Thinking of stealing some sweets from your child this Halloween? Erin Lowry of
TaxAct.blog has a few ideas about how your child’s stash of candy could prove to be a valuable tax teaching point. After all, what’s scarier than taxes?
Step 1: Evaluate the stash and point out how their night of “work” has produced good consequences. So just like when Mum and Dad work, there’s been an action done in exchange for a good.
Step 2: Now it’s time for the T word. Pick up a sweet (make it a decent sized one, not the parma violets!), and explain when Mum and Dad earn money some of that money goes to the government as a tax.
Step 3: Explain what taxes are used for - use some specific examples that your child can relate to: school, libraries, parks, etc.
Step 4: Now it’s time to deliver the bad news. You are the government and your child is the tax payer. Because you helped purchase and/or make the costume, and you went out to supervise trick-or-treating, your child should be willing to give up some...