At 1:21 PM 1/11/96, Gary Howland wrote:
-----BEGIN PGP SIGNED MESSAGE-----
you think that's a bit ridiculous? i'm paid via an NIH grant given to my adivisor by the govt. this stipend is taxed. it didn't used to be (started to be taxed around '86 i believe). why the hell doesn't the govt just save everyone the trouble and pay me less. i'm sure they could get rid of a couple of IRS people this way.
It's even sillier over here in Europe, and the paperwork is probably ..
I didn't comment when the first remark was made, several days ago, but if others are going to elaborate on it, I will now comment. The government cannot simply take its cut before sending the stipend/salary for a very good reason: they don't know the final tax rates of the taxpayers! Some people will end up paying no taxes, for whatever reasons (low overall wages, lots of deductions and dependents, offsetting capital losses, etc.). Others will pay 20%, and some may even pay more (doubtful, on a stipend, but you get the point). Clearly the government cannot simply "withold" 15%, say, nor can it know in advance the precise amount to withold. A flat tax rate would make this more possible, but would still not be completely accurate. --Tim May We got computers, we're tapping phone lines, we know that that ain't allowed. ---------:---------:---------:---------:---------:---------:---------:---- Timothy C. May | Crypto Anarchy: encryption, digital money, tcmay@got.net 408-728-0152 | anonymous networks, digital pseudonyms, zero W.A.S.T.E.: Corralitos, CA | knowledge, reputations, information markets, Higher Power: 2^756839 - 1 | black markets, collapse of governments. "National borders aren't even speed bumps on the information superhighway."