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Totally reasonable (discuss.online)
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[-] Yaky@slrpnk.net 84 points 7 hours ago

/uj

The "money spent on survival" is the standard deduction and deductions in general. Deductions are viewed as if you never made that money in the first place. Whether standard deduction should be larger is another question.

[-] favoredponcho@lemmy.zip 32 points 4 hours ago

Corporations can tell the government what their deduction is, the government tells normal humans what their deduction is.

[-] Blue_Morpho@lemmy.world 23 points 4 hours ago* (last edited 4 hours ago)

Person: $16k for food is part of standard deduction. No deduction for car or rent if you are an employee.

Corporation (which is legally treated as a person): $150k for food for one party. $150k for CEO's Mercedes. $500k for condo for ceo to use when visiting.

[-] takeda@lemmy.dbzer0.com 37 points 6 hours ago

Yeah, because $16k is enough to survive.

[-] errer@lemmy.world 11 points 3 hours ago

A diet of nothing but rice and beans, living in a rented room in a garage, and dumpster diving for all the remaining necessities and you can almost live in California!

[-] piyuv@lemmy.world 15 points 6 hours ago

That’s the thing. Corporations report their own deductions, but individuals have to follow existing law, when there’s a high variance among necessary spending

[-] too_high_for_this@lemmy.world 8 points 5 hours ago* (last edited 3 hours ago)

People can report their own deductions, too. It's just not worth it for most people.

The problem is that the IRS "doesn't have the resources" to audit corporations and millionaires. They basically only audit small business owners.

Edit for sarcasm quotes

[-] Corkyskog@sh.itjust.works 7 points 4 hours ago

Even that though, you can only deduct part of your living expenses. There is no food deduction afaik, there is no deduction for insurance as far as I know.

[-] jtrek@startrek.website 3 points 4 hours ago

I'm pretty sure I read that auditing the wealthy is a huge profit center for the IRS, because they find people who aren't paying what's owed. Naturally conservatives (of any party) hate this and gut it whenever possible

[-] ryathal@sh.itjust.works 1 points 2 hours ago

Auditing in general is profitable, but it's mostly due to it being automated for people that aren't making 7 figures. Auditing the not absurdly wealthy is also generally a positive revenue. Auditing the extremely wealthy tends to not be a great net benefit as the costs of lawyers and court time outweighs the settlement check at the end. There's an argument to be made it's worth the cost to ensure the ultra wealthy do actually pay though.

[-] jtrek@startrek.website 1 points 1 hour ago

It's billions of dollars of tax "avoidance", cheating, and simply not paying. Unfortunately, the wealthy who are calling the shots don't really want to pay millions for IRS lawyers

[-] too_high_for_this@lemmy.world 1 points 2 hours ago

Yeah, if you look at the numbers it's obvious. But libertarians don't let facts get in the way of a good narrative.

[-] Dnb@lemmy.dbzer0.com 4 points 4 hours ago

Which is ass backwards. Audit those with the highest amounts and they made way more money. It's proven it worked that way until they cut funding for it

[-] Perky@fedia.io 16 points 6 hours ago

You can also report your own deductions if you itemize. If your income is low, the standard deduction is probably just significantly bigger than your itemized deductions.

[-] Blue_Morpho@lemmy.world 10 points 4 hours ago

Legal deductions are extremely limited if you are an employee. You can't deduct your car, your rent, or the big screen TV you bought.

For employers, anything that didn't end up in the bank at the end of the year is a deduction.

[-] SpaceNoodle@lemmy.world 18 points 7 hours ago
[-] Proprietary_Blend@lemmy.world 5 points 7 hours ago

I'm pretty sure you are correct.

this post was submitted on 06 Jun 2026
626 points (100.0% liked)

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