What are the benefits and drawbacks of exact withholding? Q.What are the benefits and drawbacks of exact withholding? A.An exact-withholding system could ease the burden of tax compliance on many individuals, especially if it were accompanied by substantial simplifications to the tax code. Potential drawbacks include a heavier administrative burden for those charged with withholding income tax and for government collection agencies. Read more about What are the benefits and drawbacks of exact withholding?
Could the United States adopt a prepopulated tax return system? Q.Could the United States adopt a prepopulated tax return system? A.The IRS could prepopulate tax returns for many taxpayers but at some risk to taxpayers (those whose refunds would be delayed) and to the IRS (if noncompliance rises). Read more about Could the United States adopt a prepopulated tax return system?
What is Free File? Q.What is Free File? A.Taxpayers with low to moderate incomes can obtain free tax preparation software to complete and file their tax returns electronically. The Free File program can be difficult to access, and most eligible taxpayers do not use it. Read more about What is Free File?