Should the IRS File Your Taxes for You?
Imagine a world where you didn’t have to file your own taxes. Of course, you can use an experienced and professional tax and accounting firm like GROCO to do your taxes for you, but what if you didn’t even have to send your tax return information to an accountant? Could that ever really happen? In reality, probably not, but that isn’t stopping one U.S. senator from at least proposing the idea.
Democratic senator, Elizabeth Warren, from Massachusetts, has introduced the tax Filing Simplification Act of 2016. The senator hopes to “simplify and decrease the cost of the tax filing process for millions of American taxpayers.” Her proposal would actually force the IRS to come up with a preparation and filing service that all taxpayers could use for free to directly file their taxes with the government.
The service would require the IRS to fill in all the necessary information, which would come from W-2s and 1099s, which the agency already receives. Each taxpayer would then be responsible to make sure the information was correct. Some taxpayers that have very basic tax situations might not even have to file a return at all.
So what is the likelihood of this ever passing? Chances are the bill will not go anywhere, as Congress has always been reluctant to making these kinds of changes in the past. So while this might not ever become a reality, your tax accounting and tax preparation can still be stress-free. Just contact GROCO for help by clicking here or by calling 1-877-CPA-2006.
Tax Education Expense
Tax Education Expense Attention engineers!! You may be able to deduct the cost of your tuition spent on your MBA degree. In order to do so, you must connect your MBA degree with a business purpose and it cannot qualify you for a new line of work. The current tax code gives tax breaks to…
Four Types of Income Tax Exclusions
Four Types of Income Tax Exclusions We are all interested in saving taxes. Through effective tax planning, you can preserve more of your wealth (or wealth that passes to your heirs) through eliminating income taxes on the gain. There are four types of income that may be excluded permanently. Income Exclusion #1 – Excluding Gain…
The Research and Development Tax Credit: Claim What You Deserve
The Research and Development Tax Credit: Claim What You Deserve By Shane T. Frank Many manufacturers are not aware that federal and state research and development (R&D) tax credit programs exist that may reward their day-to-day efforts aimed at producing a more efficient product. The Research and Development Tax Credit is a government-sponsored benefit that…
8 Rules of Building Wealth
8 Rules of Building Wealth Forget Performance; look at fees! Remember that it’s not what you make, it’s what you keep. When evaluating an investment evaluate the cost to generate an investment return. If you are using an investment manager compare the performance of the investment net of fees. Be careful when entering into non-tradition…