What more needs to be done?
What more needs to be done?
- Employers don't tell the federal government about state tax information and when they do, the government doesn't store that information
- W2s aren't due to the SSA at the opening of tax filing season and penalties aren't commonly enforced for submitting w2s on time.
https://github.com/IRS-Public/direct-file/blob/main/direct-f...
Granted, the ranks of the self-employed are a small fraction of all taxpayers, and there's no reason the latter should be forced to do things as if they were part of the former.
Very simple. No more guessing game.
This overly complex system we have in the USA is built intentionally to benefit multi-billion dollar tax preparation industry.
You can deduct the cost of thefts. You can deduct alimony. You can deduct student loan interest. You can deduct business use of your car. Donations to charity. Bad loans you gave out. Gambling loses.
Life is not simple. You should not perceive this as an "interview." The tax industry is huge because our businesses are monopoly sized. The majority of money that is liable for tax purposes is held and moved by businesses. Your income taxes are not what this industry runs on.
More or less as you describe, for your IRS returns, of arbitrary complexity and value.
The IRS actually already has the forms. It needs the scripting. It needs a digital submission system. That should be it and should be most of what average taxpayers actually need.