Wasteful spending: a case against the IRS!

Posted on April 2, 2010 by


By Orphe P. Divounguy

Another small step toward a balanced budget …

In 2009, as reported by the US department of the treasury, the IRS administration cost the American taxpayers $ 11.8 billion, that’s approximately $76.6 for every American taxpayer (154 million taxpayers as reported by the Bureau of Labor Statistics). That’s not counting the cost of compliance incurred by taxpayers every year. We spend so much time and money on meeting the April 15th filing deadline. At a time when most americans are struggling to come out of the worst recession since the great depression, the cost of compliance coupled with the burden of taxation have a colossal negative effect on household welfare. The IRS costs more than the legislative branch and the judicial branch combined! The judicial branch is the system of US federal courts that works to enforce the laws of the land and allows us to keep our very important liberties (free speech, property rights, contract enforcement, the right to bear arms, etc…) the very important judicial system that was established to protect our rights and to maintain our very important system of checks and balances.

A flat tax, a tax system where everyone gets taxed at one marginal rate would lower the cost of compliance for individuals, businesses and the cost of enforcement incurred by the federal government (ultimately passed on to taxpayers). With our current national debt at almost $ 13 trillion, and a looming debt crisis, it is time to cut the federal government yearly discretionary spending.