And, to be honest, even if major reforms were to happen they would not reduce the confusion and anxiety that tend to be triggered when a person becomes a target of irs audits and collection action. For the smoothest process possible in such cases, consulting experienced legal counsel is always advisable.
For some holiday musing, here are a few observations from pundits about the hurdles facing the success of comprehensive tax reform. The roundup is courtesy of CNN.
• Reform is rare. Economist Doug Holtz-Eakin opines that in the more than 100 years that the U.S. tax code has existed there have been perhaps five times when major changes have gotten through Congress.
• Political determination is lacking. Political leaders seem to agree on the sorts of broad changes needed, but agreement falters when it comes to the details. And one University of Pennsylvania analyst questions whether the necessary bipartisan support can be mustered.
• The voter learning curve is great. Holtz-Eakin notes it took 10 years of groundwork before the last major reforms took place in 1986.
Another factor many point to as likely to stall reform is that talk in Washington centers on fixing the corporate tax code, but not the code for individuals. Holtz-Eakin predicts that will be a difficult political pill for voters to swallow. What do you hope for in the new year?
If you feel you may need the advice of a tax attorney:
Source: CNN, "5 fat roadblocks in the way of tax reform," Jeanne Sahadi, Dec. 15, 2014