Americans for Tax Reform (ATR) has created a form that likely won’t differ much from the real one from the IRS showing up in the mailboxes of the 140 million taxpaying Americans in 2014: It’ll be complicated, intrusive and will take still more time to complete. And, according to ATR, it will result in at least six million of those Americans paying a penalty for non-compliance.
In January, health insurance companies will begin sending out tax documents containing essential information about each American’s health insurance coverage which then must be properly and accurately inserted into "Form OBMA." There will be questions like “What type of qualifying health insurance plan were you covered by?” “Did your employer offer affordable qualifying coverage?” “Were you able to purchase affordable health insurance?” “Are you claiming a religious exemption from the individual responsibility mandate?” and (perhaps tongue-in-cheek) “Are you an illegal immigrant and therefore exempt from the personal mandate?”
But if Americans will be frustrated and confused and angered by yet another form to complete for the IRS, the view from inside the IRS is scarcely any better. Computer problems delayed tax refunds this year by the amount of $20 billion which, combined with the increase in the payroll tax, have been blamed for causing Walmart's sales in February to turn in their worst performance in seven years.
The ongoing scandal over the “conservative charity targeting” by the IRS isn’t helping any. More than 60,000 applications for tax-exempt status were received early in 2010 following the Supreme Court’s decision in Citizens United that caused delays — up to 27 months in some cases — in obtaining approvals, especially among applications which had “Tea Party” or “Patriots” in their titles. As a result, the esteem and regard with which Americans hold the IRS continues to decline.
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