- Days left
LAS VEGAS, NV - JANUARY 29: U.S. President Barack Obama delivers his address on immigration reform at Del Sol High School on January 29, 2013 in Las Vegas, Nevada. Obama commended Congress for their bipartisanship efforts in fixing illegal immigration policies. (Photo by John Gurzinski/Getty Images)
John Gurzinski/Getty Images
By CHRIS GOOD

President Obama has plenty of big taxes in his budget proposal.

To achieve $1.8 trillion in new revenue, the president suggested a few of the policies he's raised while battling Republicans over the past four years: taxing higher incomes by capping itemized tax deductions, rolling back domestic-production credits for oil companies, instituting the "Buffett Rule" of a 30 percent minimum tax rate for people making over $1 million in a year, and taxing investment managers' "carried interest" profits as regular income top the list.

But the tax code is a jungle of odd rules, and the penny-pinching side of Obama's budget raises some new taxes (or closes some "loopholes") that might not readily occur to most taxpayers filling out run-of-the-mill 1040s this weekend.

As laid out this week by the Treasury Department in its "green book," a massive spiral-bound document that explains tax changes in the White House budget proposal - it is pale green, and 246 pages - here are some quirky maneuvers the president suggests to offset spending and keep the deficit just a bit lower:


Increase your money and finance knowledge from home

Building Credit from Scratch

Start building credit...now.

View Course »

Introduction to Preferred Shares

Learn the difference between preferred and common shares.

View Course »

TurboTax Articles

What is IRS Form 8824: Like-Kind Exchange

Ordinarily, when you sell something for more than what you paid to get it, you have a capital gain; when you sell it for less than what you paid, you have a capital loss. Both can affect your taxes. But if you immediately buy a similar property to replace the one you sold, the tax code calls that a "like-kind exchange," and it lets you delay some or all of the tax effects. The Internal Revenue Service (IRS) uses Form 8824 for like-kind exchanges.

What are ABLE Accounts? Tax Benefits Explained

Achieving a Better Life Experience (ABLE) accounts allow the families of disabled young people to set aside money for their care in a way that earns special tax benefits. ABLE accounts work much like the so-called 529 accounts that families can use to save money for education; in fact, an ABLE account is really a special kind of 529.

What is IRS Form 8829: Expenses for Business Use of Your Home

One of the many benefits of working at home is that you can deduct legitimate expenses from your taxes. The downside is that since home office tax deductions are so easily abused, the Internal Revenue Service (IRS) tends to scrutinize them more closely than other parts of your tax return. However, if you are able to substantiate your home office deductions, you shouldn't be afraid to claim them. IRS Form 8829 helps you determine what you can and cannot claim.

What is IRS Form 8859: Carryforward of D.C. First-Time Homebuyer Credit

Form 8859 is a tax form that will never be used by the majority of taxpayers. However, if you live in the District of Columbia (D.C.), it could be the key to saving thousands of dollars on your taxes. While many first-time home purchasers in D.C. are entitled to a federal tax credit, Form 8859 calculates the amount of carry-forward credit you can use in future years, not the amount of your initial tax credit.

What is IRS Form 8379: Injured Spouse Allocation

The Internal Revenue Service (IRS) has the power to seize income tax refunds when a taxpayer owes certain debts, such as unpaid taxes or overdue child support. Sometimes, a married couple's joint tax refund will be seized because of a debt for which only one spouse is responsible. When that happens, the other spouse is said to be "injured" and can file Form 8379 to get at least some of the refund.

Add a Comment

*0 / 3000 Character Maximum

619 Comments

Filter by:
bobkat15

Do people on welfare have taxes taken out of their welfare checks? I am just trying to figure out how every American would pay taxes if folks on welfare don't pay taxes. And to that end if taxes are taken out of their check is that money also the hard working American's who are paying for their welfare paying the taxes on their welfare checks??? This really has not much to do with the article but I am very curious about welfare.

