Welcome to Chez Cliff!

I’ve been preparing my paperwork for that singular event which I normally greet with enthousiasm:  Tax Season.

After playing this successfully for a number of years, I got the whole thing dialled in.  I know what I can/can’t deduct; what is considered a capital expense and what is classified as maintenance; approximately how many losses will carry over into the following year; etc etc etc.

Of course the best part about tax season is the refund.  I’m a big believer in having to pay a little more now rather than owe the G-man.

This year, I’m rethinking that theory.

The Governator announced that California is $40 billion in the hole.  His right hand man has announced that refund checks to tax payers are going to be delayed.  Will I eventually get a refund?  Eventually.  But this problem isn’t going to go away.   California’s overhead is going to go ballistic.

While the state legislature (Democrat) sends the budget to the Governator (Republican), and these programs continue to get funded, how can one side accuse the other about not being fiscally responsible?  Well with the second trillion dollar bailout approaching, being fiscally responsible is no longer “cool”.

So what can I do about it?  Nothing.  Sure, I can cast my vote.  But I have zero confidence in our government to be fiscally responsible.

Part of my strategy this year will be to tweak my deductions to ensure I get my money.  After all, I would rather reach 2010 and tell the government “Oops, looks like I owe you $1,000” rather than the government tell me “Well Cliff, we owe you $2,500 and we can’t pay you.“