Question

Why is tax reform needed in the United States?

A. Current income taxes are regressive but need to become progressive.
B. The tax system has become overly complex and is losing some of its efficiency.
C. The existing system makes it impossible to collect enough revenue.
D. The Constitution does not allow income tax collection even though it occurs.

Answer 1

Answer:

B. The tax system has become overly complex and is losing some of its efficiency.

Explanation:

The tax code is too complex. The tax code has been getting longer and more complicated, filled with unnecessary and outdated provisions that many Americans not only do not understand but in many situations are simply unaware of. With seven different tax brackets and a 74,000 page code, the complexity of the tax code makes it difficult for Americans to complete their taxes without having to hire a costly professional. A study released by the Tax Foundation estimated that Americans will spend $409 billion and 8.9 billion hours completing their taxes this year. There is no reason why filing taxes should require so much time, energy, and money.