IRS to Allow Tax Preparers to Sell Your Info?

merkel writes "The Philadelphia Inquirer reports that the IRS has proposed rule changes allowing tax-return preparers, like H&R Block, to sell an individual's return information to marketers and data brokers. The proposed rule [PDF], which does contain some substantive protections for the processing of electronic returns, was published in the Federal Register on December 8, 2005. The official comment period has passed, but hearings will be held this month."

Comments

Grammar Correction!

[Cro Magnon]

CPA's can lose their license if they let your information loose.

Re:Some clarifications...

[Mr. Slippery]

So what? If a millionare wants to reign in his spending to match that of someone making $100K, so what?

Part of the purpose of progressive taxation is to act as a check to the accumulation of power. If the government actions that make capitalism (the accumlation of economic power into the hands of a minority class of "owners") possible are compared to an engine, progressive taxation is one of the governors that helps ensure that this engine doesn't run completely wild. (One might argue that we'd be better served by a different sort of "engine" entirely, one based on more democratic control of economic resources...)

The goal of the Fair Tax isn't to make a more cheat-proof system (though I believe it does just that), but rather to make a simpler, fairer system of taxation.

The complexity of the current system has very little to do with the rates involved and much to do with determining what income is taxable. (Though if I were king I'd get rid of tax brackets and make tax a continuous function.)

Re:Some clarifications...

[DM9290]

But, wealthy/rich people like to spend more money on more expensive things...their food bills are MUCH higher than normal people's in that they generally eat finer,more expensive foods (filet mignon vs cubed steak). So...they will pay more in taxes, because they consume more expensive items generally across the board...

really? so someone who earns 500k a year spends all of his money, has nothing left to show for it after paying all of their bills at the end of the year, and dies as broke as they were when they started?

I guess consumption tax is fair after all.