Column: Limited Edition
Bill Lockyer, California State Treasurer, says that Winston T. Lee of Lafayette, Calif. owes his department $9,940,513.49 representing unfiled state income tax returns since 2002. One wonders, since both Bill and Winston agree that the returns were not filed, how Bill determined the delinquent income tax amount so precisely? At least you would think he could have rounded down on the 49 cents. (Google “California Delinquent Taxes.”)
“Not so,” Mr. Lee tells CNN on tax day. The assessment seemingly was set high enough in hopes of encouraging Mr. Lee to file his past-due returns and pay the correct tax with interest and penalties. “Won’t happen,” further retorts Mr. Lee. “I feel badly about the whole thing but I just can’t bring myself to figure out the complexities of the California income tax forms. I hope they will call me and we can agree on some number and I’ll just pay it.”
If Mr. Lee, a businessman with a few rental properties, is confused by the California returns, he is most fortunate not to be doing business in Michigan. The governor’s new Michigan Business Tax, with its mind-numbing complexities and inequities, sets the gold standard for costly tax attorneys and CPAs. Likely the governor’s State Treasurer has already realized – or soon will – the significant free give-a-ways, tax credits, and subsidies that will be needed to get any prospective new business to buy into the MBT mess, a tax adopted at 2 in the morning by a sleep-deprived (brain dead?) legislature surrounded by dozens of well-paid and wide awake lobbyists. [Full Story]