• News
  • Celebrities
  • Finance
  • Crypto
  • Travel
  • Entertainment
  • Health
  • Others

Volcker Panel: Simplify the Tax Code « The Washington Independent

After 18 months of intensive study, the President’s Economic Recovery Advisory Board has released (PDF) a comprehensive review of the country’s tax code and made recommendations for simplification.

The board notes that the tax code has changed so often — 15,000 times since a major 1986 tax overhaul — it is impossible to keep up with and confusing for families. And the report explains that the dizzying profusion of credits and deductions frays filers’ nerves and makes them less likely to claim eligible or appropriate credits. That is particularly harmful for low-income families, often eligible for dozens of overlapping credits.

Taxpayers and businesses spend 7.6 billion hours and incur significant out-of-pocket expenses each year complying with federal income tax filing requirements. In monetary terms, these costs are roughly equivalent to at least one percent of GDP annually (or about $140 billion in 2008). These costs are more than 12 times the IRS budget and amount to about 10 cents per dollar of income tax receipts. The IRS estimated that for 2008, taxpayers filing Form 1040 spent an average of 21.4 hours on federal tax-related matters.

The 120-page report contains a number of recommendations, among them: Bring down the corporate tax rate, which at 35 percent is the second-highest among industrialized countries, and simplify taxes for families and individuals. Doing so would not only help ease the strain of preparing taxes on families, but would improve compliance, the report says. Incorrect individual and family filings make up the bulk of the “tax gap,” the difference between what the government thinks it should collect and what it does.

Discussion & Comments (0)

    Recent Articles

    • Things You Should Know about North America

      Things You Should Know about North America

      Get to know more about North America.

    • Eurovision 2010 Paula Seling Unpredictable Contest

      Eurovision 2010 Paula Seling Unpredictable Contest

      Paula Seling's experience on the Eurovision stage led her to declare that "Eurovision is an unpredictable contest". Which may explain the success of the young Lena from Germany, about whom the predictions before the event did not offer much chances for victory.

    • VIPRow.me - The Best Sports Streaming Website Today

      VIPRow.me - The Best Sports Streaming Website Today

      Have you ever contemplated creating a user-friendly site dedicated to sports-related free live streaming channels?

    • Learn How To Download, Install, And Use The Xnxubd 2022 Frame App

      Learn How To Download, Install, And Use The Xnxubd 2022 Frame App

      XNXUBD 2022 Nvidia users are able to watch thousands of videos and other contents online. XNXUBD 2022 Nvidia New is a piece of software that enables people to watch videos online without having to pay for memberships. On a graphics card, the XNXubd also provides some of the best gaming and virtual reality experiences.

    • Xvideostudio Video Editor Apk Free Download For Pc Full Version In 2022

      Xvideostudio Video Editor Apk Free Download For Pc Full Version In 2022

      A new edition of the Video Editor Apk for xVideostudio.Video Studio has all the latest features, including support for multiple video download formats in HD, FHD, and even 4K resolutions.

    • 9 Best Lotion For Masturbation - Popular Choice For 2022

      9 Best Lotion For Masturbation - Popular Choice For 2022

      Masturbation is a common activity for men and women. It's a natural and risk-free way to explore your body, experience pleasure, and release sexual tension.

    • Reasons Why You Need To Stop Watching Movies From Sflix

      Reasons Why You Need To Stop Watching Movies From Sflix

      Without having to sign up or pay anything, you can watch movies online for free with SFlix. It has more than 10,000 movies and television shows.

    • Coi Leray Mom And Dad's Family History & Wife, Explained

      Coi Leray Mom And Dad's Family History & Wife, Explained

      Coi Leray Collins (born May 11, 1997) is a rapper from the United States. Leray started publishing songs to SoundCloud in 2014, and in 2018 she released her breakthrough track "Huddy" as well as her first mixtape, Everythingcoz.

    • Listen And Download Music On MyFreeMP3 For Free

      Listen And Download Music On MyFreeMP3 For Free

      Are you in a bind and looking for a place to obtain free mp3 songs? Never again will you need to bother, since this article has everything necessary to obtain your solution. Download free music from MyfreeMP3.com, one of the world's most popular websites.