Federal taxes (61 - 70 of 225 items)
International Taxation: Information on Federal Contractors With Offshore Subsidiaries
GAO-04-293: Published: Feb 2, 2004. Publicly Released: Mar 5, 2004.
Every year, U.S.-based multinational corporations transfer hundreds of billions of dollars of goods and services between their affiliates in the United States and their foreign subsidiaries. Such transactions may be a part of normal business operations for corporations with foreign subsidiaries. However, it is generally recognized that given the variation in corporate tax rates across countries, a...
Tax Administration: Information on Expenses Claimed by Small Business Sole Proprietorships
GAO-04-304: Published: Jan 23, 2004. Publicly Released: Mar 5, 2004.
Meeting the requirements of tax rules can be especially burdensome to small business sole proprietorships that independently own their businesses. Internal Revenue Service (IRS) data show that, compared to other taxpayer groups, sole proprietorships have more problems complying with their tax obligations. Simplifying how sole proprietorships account for and report expenses may ease their burden an...
Tax Administration: IRS Issued Advanced Child Tax Credit Payments on Time but Should Study Lessons Learned
GAO-04-372: Published: Feb 17, 2004. Publicly Released: Feb 26, 2004.
The Jobs and Growth Tax Relief Reconciliation Act of 2003 provided eligible taxpayers up to $400 in advance Child Tax Credit (ACTC) payments. GAO was asked for information on (1) the number, dollar amount, and timeliness of the ACTC payments, (2) the impact on the Internal Revenue Service's (IRS') toll-free telephone service, (3) the cost to IRS and the Financial Management Service (FMS) for imple...
Tax Administration: Most Taxpayers Believe They Benefit from Paid Tax Preparers, but Oversight for IRS Is a Challenge
GAO-04-70: Published: Oct 31, 2003. Publicly Released: Nov 12, 2003.
Over 55 percent of the nearly 130 million taxpayers in tax year 2001 used a paid tax preparer. However, using a preparer may not assure that taxpayers pay the least amount due. Last year, GAO estimated that as many as 2 million taxpayers overpaid their 1998 taxes by $945 million because they failed to itemize deductions and half of these used preparers. GAO was asked to (1) obtain the views of tax...
IRS's Use of Information on Taxpayers Claiming Many Allowances or Exemption From Federal Income Tax Withholding
GAO-04-79R: Published: Nov 6, 2003. Publicly Released: Nov 6, 2003.
In September 2003, we responded to a request from Representative Elton Gallegly to provide information on the number of taxpayers who claimed more than 10 withholding allowances and taxpayers who claimed exemption from federal income tax withholding. The Internal Revenue Service (IRS) calls such claims questionable Form W-4s. However, in the course of performing our work, we became concerned about...
Tax Administration: Information Is Not Available to Determine Whether $5 Billion in Liberty Zone Tax Benefits Will Be Realized
GAO-03-1102: Published: Sep 30, 2003. Publicly Released: Oct 6, 2003.
The President pledged a minimum of $20 billion in assistance to New York for response and recovery efforts after the September 11, 2001, terrorist attacks. This includes tax benefits, commonly referred to as the Liberty Zone tax benefits, that the Joint Committee on Taxation (JCT) estimated would reduce federal tax revenues by about $5 billion. The actual amount of benefits realized, however, will...
Earned Income Credit: Qualifying Child Certification Test Appears Justified, but Evaluation Plan Is Incomplete
GAO-03-794: Published: Sep 30, 2003. Publicly Released: Sep 30, 2003.
The Earned Income Credit (EIC), a tax credit available to the working poor, has experienced high rates of noncompliance. Unlike many benefit programs, EIC recipients generally receive payments without advance, formal determinations of eligibility; the Internal Revenue Service (IRS) checks some taxpayers' eligibility later. IRS estimated that tax year 1999 EIC overclaim rates, the most recent data...
Reliability of Information on Taxpayers Claiming Many Withholding Allowances or Exemption from Federal Income Tax Withholding
GAO-03-913R: Published: Sep 15, 2003. Publicly Released: Sep 15, 2003.
When taxpayers claim more withholding allowances than they are entitled to or improperly claim exemption from withholding, either no tax or too little tax is withheld from their wages. As a result, some taxpayers end up owing the Internal Revenue Service (IRS) additional taxes, and if the taxes are not paid on time, they become delinquent. This report responds to a Congressional request for inform...
Tax Administration: IRS Is Implementing the National Research Program as Planned
GAO-03-614: Published: Jun 16, 2003. Publicly Released: Jul 16, 2003.
The Internal Revenue Service (IRS) needs up-to-date information on voluntary compliance in order to assess and improve its programs. IRS's last detailed study of voluntary compliance was done in the late 1980s, so the compliance information IRS is using today is not current. IRS is now carrying out the National Research Program (NRP), through which IRS auditors are reviewing about 47,000 randomly...
Tax Administration: Federal Payment Levy Program Measures, Performance, and Equity Can Be Improved
GAO-03-356: Published: Mar 6, 2003. Publicly Released: Mar 6, 2003.
According to the Internal Revenue Service (IRS), taxpayers currently owe about $249 billion in delinquent taxes. At the same time, the government pays billions of dollars in Social Security, retirement, and other federal payments to thousands of these individuals. To help IRS administer tax laws fairly and collect delinquent taxes effectively, Congress included a provision authorizing the Federal...