CA State Offers To Prepare Simple Tax Returns

Makarand writes "California is ready to roll out a program for taxpayers where the state will offer to fill out their tax forms for them if they are simple enough. Taxpayers will merely have to go online, download and review the completed forms prepared for them and confirm their return. This program is supposed to save money for the state, reduce tax related headaches for many and bring into the tax system those who are not paying any taxes currently. The state will take information it already receives on W-2 wage statements, put it in the right boxes on the tax return, and do the math."

Comments

Re:National

[pete6677]

The only reason it's not national is due to pressure from tax preparers to prevent the loss of money that they make by doing peoples' taxes each year. H&R Block and other big tax preparers are huge roadblocks towards online filing directly with the IRS. I'm sure they are claiming it wouldn't be safe, or some nonsense like that. Really they don't want to give up the opportunity to sell those "refund anticipation loans", which have insane interest rates.

Superb idea

[Chuck Chunder]

The one thing I hate more than paying tax is working out my tax.

Last year I filled in my tax and missed out a bit of interest I had earned. It wasn't anything significant and the tax office sent me a nice letter saying that I'd missed out on a bit but that it wasn't a big problem etc etc.

But that left me thinking that if they already know how much interest I've earned (as it's all reported by the banks) then why the hell make me work it out myself. Just give me something filled in as much as possible and then let me check it for errors, fill in any gaps, and be done.

Sales tax is not regressive.

[Firethorn]

Fair tax isn't regressive at all.

A flat sales tax is neither regressive nor progressive.