Hacker News Reader

Comment by arkades | Hacker News Reader

> If I read this right, you can still use the free service the IRS provides if you make less than $66,000.

You did not. You can contact the private companies such as H&R Block and request Their free service if you make less than 66k - and subject yourself to their upselling and scam artistry, to try and get you to pay anything more than "free."

> I don't expect the IRS to make software for complicated taxes as that's a very difficult challenge

The vast majority of people file extremely simple taxes, as they're salaried workers with minimal assets. Most first-world countries provide a pre-populated tax form with the relevant data (since your employer already submits it), for you to peruse, edit, and hit the submit button on. If other countries do it without a problem, I don't see why it's too technically difficult for us to do the same.

View on HN

Exactly. W-2 and 1099 income is really straight-forward. If anything the IRS should provide ways for you to submit all your non-W2/non-1099 income to them and roll them up into a new form so that no matter what your situation you can "fetch" your current returns, sign them, and submit them. No need for third-parties at all. Any additional complexity is a symptom of rent-seeking IMO.

It would be incredibly easy to set up a step by step flow to intake basic info or to confirm the numbers and hit send.(if not doing alway with you doing the taxes)

I can only suspect that this hasn’t happened because of strong lobbying.

You are saying that IRS should write a TurboTax competitor.

Honestly if a company exists solely to solve an inefficiency they lobby to create, that’s not something I care to defend. Taxes are in the public interest and as such profit is just not a concern of mine. There’s plenty of other ways to make money than regulatory capture and rent seeking. I want the IRS to do what’s best for Americans and that is either providing a way to file free of charge or eliminating the complexities of the tax code. I don’t care which.

The IRS isn't authorised to simplify the tax code, it would have to be Congress.

Fair point. I guess that just leaves a free filing tool :)

> You did not. You can contact the private companies such as H&R Block and request Their free service if you make less than 66k - and subject yourself to their upselling and scam artistry, to try and get you to pay anything more than "free."

I went back to school full-time for most of last year to get some helicopter ratings and didn't have much taxable income, so I used the free H&R Block service.

There was exactly 1 attempt at an upsell, and it was at the very beginning of the process where I was told if I used the free service I would have to enter all of my information but if I used the paid service they could pull my information from prior filings to save me some time.

Was your experience with one of the free programs different?

I 100% agree with you that simple taxes should be easier to submit. The IRS could & should send you a pre-filled simple tax form that you have the option to sign & send back or agree to online. No "competing" software solution required.

I don't think the IRS should build software for complex taxes & strategies is all I'm saying. That's what accountants are for.

I do understand the argument that a simple pre-done tax solution would mean some people would miss out on deductions. But if you calculate the time & cost it currently takes to submit your taxes, it probably equals out.

> - and subject yourself to their upselling and scam artistry, to try and get you to pay anything more than "free."

Don't forget data mining. Dunno if these apps have ads, but if they do, be sure to add that in as well.

Reply on news.ycombinator.com