Some tax humor for you guys (and of actual interest to some self employed)

[johnny847]

I generally can't share humorous tax situations with my friends because they don't care and don't know how to file their taxes without software, so I thought I'd share with you guys!

Want to see a self referencing loop in taxes? http://thefinancebuff.com/circular-reference-in-self-employed-health-insurance-deduction-under-obamacare-premium-subsidy.html
And then the follow up post: http://thefinancebuff.com/irs-guidance-on-circular-reference-in-obamacare-premium-subsidy-and-deduction.html

[MDM]

Nice.

Much as lotteries can be described as a tax on the statistically challenged, it appears this is a credit for the numerically gifted....

[gimp]

The funniest part is that in the followup post, he writes that the IRS looked at this, say "Shit, you're right," and spelled out the iterative method. Which you iterate until convergence, though you can stop after two rounds if you're lazy and want to leave money on the table.

That's the funniest part: the IRS agreed that that was the correct method, based on how the law is written. "This is stupid. But it's what we gotta do. Just cycle it a bunch."

[johnny847]

The funniest part is that in the followup post, he writes that the IRS looked at this, say "Shit, you're right," and spelled out the iterative method. Which you iterate until convergence, though you can stop after two rounds if you're lazy and want to leave money on the table.

That's the funniest part: the IRS agreed that that was the correct method, based on how the law is written. "This is stupid. But it's what we gotta do. Just cycle it a bunch."

Oops, I thought I had linked the followup post! Editing the original post now....
But yea, the law is funny sometimes =)

[johnny847]

Nice.

Much as lotteries can be described as a tax on the statistically challenged, it appears this is a credit for the numerically gifted....

Funny story about that. The other day I was bored at the grocery store and bought a $1 lottery ticket (with no expectation of winning anything). But I actually won $25.

[Sibley]

That makes my brain hurt.