Today, the US tax code is over 6,000 pages. That’s longer than the Bible, “War and Peace,” and Robert Caro’s “The Power Broker” combined. That’s a lot of pages and a lot of complexity.
The tax code wasn’t always this complicated—over the last 30 years, it has more than tripled in size. Even the Taxpayer Advocate Service has said that, “US tax laws are overly complex.” When 6,000 pages is what stands between American families and what is often their largest check of the year—there’s a problem. That’s why Intuit TurboTax was invented over 40 years ago.
For years, Intuit has been publicly calling for simplifying the US tax code so taxpayers can more easily understand their taxes. Simplifying the tax code means we can dedicate more resources to helping our customers file with ease, confidence, and help them keep even more of their hard-earned money. With this new year, and as Congress debates the extension of the Tax Cuts and Jobs Act (TCJA), we’re calling on this new Congress to help simplify the tax code for the benefit of Americans everywhere.
How does a simpler tax code benefit all Americans?
Every tax season, families look for ways to maximize their deductions and credits. Today, critical family benefits like the Earned Income Tax Credit (EITC) and the Child Tax Credit exist, but understanding eligibility and the filing process can be too difficult to navigate without help. In fact, the IRS reports that 1 in 5 qualifying filers fail to claim their EITC tax credit. At Intuit TurboTax, we ensure that eligible filers who rely on these benefits take advantage of them, but more work needs to be done for all filers.
We believe that everyone deserves a tax system that is clear, concise, and easy to navigate. This means eliminating unnecessary complexities and using plain language. A simpler tax code would save taxpayers time, money, and frustration while reducing the burden of filing taxes.
Why does Intuit want a simpler tax code?
We’re all about serving our customers, and tax simplification is at the heart of that—ensuring they’re able to live the lives they want to live. — Mark Notarainni, Executive Vice President and Consumer Group General Manager
At Intuit, we’re advocates for our customers, and one thing we hear from them time and time again is that the tax code is too complicated. How can they prepare or plan financially when the rules are nearly impossible to understand?
Taxpayers overwhelmingly want a simpler tax code, and so do we. A recent survey found that more than 70 percent of taxpayers support making the tax code simpler and fairer, even if their personal tax burden remains the same. For all Americans, a simpler tax code means having a better understanding of their financial picture, using tax time as an opportunity to plan instead of guessing what the next year might bring. It also means less frustration and more time to spend on what they really care about.
At Intuit, our goal is to build financial confidence in our customers. A simpler tax code means we can support our customers with filing their taxes and getting their refunds faster. A simpler tax code would remove burdens on small businesses, help seniors and gig workers, and ensure that the wealthy and connected aren’t the only ones who find all the tax breaks. It would allow us to dedicate more resources to developing innovative features and products, instead of having to update software to keep our customers ahead of the ever-increasing changes to the tax code.
Ultimately, we feel that no matter who files your taxes, the tax code is too complex. We believe that simplifying the tax code is how you make tax time easier for everyone.