Taxpayers Spend 6.1 Billion Hours, $234 Billion Per Year on Tax Compliance – IOTW Report

Taxpayers Spend 6.1 Billion Hours, $234 Billion Per Year on Tax Compliance

WFB: Taxpayers spend 6.1 billion hours a year just to comply with the federal tax code, according to experts at a Tax Foundation event on Monday.

Pete Sepp, president of the National Taxpayers Union, said that tax compliance costs taxpayers $234 billion per year in direct costs and lost productivity.

“The problem is the status quo—thinking that, well, if we don’t do tax reform this year it will just be that bad,” Sepp said. “No, the status quo is not the static quo—it’s going to get worse.”

“The paperwork burden inventory at the Office of Management and Budget related to Treasury is expected to rise by another 2 billion hours in the next few years,” he said. “One-third added to that, we’re looking at tax compliance costs of north of $400 billion a year.”

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7 Comments on Taxpayers Spend 6.1 Billion Hours, $234 Billion Per Year on Tax Compliance

  1. Income tax will be here forever there’s no doubting that. However it can be simplified. I wonder whether anyone has ever done a real, extensive and accurate study on how a flat tax could work. A tax that will eliminate all loopholes and deductions (except for approved charities and perhaps child dependents), a tax that everyone pays regardless of level of income so that each citizen has some skin in the game and a sense of contribution toward the running of the country. It would be interesting to see how much money could be raised and how much could be saved. The IRS could never again be used as a political weapon regardless of the party in power.

  2. “Income tax will be here forever …”

    With that kind of thinking it WILL be here forever.
    Income Taxes are immoral, un-Constitutional (that’s why there’s a 16th Amendment), and the source of unlimited gov’t expansion at the expense of Freedom and Liberty.

    There’s a reason that every socialist satrapy on Earth embraces the Income Tax: it is the principle way to wrest control from the taxpayers to the taxpayees. When the FedGov is financed by apportionment (every Congressional District ponying up an equal share) there is NO INCENTIVE to raise the budget every time the maggots in DC meet. Under the Income Tax ruse we can continue the envy game and pitting each income group against the others – to the detriment of all except the politically-connected.

    izlamo delenda est …

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