Well How I figured this out, I go from about 100 dollars in rebates to 1300, I would just like to thank everyone for the extra money

quote Originally posted by Fosgatecavy98: Well technically this doesnt work for me at all since I am a 1099, but do I just take my income total * state tax?

Yep, multiply it by the state tax rate (not the sales tax rate). Like here in Indiana, we have a 7% sales tax rate, but our income tax rate is 3.4%, so I would take my income and multiply it by 3.4%, or 0.034.

I believe you can still itemize if you get all your income on a 1099, shouldn't make a difference

quote Originally posted by ditch: I understand, but just because it is a 'practice' doesn't mean it is the best route to go, and furthermore (as I said before), how far do you go with it. We lowered taxes on the "wealthy" back in 2001/2003 and tax reveune actually increased, and the economy grew.

Like I said not everyone will agree with it and you're right it may not be the best way to go as I'm sure there is a point where you are punishing the wealthy and may stiffle the economy.

Income Tax if All Bush Tax Cuts Expire:
$5,350
Income Tax if Bush Tax Cuts are Extended:
$3,788
Income Tax under Obama's Tax Proposals:
$2,988

Yet it says
If Congress fails to act to extend the
Bush tax cuts, your income tax burden
will be $1,562 higher in 2011.

I don't follow... unless the point is to make me demand the Obama plan? All I see is the $800 Making Work Pay credit between extending Bush's plan vs. Obama's proposal.

[This message has been edited by USFiero (edited 08-09-2010).]