json\/wp\/v2\/categories?post=26084"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.escapeartist.com\/wp-json\/wp\/v2\/tags?post=26084"},{"taxonomy":"yst_prominent_words","embeddable":true,"href":"https:\/\/www.escapeartist.com\/wp-json\/wp\/v2\/yst_prominent_words?post=26084"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}The United States Tax System<\/b><\/h2>\n
Taxes on Individuals<\/b><\/h3>\n
Income Taxes<\/b><\/h4>\n
1. Wages, including:\u00a0<\/b><\/h5>\n
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2. Interest-Based Incomes\u00a0<\/b><\/h5>\n
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3. Capital Taxes<\/b><\/h5>\n
Taxes on Purchases<\/b><\/h4>\n
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Taxes on Sales\u00a0<\/b><\/h4>\n
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How Can Filing Taxes Help?<\/b><\/h2>\n
Combining Tax Returns With Shrewd Asset Distribution<\/b><\/h2>\n
Where Should You Start?<\/strong><\/h2>\n