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Tuesday, April 16, 2013

San Franciscans Are Constantly Cheating on Taxes. You Know Who You Are

Posted By on Tue, Apr 16, 2013 at 7:00 AM

click to enlarge See how far in life you could go by not paying your taxes ... 
  • See how far in life you could go by not paying your taxes ... 
We all know (and enjoy) that sweet taste of taking something for nothing, but it always feels a little wrong. 

Now that Tax Day is over, let the shaming begin. 

According to the 2012 National Taxpayer Advocate, California has the highest number of tax cheats in the nation, with San Francisco and Los Angeles topping the list of tax outlaws. 

Apparently, we're the breeding ground of tax naughtiness, home to one-third of the likely tax evaders. If you're looking for other honest Abes, go to the Midwest where apparently plenty of people enjoy paying taxes.  

Interestingly enough, it's not really your fault. 

International Business Times reports that all this fraud by the Bay has a lot to do with the IRS system being screwed up itself.

For starters, the entire process is too damn complicated and time-consuming. In 2012, some 60 percent of people who actually paid taxes had to hire someone to do their number-crunching for them. Another 30 percent of taxpayers relied on TurboTax and other financial software to do the work. 

The U.S. tax code is 4 million words long, and together businesses and individuals rack up some 6 billion hours annually just trying to comply with tax laws. Also, the IRS is experiencing chronic underfunding; millions of letters and telephone calls go unanswered, forcing people to forgo financial advice. 

And the ship keeps sinking. 

The report also states that the tax gap -- tax money that's due but uncollected -- adds up to about $400 billion annually. Just think of how many kids we could educate with that kind of money. 

Let that previous sentence sink in, and hopefully, it will inspire you to be a little more dutiful when it comes to paying your taxes. 

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Katie Tandy


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