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Kansas out of money, refunds might be held - 2/16/2009 2:07:39 PM   
Lockit


Posts: 11292
Joined: 5/7/2007
Status: offline 		The news just came on and said that Kansas was out of money and that people may not get their refunds because the state plans to hold them and use them.  They also said that state employee's may not get paid.  I can't find a link yet, but am looking.  They said this may be an attempt to manipulate things.

I know with my son on disability I have often wondered if this economy and problems would lead to programs and states running out of money and what would happen.  What do you all think?

I will post a link if I can find one.

Okay here is a link I found.

http://www.kctv5.com/news/18725422/detail.html



< Message edited by Lockit -- 2/16/2009 2:20:51 PM >

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RE: Kansas out of money, refunds might be held - 2/16/2009 4:12:27 PM   
TNstepsout


Posts: 1558
Joined: 8/3/2005
Status: offline 		Someone told me they were doing the same thing in California. They were using the state tax refund money to pay vendors.

This can't be good.

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RE: Kansas out of money, refunds might be held - 2/16/2009 4:19:29 PM   
corysub


Posts: 1492
Joined: 1/1/2004
Status: offline 		The Governors are playing hardball with peoples lives.  They are all lining up with their hands out for some of those hundreds of billions of dollars going to be directed to the States.  Obama said that he will create or "save" 4 million jobs...I dunno his number is a moving targe...and what we are seeing is the talley sheet being created..Saving 10,000 jobs in Kansas..30,000 jobs in Cali...thousands more in New Jersey, Pennsylvanis, Mass...and on and on....  We are all being suckered into this mess of a Stimulus Package....Of all the people on CM at this very moment...I doubt if "anyone" is going to be helped by this farce the democrat party has pulled on the taxpayers of this country.  Please let me know in a year..that I was wrong...

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RE: Kansas out of money, refunds might be held - 2/16/2009 4:34:29 PM   
DarkSteven


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Status: offline 		The governments are immune to lawsuit, but the governor should be hit with impeachment drives like yesterday.

The tax refunds are simply money that the government collected over what they are owed in taxes. They're doing nothing more than holding it for individuals prior to them reclaiming it on their taxes.  For them to seize those funds that do not belong to them simply because "we need the money" violates the principle of eminent domain, which permits the government to take property but only if adequate recompense is made.


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RE: Kansas out of money, refunds might be held - 2/16/2009 6:16:02 PM   
MasterG2kTR


Posts: 6677
Joined: 8/7/2004
From: Wisconsin
Status: offline 		The solution is simple.....change your withholding for the current tax year (2009) to ultimately have too little withheld then simply back charge the state for the refund you didn't get. Do this until the balance is even with the state. Then take your withholdings back to a normal level.

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RE: Kansas out of money, refunds might be held - 2/16/2009 6:22:10 PM   
Lockit


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Status: offline 		LOL MasterG2KTR!  Gotta love it when you can beat the unfair system at their own game.  From what is being said it is a manipulation to get certain people to do certain things. They are seemingly power playing at the tax payer's expense.  I can't speak about it as I don't understand enough with the report's I heard and such being rather vague.

It shouldn't be legal to withold a tax refund so that they can use it.

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RE: Kansas out of money, refunds might be held - 2/16/2009 6:24:14 PM   
Lockit


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Status: offline 		Very interesting DarkSteven... I think I need to think on that one a bit.  It makes sense in a way... and yet I am trying to remember more so I can work it out in my brain.  That could take a while! lol

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RE: Kansas out of money, refunds might be held - 2/16/2009 6:27:57 PM   
Crush


Posts: 1031
Status: offline 		*phew*
Glad I got my fed tax refund already!   Oh wait, they just print more.

Sucks that States are doing this to their own citizens. 


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RE: Kansas out of money, refunds might be held - 2/16/2009 6:38:17 PM   
MrRodgers


Posts: 10542
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quote:

ORIGINAL: DarkSteven

The governments are immune to lawsuit, but the governor should be hit with impeachment drives like yesterday.

