What is return-free filing and how would it work? Q.What is return-free filing and how would it work? A.If an income tax system were simple enough, the government could withhold taxes owed and do its own accounting at the end of the year without much help from taxpayers. Read more about What is return-free filing and how would it work?
What is the tax gap? Q.What is the tax gap? A.The gross tax gap is the difference between total taxes owed and taxes paid voluntarily and on time. Read more about What is the tax gap?
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?