Income taxes (101 - 110 of 360 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: More Can Be Done to Ensure Federal Agencies File Accurate Information Returns
GAO-04-74: Published: Dec 5, 2003. Publicly Released: Dec 5, 2003.
The Internal Revenue Service (IRS) matches information returns filed by third parties, including federal agencies, with taxpayers' income tax returns to determine whether taxpayers have filed a return and/or reported all of their income. A correct taxpayer identification number (TIN) is necessary to enable IRS to match these returns. Prior GAO reviews have shown that federal agency payment records...
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...
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: Changes to IRS's Schedule K-1 Document Matching Program Burdened Compliant Taxpayers
GAO-03-667: Published: May 30, 2003. Publicly Released: Jul 9, 2003.
About $1 trillion in income was distributed in 2001 by flow-through entities such as partnerships and trusts. These entities do not pay taxes on flow-through income. They report it to the Internal Revenue Service (IRS) on a Schedule K-1 and their partners or beneficiaries pay any tax. Concerned about underreporting, IRS began matching the flow-through income reported on Schedule K-1s with that rep...
Compliance and Collection: Challenges for IRS in Reversing Trends and Implementing New Initiatives
GAO-03-732T: Published: May 7, 2003. Publicly Released: May 7, 2003.
Taxpayers' willingness to voluntarily comply with tax laws depends in part on their confidence that friends, neighbors, and business competitors are paying their fair share of taxes. The Internal Revenue Service's (IRS) programs to ensure compliance and to collect delinquent taxes are viewed by many as critical for maintaining the public's confidence in our tax system. Congress asked GAO to presen...
Tax Administration: IRS Should Reassess the Level of Resources for Testing Forms and Instructions
GAO-03-486: Published: Apr 11, 2003. Publicly Released: Apr 11, 2003.
Taxpayers rated the Internal Revenue Service's (IRS) ability to provide clear and easy-to-use forms and instructions among the lowest of 27 indicators of service in 1993. Due to continuing concerns about unclear forms and instructions, GAO was asked to determine (1) whether and how often IRS tests the clarity of new and revised individual income tax forms and instructions; (2) the benefits, if an...
Internal Revenue Service: Assessment of Fiscal Year 2004 Budget Request and 2003 Filing Season Performance to Date
GAO-03-641T: Published: Apr 8, 2003. Publicly Released: Apr 8, 2003.
The Internal Revenue Service (IRS) is responsible for collecting virtually all of the funds that pay for the federal government. For 2003, IRS expects to process 130 million individual income tax returns, issue 99 million refunds, receive 100 million telephone calls, and assist 4 million taxpayers face-to-face at IRS and volunteer offices. Most of these interactions with taxpayers occur during the...
Paid Tax Preparers: Most Taxpayers Believe They Benefit, but Some Are Poorly Served
GAO-03-610T: Published: Apr 1, 2003. Publicly Released: Apr 1, 2003.
In tax year 2000, over half of individual filers paid someone to prepare their tax return. These taxpayers paid an estimated $14.7 billion for individual return preparation. Despite the importance of paid preparers' role in the tax system, little data exist on the quality of the services they provide. In light of this, GAO surveyed and interviewed taxpayers and gathered examples of the range of ou...