The wrong approach
In an article about the Tax Gap the WSJ notes that:
Nina Olson, the IRS’s taxpayer advocate, told Congress last year that IRS auditors have found that an estimated 94% of noncompliance is the result of honest mistakes by tax filers who simply don’t understand the 17,000-page beast of a tax code.
But if you thinks that the Congress will simplify the tax code, and by product will increase the tax collected, you should think again:
One obvious answer would be to simplify the code (more on that later). But this requires political will, so Congress naturally prefers the easier route of ratcheting up taxpayer regulation and enforcement.
Why am I not surprised?
Technorati Tags: Taxes - Tax Gap - Tax Collection - The Free Market - Tax Code
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