4 ms·

What's the story behind this? In the UK you've been able to file your tax returns online for well over a decade.

confident_inept 3y ago
Directly filing your taxes in the US was currently mail-in only until this pilot originated. Intuit and the likes have lobbied with their millions to make sure the average citizen can only e-file with a few select proprietary options and it has been that way for as long as most anyone remembers. This opens the gates for what might be (I didn't look much into the site) an easy way to e-file directly with the IRS.
- eel 3y ago
  The IRS does have an option for tax payers to electronically fill and file those mail-in forms directly. [0] No printing or mailing required, and there's no income limit. It's called Free File Fillable Forms, and I've used it for the past 4 tax years. [0] https://www.irs.gov/e-file-providers/free-file-fillable-forms https://www.irs.gov/e-file-providers/free-file-fillable-form...
xwolfi 3y ago
In Hong Kong and France, the two places I pay taxes in, it's been digital, free and trivial for as long as I've been a taxpayer, a decade+, as well. It's just weird when you realize the U.S. is so bloated and backward compared to places they criticize constantly like France and HK :D I suppose they don't have ways to pay taxes monthly there either, so it's all a giant lump sum yearly or a tax loan ? I always wondered why giant tax jurisdictions never try to just do one single non-micro-optimized tax rate ladder across everyone and zero other taxes / deduction / special regimen etc. I know HK is much smaller, but having only one single tax to collect at a very simple percentage rate, with very few deduction, makes it so cheap and simpler that the government can reduce taxes because it collects them so efficiently. France collects directly from salary, so now there's no tax return for the vast majority of tax payers, it's a bit riskier since you can't escape it, but... can't do much simpler.
- thrdbndndn 3y ago
  > I suppose they don't have ways to pay taxes monthly there either They have. Interestingly, I actually have trouble to do this with my HK job. There is no way to do this in my company. I have to pay the tax every year in "a giant lump sum".
- weberer 3y ago
  >France collects directly from salary Its the same in the USA for most workers. You file your taxes at the end of each year to confirm all the numbers are correct, and report deductions.
  - jdietrich 3y ago
    In countries like the UK, the tax code is simple enough that most employees never have to file a tax return. There isn't a long list of deductions and exemptions, so unless your financial affairs are particularly complicated or unusual, everything is handled by your employer.
    - zeroonetwothree 3y ago
      Is there no tax on non-employment income?
  - chiefalchemist 3y ago
    And the IRS has most of those numbers (if not all for most people). The process should start with the IRS saying, "Here's what we have so far...". Not "We know but we won't tell you. Don't fuck it up cause them we'll screw up." The process is intentionally designed to insight fear.
    - vundercind 3y ago
      It’s the way it is due to lobbying by Intuit and friends, and Republicans wanting the process to be annoying. You may be correct that it causes fear, but the above is the intent behind the state of things.
heresie-dabord 3y ago
Such a system has been in use in Canada too, since... 2001. https://en.wikipedia.org/wiki/NETFILE https://en.wikipedia.org/wiki/NETFILE
- skobes 3y ago
  NETFILE doesn't interface directly with end users, it's more like a backend service. Canadians still need to use third-party software to file their taxes.
  - heresie-dabord 3y ago
    The government lists certified software, including free applications: https://www.canada.ca/en/revenue-agency/services/e-services/digital-services-individuals/netfile-overview/certified-software-netfile-program.html https://www.canada.ca/en/revenue-agency/services/e-services/...

Directly filing your taxes in the US was currently mail-in only until this pilot originated. Intuit and the likes have lobbied with their millions to make sure the average citizen can only e-file with a few select proprietary options and it has been that way for as long as most anyone remembers. This opens the gates for what might be (I didn't look much into the site) an easy way to e-file directly with the IRS.

eel 3y ago
The IRS does have an option for tax payers to electronically fill and file those mail-in forms directly. [0] No printing or mailing required, and there's no income limit. It's called Free File Fillable Forms, and I've used it for the past 4 tax years. [0] https://www.irs.gov/e-file-providers/free-file-fillable-forms https://www.irs.gov/e-file-providers/free-file-fillable-form...

xwolfi 3y ago

In Hong Kong and France, the two places I pay taxes in, it's been digital, free and trivial for as long as I've been a taxpayer, a decade+, as well. It's just weird when you realize the U.S. is so bloated and backward compared to places they criticize constantly like France and HK :D I suppose they don't have ways to pay taxes monthly there either, so it's all a giant lump sum yearly or a tax loan ? I always wondered why giant tax jurisdictions never try to just do one single non-micro-optimized tax rate ladder across everyone and zero other taxes / deduction / special regimen etc. I know HK is much smaller, but having only one single tax to collect at a very simple percentage rate, with very few deduction, makes it so cheap and simpler that the government can reduce taxes because it collects them so efficiently. France collects directly from salary, so now there's no tax return for the vast majority of tax payers, it's a bit riskier since you can't escape it, but... can't do much simpler.

thrdbndndn 3y ago
> I suppose they don't have ways to pay taxes monthly there either They have. Interestingly, I actually have trouble to do this with my HK job. There is no way to do this in my company. I have to pay the tax every year in "a giant lump sum".
weberer 3y ago
>France collects directly from salary Its the same in the USA for most workers. You file your taxes at the end of each year to confirm all the numbers are correct, and report deductions.
- jdietrich 3y ago
  In countries like the UK, the tax code is simple enough that most employees never have to file a tax return. There isn't a long list of deductions and exemptions, so unless your financial affairs are particularly complicated or unusual, everything is handled by your employer.
  - zeroonetwothree 3y ago
    Is there no tax on non-employment income?
- chiefalchemist 3y ago
  And the IRS has most of those numbers (if not all for most people). The process should start with the IRS saying, "Here's what we have so far...". Not "We know but we won't tell you. Don't fuck it up cause them we'll screw up." The process is intentionally designed to insight fear.
  - vundercind 3y ago
    It’s the way it is due to lobbying by Intuit and friends, and Republicans wanting the process to be annoying. You may be correct that it causes fear, but the above is the intent behind the state of things.

heresie-dabord 3y ago

Such a system has been in use in Canada too, since... 2001. https://en.wikipedia.org/wiki/NETFILE https://en.wikipedia.org/wiki/NETFILE

skobes 3y ago
NETFILE doesn't interface directly with end users, it's more like a backend service. Canadians still need to use third-party software to file their taxes.
- heresie-dabord 3y ago
  The government lists certified software, including free applications: https://www.canada.ca/en/revenue-agency/services/e-services/digital-services-individuals/netfile-overview/certified-software-netfile-program.html https://www.canada.ca/en/revenue-agency/services/e-services/...