Tax Code Complexity Now Costs U.S. Economy up to $1 Trillion Annually

by | Dec 12, 2016

Tax Code Complexity Now Costs U.S. Economy up to $1 Trillion Annually

by | Dec 12, 2016

74,608 pages, 2.4 million words.

That is the present size of Title 26 of the U.S. Code, i.e. the “Internal Revenue Code.” One would think this would be nearly impossible for an enterprise wielding an army of tax experts to absorb, let alone the average taxpayer. However, it doesn’t stop there.

The IRS has added an additional 7.7 million words of tax regulations designed to clarify what the original 2.4 million words mean. You can’t make this stuff up. Add 60,000 pages of tax-related case law essential to accountants and tax lawyers, and the burden is revealed.

More than 10 million words with a hidden annual compliance cost of up to $1 trillion. This is what Title 26 of the U.S. code and the Federal Register is estimated to cost the United States economy each year.

audit-final
  • Facebook
  • Twitter
  • Pinterest
  • reddit
  • LinkedIn
  • Buffer

Data aggregated by Philip D. Schlosser. Design by Philip D. Schlosser and Andrew Hawks.

To put this into perspective, the Encyclopedia Britannica — 32 volumes that contain the general knowledge of man — is 44 million words in length. This means that in order to understand the federal tax code and its supplementary regulations in their entirety, one would have to absorb highly complex tax language that is nearly one quarter the length of the entire Encyclopedia Britannica.

Read the rest at TaxRevolution.us.

Our Books

latest book lineup.

Related Articles

Related

Best of the Best, Worst of the Worst

Best of the Best, Worst of the Worst

The past few weeks have seen a predictable reaction to the release of (yet another) survey of “experts” regarding the proper ranking of United States presidents. Apart from the inherent problems any such attempted ranking poses, problems my colleague Hunter DeRensis...

read more
TGIF: Immigration in an Nth-Best World

TGIF: Immigration in an Nth-Best World

We live in an nth-best society. It's neither fully libertarian (though libertarians disagree over exactly what that would mean) nor totalitarian like the Soviet Union, Nazi Germany, Fascist Italy, Maoist China, or North Korea. It's somewhere in between, closer to...

read more
Our Bloody Cultural Psychosis

Our Bloody Cultural Psychosis

Imagine someone who did not know the difference between right and wrong and felt that he could, and should, take anything he wanted from anyone he wanted because, as far as he could see, there was no reason not to. If he wanted to buy something but was low on funds,...

read more
Biden’s Yemen Policy Isn’t Working

Biden’s Yemen Policy Isn’t Working

For the last several weeks, the country of Yemen and their Houthi government have been in the news far more than they were during their war with Saudi Arabia. This is because the Houthis began to attack ships in the Red Sea, a frustrated reaction to the United States’...

read more
No Man Controls Everything in a State

No Man Controls Everything in a State

The constant screeching about various “strongmen” from America’s media and think tank classes seem to have created a widespread misunderstanding about how governments, or really any large organization, work. We perhaps see this the most with Russia, where we hear the...

read more

Pin It on Pinterest

Share This