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There is frequently confusion and controversy by individuals or couples about how to calculate their Total Tax Liability. Whether or not you decide to calculate your own taxes, it is important to have a "solid" fundamental understanding so that you can ask questions or make recommendations of whoever you select to do your taxes, if you don't do them yourself. Exhibit 3.1 is an important tool.
Discuss the steps to establish........ and the issues that you perceive will happen to you........ when you determine your Total Tax Liability using the terms Adjusted Gross Income and Taxable Income.. If you don't do your own taxes, discuss what questions you can ask your tax consultant to clarify his/her actions, or to possibly find a better return for you, or maybe what you can do next year to make things easier for you financially.
In our class discussion, what are some of the variables to calculate these values for you? What are some of the most important values or adjustments to you as an individual. How have you interpreted this info in the past, as an example, what is the difference between a tax table and tax schedule. Will this info help you and how?? Please don't give me an outlined definition of each term In Exhibit 3.1.
Review the Financial Planning exercises for Chapter 3. These are the type of tax questions that may need to be solved by you in your financial life. Just comment to each other about your tax experiences and plans. .... transfer the concepts of this chapter to the tax issues constantly reviewed by the financial news as it occurs daily.
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