Taxes in the US are unnecessarily stressful. I remember going to H&R Block and being sent home to find some piece of supporting documentation because it was “really important”. I turned the whole apartment upside down but wasn’t able to find it. Went back to the tax preparer in a state of high anxiety. When I asked what would happen if I couldn’t find the document and was told the impact on the final assessment could be as high as $80. Would have gladly spent 10x that to avoid the stress.
This is by design. Income tax filing is a long-solved problem in much of the first world.
One of the easiest ways to convince the public that the government is inept and wasteful is to make it as difficult to do the necessary as possible. If politicians cared, this wouldn’t be an issue.
Basically nothing is going to happen to you if you make a best effort. So many people focus on getting it correct and pay hundreds or thousands to do so. I've filed my taxes incorrectly by accident for years and the IRS just sends me a correction and the new amount
Politicians do care. Unfortunately, the ones who care are the ones who want taxes to be painful and complicated, to benefit the TurboTax lobby and/or to keep people constantly viscerally aware that they're paying taxes at all.
This is the result of decades of Republican lobbying, legislation and outright sabotage. The philosophy, openly advertised by Grover Norquist's Americans for Tax Reform, goes like this: nobody likes taxes. So if people find the filing process difficult and stressful every year, they will be constantly reminded of this fact. This will in turn make them more open to suggestions and propaganda along the lines of taxes being something that must be fought tooth and nail at every turn, because let's face it, who wants the tax code to become even more complex?
In contrast, if the process is streamlined every year, most people won't even pay attention to how much they pay in taxes - which isn't great if your ultimate goal is to keep government as small as possible.
The ease in which you can get away with these tactics ad infinitum is starting to make me a pessimist. It feels like it takes almost an entire population of unified people, that are diligently advocating on behalf of themselves, to compete with a ruling class that has the resources to stay on the offense forever.
The ruling class doesn't even have to actively communicate and conspire with one another (although they do). Their independent attempts to undermine and control government furthers the agenda of all private businesses.
It's to H&R Block's benefit to make you feel that taxes are stressful and you need 3rd party help, though. That you were stressed out about this interaction is H&R's fault; not the law or the IRS.
> It's to H&R Block's benefit to make you feel that taxes are stressful and you need 3rd party help, though. That you were stressed out about this interaction is H&R's fault; not the law or the IRS.
H&R has lobbyists to ensure taxes are complicated and stressful.
H&R Block isn’t exactly the top tier accounting option. Not sure what you were expecting. It’s like going to McDonald’s and being disappointed at the food quality.
> the impact on the final assessment could be as high as $80
That's the financial impact. Depending on what you're missing, the nonfinancial might be opening yourself to perjury, because you're knowingly claiming a falsehood as a fact on a tax return (even if it's financially in the government's benefit)... never mind potentially screwing up future tax returns in the process.
The IRS Direct File was shut down by the current administration. And no, it was way more effort than what two interns could do. https://github.com/IRS-Public/direct-file
This is insane to me. Not only is the US tax code so complex you need a specialist to help you fill in the tax return but those specialists apparently also have a justified expectation of income and thus can’t be replaced by a freaking web app. Let alone a pre-filled one. I spend 15-20 minutes on my tax return in Estonia and only take that long, because I have some savings in places that do not do the reporting for me. The refund appears on my bank account usually within a few days. We are not the most capable country nor have the best engineers (hello, I’m the former CIO of Estonian Tax and Customs). We don’t have mountains of money either. And yet, here is a solution (and has been for 20+ years by now), that’s two orders of magnitude better, than the solution used by the leading country of the free world. Just why?
I've had the IRS reach out to me several times, each time it's a letter explaining their position and I responded and we went back and forth a few times and it was over.
As a RA-ship student in the US, I still had taxed withheld on my meager grad student "salary", and was required to file a 1040NR-EZ. I obviously did not want to spent 50$ at H&R block, to claim like 200$ back. Fortunately the local library had sessions where you could grab a blank form (the library had boxes full of them), and someone walked a bunch of us (i think there were like 40 in the room), to filling it out. The session mailer had already listed the stuff we were supposed to bring with us at the session. Even if someone forgot, they could leave a place holder and take care of it later.
The session was an hour long, and I was done with my return by the end of the hour. I dropped it off in the mail on my way back from the library and that was the end of it. From the subsequent year onwards, a pre-printed form arrived in the mail with like 90% of the stuff prefilled, and it took like 5 minutes to fill out the rest and drop it in the post box.
I honestly didn't think it could have been any easier - of course, not having taxes withheld from a far-below-minimum wage salary would have been nicer.
Sounds like a very good idea. I never got a math error notice but I've gotten a few that were fundamentally a case of transposed digits--and it was not one bit clear. You didn't report interest from ABC--but looking at my return it clearly shows interest from ABC. It would have been much easier if they said their files show more interest from ABC than you are reporting.
I guess we're pigeonholing the end of direct file already in less than a year. The article doesn't even mention it.
Having seen their work before, wakeuptopolitics is a sort of fetishist for appearing unbiased or centrist so they won't bother calling out "one side" in order to appear to be enlightened and above the fray at the expense of the truth. While Democrats also get money from turbo tax et al., it was Trump who ended it likely just to spite Joe Biden, in his usual manner.
One of the easiest ways to convince the public that the government is inept and wasteful is to make it as difficult to do the necessary as possible. If politicians cared, this wouldn’t be an issue.
In contrast, if the process is streamlined every year, most people won't even pay attention to how much they pay in taxes - which isn't great if your ultimate goal is to keep government as small as possible.
The ruling class doesn't even have to actively communicate and conspire with one another (although they do). Their independent attempts to undermine and control government furthers the agenda of all private businesses.
H&R has lobbyists to ensure taxes are complicated and stressful.
That's the financial impact. Depending on what you're missing, the nonfinancial might be opening yourself to perjury, because you're knowingly claiming a falsehood as a fact on a tax return (even if it's financially in the government's benefit)... never mind potentially screwing up future tax returns in the process.
An intern or 2 could do this for the entire nation to benefit!
As a long-time Estonian resident and engineer, how can I help? (My email is in my profile)
I paid on the actual official website, did not get scammed BTW...
Are people going to jail for a math error?
I've had the IRS reach out to me several times, each time it's a letter explaining their position and I responded and we went back and forth a few times and it was over.
No police showed up...
The session was an hour long, and I was done with my return by the end of the hour. I dropped it off in the mail on my way back from the library and that was the end of it. From the subsequent year onwards, a pre-printed form arrived in the mail with like 90% of the stuff prefilled, and it took like 5 minutes to fill out the rest and drop it in the post box.
I honestly didn't think it could have been any easier - of course, not having taxes withheld from a far-below-minimum wage salary would have been nicer.
Having seen their work before, wakeuptopolitics is a sort of fetishist for appearing unbiased or centrist so they won't bother calling out "one side" in order to appear to be enlightened and above the fray at the expense of the truth. While Democrats also get money from turbo tax et al., it was Trump who ended it likely just to spite Joe Biden, in his usual manner.