Kalifornia just wasted a sh!tload of fvcking money building a new IT system that was suppose to track all these things… Now, we know it was a complete WASTE OF MONEY….(And yes, even if the Fed’s position changes in later years, those IT systems will be outdated and useless and need to be redone…)
HA HA HA HA HA.
You think the FTB might have investigated this BEFORE SPENDING MONEY ON THE IT SYSTEM? LOL LOL LOL LOL LOL.
You know, I don’t want to gloat. But I did say this was a dumb idea. I did tell ya folks for a fat/bureacratic/slow/blob of an organization to have an actual working system in place, they had either been bullshiting or have severely cut corners somewhere…Well they did…Apparently they skipped the entire requirements/business analysis/legal “project planning phase” skipped right to building the system! Lol…. That’s almost a first! The business analysts/business architects that skipped this part on this project should have been fired. But hey, this is an IT consultants worker’s dream come true. State pays you a crap load of money for a system that isn’t going to be used…EVER… No accountability required….
Love it. Just love it.
Dumbasses… Pure dumbasses.
This FTB webpage sure reads differently today then it did when BG first posted the top article… Here you go, copy and pasted from FTB…
In November of 2011, FTB kicked off the Real Estate Tax Deduction Educational Campaign to help educate taxpayers and tax preparers on how to calculate the allowable real estate property tax deduction as an itemized deduction. California conforms to federal law for the deductibility of real property taxes. As part of this effort and in response to some conflicting information provided by the IRS regarding the deductibility of real property taxes that were not assessed on an ad valorem basis, the FTB wrote to the IRS in December 2011 requesting clarification on circumstances under which real property taxes are deductible for federal income tax purposes as an itemized deduction. A copy of that letter is provided here. In response to this request, the IRS has issued a letter stating that certain portions of their current forms and instructions should be revised to more accurately reflect the position of the IRS on this issue. A copy of that response is also provided here. Specifically, contrary to current federal instructions, the IRS has clarified that real property taxes may be deductible even though they are not imposed on an ad valorem (assessed value) basis. Specifically, the IRS has stated that:
Assessments on real property owners, based other than on the assessed value of the property, may be deductible if they are levied for the general public welfare by a proper taxing authority at a like rate on owners of all properties in the taxing authority’s jurisdiction, and if the assessments are not for local benefits (unless for maintenance or interest charges).
The letter goes on to state that appropriate revisions to the IRS forms and publications on the subject will be recommended.
Under current law, the deductibility of real property taxes is generally a matter of federal law to which California conforms. As such, the FTB will be waiting to review the revisions to the IRS forms and publications to provide comparable revisions to California tax form instructions. The FTB does not anticipate that these revisions will be made prior to the due date for 2011 tax returns (April 17, 2012). We have removed material from our website that limits the deductibility of real property taxes to taxes imposed on an ad valorem basis. Once the IRS forms and instructions are revised, we will provide revised California forms and instructions that are consistent with the revisions made by the IRS.
At this time, we do not plan to add additional reporting requirements related to the real estate tax deduction beginning with the 2012 tax return.
Don’t you folks think it’s kinda ironic that FTB would release this new information 4 days before taxes are due?
Not that it matters to me one on federal taxes because of AMT, but my CA refund just went up… HA
Priceless
I guess a lot of you will be redoing your taxes for the past 5 years.
Briansd, you can stop paying your internet sales tax again…(inside joke)