The tax refunds are simply money that the government collected over what they are owed in taxes. They're doing nothing more than holding it for individuals prior to them reclaiming it on their taxes.  For them to seize those funds that do not belong to them simply because "we need the money" violates the principle of eminent domain, which permits the government to take property but only if adequate recompense is made.

Would hope your Kansas courts are more in agreement with you than Va.courts. A civil liability fund was accumilated in Va. funded from witholding a portion of RE commissions for lawsuits against bankrupt brokers.

The state decided at $6 million that the fund was overfunded. So did the difference get back to us agents ? No, the state took $2 million. The courts said the state was sole arbitrator of this fund and as a result...had that right. Never mind it wasn't their money but our money.

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RE: Kansas out of money, refunds might be held - 2/16/2009 6:53:43 PM   
hardbodysub


Posts: 1654
Joined: 8/7/2005
Status: offline 		I got my refund from MA electronically 3 or 4 days after I filed. Just sayin'.

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RE: Kansas out of money, refunds might be held - 2/16/2009 6:57:19 PM   
GreedyTop


Posts: 52100
Joined: 5/2/2007
From: Savannah, GA
Status: offline 		makes me glad that FL doesnt have a state income tax

(the Fed refund should be immune, right?  )

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RE: Kansas out of money, refunds might be held - 2/16/2009 7:51:43 PM   
TreasureKY


Posts: 3032
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From: Kentucky
Status: offline
quote:

ORIGINAL: DarkSteven

The governments are immune to lawsuit, but the governor should be hit with impeachment drives like yesterday.


I'm not sure there would be any impeachable offense.  Besides, it's the State legislature that would have to do the impeaching and I would imagine that suspending refunds might be something they had a hand in (or approved of).  They might not be so keen on the idea.

The correct response (if you live in the right state) would be to recall the Governor.  Lucky for Kansans, they are allowed to do so.  Here's how.

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RE: Kansas out of money, refunds might be held - 2/16/2009 9:40:34 PM   
TheHeretic


Posts: 19100
Joined: 3/25/2007
From: California, USA
Status: offline 		       Yep.  California simply isn't sending any refund checks, as I hear it (dunno for sure, we haven't done the taxes yet.)

      And Governor Girly-Man has caved to the public-sector unions.  No lay-offs for gov't employees, no matter how many of the people who pay their salaries get the ax.  Next will be a stoppage of the money to the counties for welfare benefits.  That could get ugly.

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RE: Kansas out of money, refunds might be held - 2/17/2009 1:38:26 AM   
Vendaval


Posts: 10297
Joined: 1/15/2005
Status: offline 		Fast Reply -
 
I remembered that several states are facing shortfalls and while looking up how many specifically, found that it is 46 out of 50.  The report is linked below, graphs and tables on that page. 

"STATE BUDGET TROUBLES WORSEN"
 
By Elizabeth McNichol and Iris J. Lav

"States are facing a great fiscal crisis.  At least 46 states faced or are facing shortfalls in their budgets for this and/or next year, and severe fiscal problems are highly likely to continue into the following year as well.  Combined budget gaps for the remainder of this fiscal year and state fiscal years 2010 and 2011 are estimated to total more than $350 billion.
 
States are currently at the mid-point of fiscal year 2009 — which started July 1 in most states — and are in the process of preparing their budgets for the next year.  Over half the states had already cut spending, used reserves, or raised revenues in order to adopt a balanced budget for the current fiscal year — which started July 1 in most states.   Now, their budgets have fallen out of balance again.  New gaps of $51 billion (over 10% of state budgets) have opened up in the budgets of at least 42 states plus the District of Columbia.  These budget gaps are in addition to the $48 billion shortfalls that these and other states faced as they adopted their budgets for the current fiscal year, bringing total gaps for the year to 15 percent of budgets."

http://www.cbpp.org/9-8-08sfp.htm 




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RE: Kansas out of money, refunds might be held - 2/17/2009 1:52:32 AM   
TheGorenSociety


Posts: 116
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Status: offline 		If you think this is bad now, just wait until the commercial real estate and most of the industrial components fail. It is only going to get allot worse.

