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That's an interesting point you bring up. By holding their cards to their chest, the IRS ensures there is significant risk in tax evasion. If they were to send
by telchar 9y ago
That's an interesting point you bring up. By holding their cards to their chest, the IRS ensures there is significant risk in tax evasion. If they were to send out a pre-prepared return, any mistake the IRS made there in a filer's favor would be much less likely to be caught as long as the filer went along with it. By not revealing in advance what they know they incentivize the filer to be honest and thorough.
- maxxxxx 9y agoThat means antitax people should be for such proposals not against.
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- bhauer 9y agoI think many or most anti-tax people do indeed favor proposals that simplify the process of paying taxes. I wouldn't call myself "anti-tax," but I definitely prefer to pay lower taxes, and as few flavors of tax as possible, so maybe that meets the definition you had in mind. I dislike paying income tax in significant part thanks to the painful process we use in the US. And that painful process is principally due to the complexity of our tax law and the IRS treating all taxpayers as guilty of fraud by default, expecting each to prove otherwise. Given the modern surveillance state, the IRS could send most of us a form saying, "We know you owe $X more than you had deducted; pay up, citizen." But they do not. In fact, for most of us, the IRS could more seamlessly handle our withholdings so that April 15 is a complete non-event, but they don't do that either. Basically, they don't provide services to taxpayers. We're not customers.
- maxxxxx 9y agoI am not sure what you are trying to say here in regards to the IRS sending a prefilled tax return bass in their knowledge and you then being able make corrections as you see fit.
- Spooky23 9y agoNot at all. Taxes aren’t a negotiation... 90% of taxes are known because IRS has all of the data already. The strategic goal of any tax organization is to maximize voluntary compliance and invest enforcement for maximum return. Pre-prepared returns would eliminate most of the fraud committed by normal people.