What is the name of your state (only U.S. law)? NV
Both my wife and I own a business. We are filing 2010 jointly.
Our total income for 2010 is $158,000.
Our taxable income is $129,000.
Our accountant just gave us a tax breakdown that looks like this:
Federal Taxes due: $24,700
Self Employement tax due: $22,400
Total due: $47,000!!!
My wife and I are in disbelief that we would have to pay so much in taxes. That comes to a 36% tax rate! We understand we can make contributions to an IRA or SEP plan, but really, this is the United States of America! We are not supposed to pay that much taxes! I would pay the same amount of taxes in Europe but at least enjoy the health and social benefits that comes with it!
Is my accountant completely off or is she forgetting to suggest me something?
Any suggestions/ideas appreciated.
Sincerely
Both my wife and I own a business. We are filing 2010 jointly.
Our total income for 2010 is $158,000.
Our taxable income is $129,000.
Our accountant just gave us a tax breakdown that looks like this:
Federal Taxes due: $24,700
Self Employement tax due: $22,400
Total due: $47,000!!!
My wife and I are in disbelief that we would have to pay so much in taxes. That comes to a 36% tax rate! We understand we can make contributions to an IRA or SEP plan, but really, this is the United States of America! We are not supposed to pay that much taxes! I would pay the same amount of taxes in Europe but at least enjoy the health and social benefits that comes with it!
Is my accountant completely off or is she forgetting to suggest me something?
Any suggestions/ideas appreciated.
Sincerely