Business Tax Compliance and Complexity

The full cost of a tax system is more than simply the amount of tax paid. It also includes the cost of tax planning and paperwork. Economists call these “tax compliance” costs, and the IRS estimates Americans spend 6.6 billion hours per year filling out tax forms—including 1.6 billion hours on the 1040 form alone.

Featured Research

Taxes and New York’s Fiscal Crisis: Evaluating Revenue Proposals to Close the State’s Budget Gap

December 8, 2020

Potential Regulatory Changes in Tax Policy Under the Biden Administration

November 24, 2020

Improving the Federal Tax System for Gig Economy Participants

October 18, 2019

Policymakers Should Learn from Tax Complexity in Brazil and the United States

April 5, 2019

Senators Introduce Legislation to Fix the Retail Glitch

March 14, 2019

Unequal Tax Treatment Is Contributing to Rising Debt Levels for Entrepreneurs

December 13, 2018

Related Articles

Join Us for a Free “State Tax Policy Boot Camp”

Maryland’s Digital Advertising Tax Is Unworkably Vague

Wisconsin’s PPP Loan Recipients Face Hundreds of Millions in Surprise Taxes

Pandemic Highlights the Need for Better Tax Policy for Entrepreneurs and Small Businesses

Taxes and New York’s Fiscal Crisis: Evaluating Revenue Proposals to Close the State’s Budget Gap

What Federal Policymakers Can Learn from Business Tax Refunds in 2020

Poland Borrows an Idea from Estonia’s Tax System, but Misses the Point

Patent Box Regimes in Europe

Potential Regulatory Changes in Tax Policy Under the Biden Administration

Does Your State Have a Throwback or Throwout Rule?

How Should Wealth and Work Be Treated in the Tax Code?

Brazil has the Opportunity to Implement a Simple Consumption Tax and Foster Tax Progressivity at the Same Time

National Taxpayer Advocate’s Report Is a Road Map to Simpler Pandemic Relief Provisions

GAO Report Reveals Need to Simplify Next Round of Rebates

Complexity of Corporate Taxes in Europe

Complexity of Labor Taxes in Europe

Reviewing the Economic and Revenue Implications of Cost Recovery Options

South Carolina House Unanimously Approves Business License Tax Reform

The Collaborative Economy—Data Exchange with Tax Authorities

D.C. False Claims Act Bill Raises Legal and Practical Concerns