Americans Spend 6.1 Billion Hours Filing Taxes; Compliance Costs Waste 1/7 of Taxes Paid
April 17, 2015
It really is crazy when you think about it. “. . . it takes U.S. taxpayers more than 6.1 billion hours to complete all the filings required by the tax system, making tax compliance ‘one of the largest industries in the United States’”—according to the IRS’s own reports!
The Wall Street Journal highlights some other shocking numbers:
The federal Taxpayer Advocate ranks complexity as the No. 1 problem facing the tax system and offers an eye-opening estimate of Americans’ cost of complying – $168 billion in 2010, or about 15% of total income-tax receipts.
Lawmakers need to overhaul the tax code completely to reduce the “significant, even unconscionable, burden” placed on taxpayers just to file a tax return, the Internal Revenue Service’s ombudsman told Congress on Wednesday.