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RE: Kansas out of money, refunds might be held - 2/17/2009 3:24:47 AM   
sambamanslilgirl


Posts: 10926
Joined: 2/5/2007
From: Chicago, IL
Status: offline 		here in IL, we're 9 billion in the hole thanks to our ex-gov Blago - most of that comes from state programs and services like free rides for seniors on public transportation and Kids & Families Healthcare which he approved without the state legislature. this also created rippling effect with other state and local agencies because he failed to tell them like CTA (Chicago  Transit Authority) how much it would cost and who would pay for it.

last year, the state wasn't able to pass a 2008-2009 budget - and we still don't have a budget. even the emergency funds for something like has run dry. agencies, programs and public services are waiting to be paid, and soon the state will have to work on the 2009-2010 budget trying to balance and pass it before May 31 (not likely). CTA is already talking about how much in the red they still are after rising fares to cover that free senior rides program but it's not enough. they have projects they're repairing for the last 2 years.

they haven't said anything about withholding state refunds but one official did ask people not to use those money refund loan agencies.

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RE: Kansas out of money, refunds might be held - 2/17/2009 3:34:53 AM   
sambamanslilgirl


Posts: 10926
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From: Chicago, IL
Status: offline
quote:

ORIGINAL: TheGorenSociety

If you think this is bad now, just wait until the commercial real estate and most of the industrial components fail. It is only going to get allot worse.

funny you should mention the industrial side. my dad's job is gradually dwindling away and he's the last of the tie/die makers of his generation in that plant. where he works (Rexam - aluminum soda can factory) the plant closed 2 lines, cut hours from 12/4day shifts to 8/5day shifts and now they close on holidays (including the non-federal ones) because their biggest customer, Coca Cola Co, is cutting back on orders. so far they closed plants in Atlanta and OKC ...soon it will between the one here (where he works) and the one in Minnesota.

when i worked there during my summer while attending university, that place was always running - nonstop 24/7/365 with 4 lines running, 12hr shifts/4 day work schedules including holiday pay (never closed on holidays). about 2 to 4 million cans would be made in a month - summer would their busiest season. if they close this plant, my dad will have to take an early retirement sooner than he had planned.

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RE: Kansas out of money, refunds might be held - 2/17/2009 3:51:19 AM   
TheGorenSociety


Posts: 116
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Status: offline 		I know I will not bore everyone with my list of problems, but only to say I have been fighting a down hill battle since 2000and this was my third come back.I have seen so much greed and fraud, there is no way any amount of money they throw at this is going to stop it.This system is built on fraud and now the house of cards is beginning to fall.I hope they choke on the paper they have created.

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RE: Kansas out of money, refunds might be held - 2/17/2009 7:39:25 AM   
Lockit


Posts: 11292
Joined: 5/7/2007
Status: offline 		I awoke to hear that they gave 50 million to starving artist.  Now I love artist and art, but I think there are better ways to spend 50 million dollar's in this situation.  When I budget I do not budget in anything I can live without and that includes many things many people could not.  Entertainment is out... all outtings, all gas for anything but where I must go or even the car goes... You don't eat steak, you eat beans, you don't go to malls, but to thrift stores or low cost department stores. 

What the hell is wrong with these people that they spend like that when they can take people's tax refunds?  I see a boston tea party and then some coming.  Over tax people who cannot feed and provide housing and medical care to their families... and you have some pretty mad people.

Do we need to secure our homes so that those overburdened and of the mind to take what they need person's will be taking what they need?  I am not a panicky person... but it isn't rocket science to know that people are going to be getting what they need however they need to and some might suffer because crime goe's up in a bad economy.

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RE: Kansas out of money, refunds might be held - 2/17/2009 7:45:54 AM   
KatyLied


Posts: 13029
Joined: 2/24/2005
From: Pennsylvania
Status: offline 		Are you talking about the state withholding tax on taxable wages?  I'm confused as I never receive a refund as I have the exact amount withheld from my paycheck as needed.  How are people getting refunds?

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