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IRS to begin trial of its own free tax-filing system (nytimes.com)

703 points by thelastgallon · 957 days ago · 323 comments on HN

Article summary

The IRS is planning to trial its own free tax-filing system. The move has been criticized by Intuit, the company behind TurboTax, as a 'half-baked solution' and a waste of taxpayer money. The IRS already has some information about taxpayers and could potentially fill out tax returns automatically. This could simplify the tax-filing process for many people, especially those with straightforward tax situations.

Main themes

  • tax reform
  • lobbying and corruption
  • complexity of the tax system
  • IRS free tax-filing system
  • Intuit and TurboTax
  • streamlining the tax process
  • government transparency and accountability

What commenters say

  • The IRS's plan to create a free tax-filing system is seen as a threat to Intuit's business model and a potential solution to the complexity of the current tax system.
  • Some argue that the tax system is designed to be complex to benefit companies like Intuit, which lobby to maintain the status quo.
  • Others believe that a free tax-filing system could be a step towards a more streamlined and efficient tax process, but may not be feasible for complex tax situations.
  • There are concerns that the IRS's system may not be able to handle complex tax scenarios, such as wash sales, and that it may be difficult to implement and maintain.
  • Some commenters think that the focus should be on making the tax system more transparent and less prone to lobbying, rather than relying on individuals to be 'good' or 'immune' to corruption.
  • Others argue that the tax system should be designed to discourage bad actors and make it easy to eject them, rather than relying on people's self-interest and greed.
  • A few commenters note that many countries have simpler tax systems, where the government fills out tax returns automatically, and that the US is an outlier in requiring citizens to handle their own taxes.
  • Some people believe that the IRS should prioritize making the tax system more automatic and streamlined, even if it's not perfect, to benefit the majority of taxpayers who have straightforward tax situations.