Sen. Kaine introduces bill to streamline taxes, create free IRS website to compete with 3rd party companies

Bill To Streamline Taxes

SALISBURY, Md. – If you are frustrated that you have to pay companies like turbo tax or tax act to file taxes- instead of going straight to the IRS to find out how much you owe a group of US senators agrees.

A group of Democratic senators including Virginia Senator Tim Kaine introduced a bill that would greatly expand the IRS’s online filing program for low-income Americans.

The legislation would allow for taxpayers with simple tax situations to choose a return-free option, which provides a pre-prepared tax return with income tax liability or refund amount already calculated, as well as mandate that tax information be safeguarded and a robust online system be launched to process new and backlogged refund claims.

The IRS currently estimates that Americans spend 13 hours and $240 on average to file taxes.

CPA Mark Welsh from UHY LLC tells us this will help low-income families get extra money back from programs like the child and earned income tax credits.

“these are lower-income people that really want to file their taxes most likely they have a little bit of a refund coming and they want to get it because it helps to pay bills so this is really going to be a much faster secure way to be able to do that,” Welsh said.

However, he says he does see one shortcoming with the bill; the fact that it only covers federal returns.
He says since the IRS only handles your federal returns, People may still have to register and pay for those same 3rd party programs on their state returns which are handled by state comptroller’s offices rather than the IRS.

Categories: Delaware, Local News, Local Politics, Maryland, National Politics, Virginia