The IRS is losing workers fast. Buyouts and layoffs gut the agency, leaving fewer employees to handle an already messy tax system. Instead of hiring more staff, why not simplify the tax code so a smaller IRS can manage it? Here are some tax changes that could make life easier for everyone.
1. Eliminate Business Income Taxes
Corporate taxes don’t come from company profits. Businesses pass them on to consumers through higher prices, workers through lower wages, and shareholders through smaller returns. In reality, business taxes act as a hidden sales tax.
And they’re insanely complicated. Businesses spend billions on compliance, while the IRS wastes resources auditing deductions and chasing tax shelters. Cutting corporate taxes would simplify enforcement, boost the economy, and free up IRS resources. The lost revenue could be replaced with higher individual income taxes or a simple consumption tax.
2. Get Rid of Tax Credits and Deductions
The tax code is overloaded with credits, deductions, and phase-outs, making filing a nightmare. The fix? Scrap them all—no more complicated calculations—just a straightforward tax on your earnings.
Fewer exceptions mean fewer audits and fewer IRS interventions. A two-tiered or flat tax system would make enforcement even easier.
3. Automate More Tax Filing
What if most people didn’t have to file taxes at all? Many countries pre-fill returns using employer-reported income. The U.S. could do the same for W-2 earners. Instead of gathering documents and manually entering numbers, taxpayers could just check a pre-filled return and hit submit.
Fewer mistakes, less paperwork, and way less IRS involvement. Win-win.
4. Cut Down on IRS Customer Service Nightmares
Millions of taxpayers call the IRS every year, stuck on hold for hours. Most issues come from confusing tax rules, outdated notices, and unclear payment systems.
A simpler tax code would mean fewer people need to call. Better online tools could also help taxpayers get answers without waiting on hold forever.
5. Spread Out the Tax Deadline
The IRS is overwhelmed with returns every February through April 15. A rolling deadline—based on birth month or Social Security number—could spread out the workload, helping a smaller IRS workforce process returns more efficiently.
The Bottom Line
Instead of expecting an overworked IRS to manage an outdated system, we should fix the system itself. Eliminating business taxes, ditching deductions, automating returns, and reducing IRS interactions would allow a smaller, more efficient agency to function smoothly.