April 16 2013 at 4:50 PM Report abuse -5 rate up rate down Reply
mhcontain

Just look at your phone or cable bill. DIA Democrats In Action.

April 16 2013 at 2:15 PM Report abuse -5 rate up rate down Reply
renner1234

Typical Democrat, tax who and what ever you can.

April 16 2013 at 1:35 PM Report abuse -5 rate up rate down Reply
Barbara

Ah, check out the Virginia "no tax" governor. He is coming up with novel ideas to tax the old and poor and reduce taxes for others. I can't afford a car so a reduction in gas taxes won't help me but raising the taxes on everything else?!?!? Good thing the poor don't need groceries.

April 16 2013 at 1:10 PM Report abuse +3 rate up rate down Reply
gpfs

Scrap the current tax code, tax gross receipts with no deductions,credits or exemptions, six tax brackets, with one standard deduction. No special deals for anyone, everyone pays a "fair share"!

April 16 2013 at 1:03 PM Report abuse rate up rate down Reply
okrawimfry

He's also proposing a cap on what you can put in your retirement account without a massive tax. Can you believe he's trying to tell us how much we can save for retirement?

April 16 2013 at 12:18 PM Report abuse -4 rate up rate down Reply
hartford14225

They actually used the term "penny pinching" and Obama in the same sentence, is that isn't an oxy moron nothing is!

April 16 2013 at 10:04 AM Report abuse -3 rate up rate down Reply
cptom49

did you hear about the new tax in MD they are going to tax the rain that runs off of peoples houses and paved drive ways . shhhhh !!!!!! dont tell pres obama he'll tax do the same to you what an idiot the obama EPA at work !!!!! to much power to many stupid rules putting people out of work and taking money out of our pockets to save the air and water that doesnt need saving !!!!!!

April 16 2013 at 9:32 AM Report abuse -4 rate up rate down Reply
gliverson

The flat tax of 17% was introduced into Congress back when Kenedy was still in congress about 20 years ago. It was stopped by Democrats of whom, Teddy spoke for them saying that, "We will never give up the power to tax as we wish." If most of the current voting Democrats actually knew what Dems had done in the past, that they now blame on Repubs, they would probably become Repubs or the Free Tea Party folks. Just because no history knowing honest person could ever be a true Socialist/ Marxist Democrat!

April 16 2013 at 9:05 AM Report abuse -6 rate up rate down Reply
1 reply to gliverson's comment
Avid

A flat tax is a bad idea. So is the racist, hate driven, economy destroying, agenda of the Tea Party. Look up Socialism in the dictionary. Guess what? You ARE a socialist!

April 16 2013 at 9:17 AM Report abuse rate up rate down Reply
2 replies to Avid's comment
Keith

Hey D-Bag ..................... tell us one,just one, racist thing that the Tea Party stands for ?????? Get a life and a brain you freakin' moron !!!!! Or better yet,get a job and pay taxes and we 'll see your uneducated opinion change real quick like !!!!!!!!

April 16 2013 at 12:07 PM Report abuse -4 rate up rate down
okrawimfry

A flat tax is the best idea. The fairest idea. Everyone pays.

April 16 2013 at 12:19 PM Report abuse -6 rate up rate down
gliverson

Unless we reighn in ourselves as a nation, we will spend ourselves into oblivion just like anchient Greece did 2000 years ago! And seems to be doing even now today.
You cannot "spend yourself into wealth" and niether can any nation regardless of fantacies from the news media and Obama to the contrary! When enough people want enough money for free fomr our taxpayer pot of gold, and they pay nothig ito to it first before they get something back out of it.... it cost them nothing, so they have no interest in seeing it flourish.... so they will continue to vote benefits for themselves. When that group of voters reaches around 49% the rest of the nation doomed, for they will always vote to take from someone else what they earned to get for themselves. = the end.

April 16 2013 at 8:59 AM Report abuse -2 rate up rate down Reply