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Vern Jacobs' Taxwire

Commentary, news and reflections about
this taxing life, by Vernon Jacobs, CPA.

Jacobs is the co-author of Legal Ways to Save Taxes Offshore & Onshore, of Offshore Tax Strategies, of The Controlled Foreign Corporation Tax Guide and of Risk Management for Amateur Investors. He is the Editor & Publisher of the International Wealth Protection Monitor newsletter and the free Q&A service, the Jacobs Report on International Financial Planning. He is the President of Offshore Press, Inc. and is a member of the International Tax Technical Resource Panel of the American Institute of CPAs. He has been a CPA since 1962, with a focus on taxes since 1975. .

Vernon K. Jacobs, CPA

Tax Reform Backlash

One of the common ways in which taxpayers attempt to reduce their taxes is through political participation. The problem with this approach is that you can invest a great deal of time and money without ever getting any personal benefit from it. First, you have to find or to persuade a number of other people to agree with whatever political change you wish to make. The more people you get involved in your program (or in support of your candidate), the more variations on your objectives that will be introduced and the more compromises you will have to make to secure support.

But getting a change in the law isn't an assured solution.

What will happen when the folks who didn’t support your preferred methods to change the law realize what you and your supporters have done to them? It’s simple. They will react by pressuring their political representatives to change the system back to the way it was.

On it will go, back and forth. Changing the method of taxation by political means is like an endless tug-of-war. You end up investing a huge amount of  energy, time and money in a cause that will - at best - only provide you with a very small benefit. At worst,  you will get no benefit at all and will be out of  pocket for the value of your time and for the money you have contributed to the cause. 



by Vernon Jacobs, CPA

Co-author of Legal Ways to Save Taxes Offshore & Onshore
http://www.offshorepress.com/legalways2save.htm

Contact Information: Email jacobs1@kc.rr.com.  Phone 913-362-9667, Fax 913-432-7174, U.S. mail to POB 8194, Prairie Village, Kansas, 66208. www.vernonjacobs.com

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Jacobs is the co-author of Legal Ways to Save Taxes Offshore & Onshore, with J. Richard Duke, JD, LLM.
Legal Ways to Save Taxes Offshore & Onshore

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