I too just filed. My accountant recommended I file electronically with a form 1040 for an extension while she wades through my mountain of paperwork for my retirements, Social Security and my 401(k). I usually have her fill out a voucher and send a check, with TAXE$ printed on the memo line. It has been my last act of frustration for the tax year. But this year she recommended I do not send a check, and I acquiesced. When I looked at my credit card statement, I found an $89.32 Service Fee to a contractor for the IRS. Outrageous!
I'm not sure if all Washington State agencies do this, or just some of them, but I've experienced the shady credit card fees as well, from the State.
It seems that these agencies don't directly accept credit/debit cards, so they get some other company to do it on their behalf. Invariably the fees are far too high, and the contractor is some company that no normal person has ever heard of. Just junk fees, and I presume junk fees collected by some politically connected actor or another.
Agreed, with comments. The BBB may not have helped you, but it was a godsend to us. we went from oweing 3K or more a year most years, to getting 5K back. that said, it was an all day evolution to do the taxes, and that should not be.
I'm glad to learn that the BBB is helping some people. I wasn't sure after seeing my own taxes. I suppose that a great deal of it is determined by how our income is generated.
Probably tax filings grow more and more complex every year due to lobbying by the massive industry that has been created to file taxes on people's behalf. If they were simple, no one would need to pay those folks.
I work in federal financial aid for a college and it’s even worse, but digital. The new bill complicated and cut so much student aid options that the shenanigans for the 26-27 ay is going to be painful. I swear we are all going to lose our minds, and also the students too.
One of my small local government clients (that has small financial needs) has talked to me about the fact that it can not accept small grants from the federal government because the paperwork required by the feds costs more to complete than the grant is worth. So if they accept a small federal grant they actually end up with less money than if they didn't.
I am just glad I qualified for full student loan forgiveness (10 years non-profit work) before they gut the whole program. Any month now I am free!!!! There’s alot paperwork, tho, it was a lot and you have to track it all yourself.
There’s alot of bureaucracy at state universities as well. Paperwork, paperwork, paperwork….
What is more concerning is the current status of our infrastructure and our civic resources despite having massive resources allocated to the State to ensure we live in a utopian dreamscape...
I think we need to ensure those elected are fiscally responsible with the resources they are given stewardship over.
I think it might make sense to avoid unnecessary time and wasted resources by eliminating or reducing the filing requirements for those under certain financial thresholds. The 990-N postcard filing is a perfect example. For small businesses and individuals below the median wage simplify the filing process and offer itemized for unique cases.
The administrative burden is obscene though. For example, the 1099-NEC to prove B2B transactions, even though both businesses should already be reporting anyways in their 1040/1065/Other.
It almost seems like pain is the point sometimes. Great post!
I too just filed. My accountant recommended I file electronically with a form 1040 for an extension while she wades through my mountain of paperwork for my retirements, Social Security and my 401(k). I usually have her fill out a voucher and send a check, with TAXE$ printed on the memo line. It has been my last act of frustration for the tax year. But this year she recommended I do not send a check, and I acquiesced. When I looked at my credit card statement, I found an $89.32 Service Fee to a contractor for the IRS. Outrageous!
I'm not sure if all Washington State agencies do this, or just some of them, but I've experienced the shady credit card fees as well, from the State.
It seems that these agencies don't directly accept credit/debit cards, so they get some other company to do it on their behalf. Invariably the fees are far too high, and the contractor is some company that no normal person has ever heard of. Just junk fees, and I presume junk fees collected by some politically connected actor or another.
Agreed, with comments. The BBB may not have helped you, but it was a godsend to us. we went from oweing 3K or more a year most years, to getting 5K back. that said, it was an all day evolution to do the taxes, and that should not be.
I'm glad to learn that the BBB is helping some people. I wasn't sure after seeing my own taxes. I suppose that a great deal of it is determined by how our income is generated.
Probably tax filings grow more and more complex every year due to lobbying by the massive industry that has been created to file taxes on people's behalf. If they were simple, no one would need to pay those folks.
this might be of interest as a data point: https://abcnews.com/Politics/average-tax-refund-3400-11-increase-year-treasury/story?id=132057626
I work in federal financial aid for a college and it’s even worse, but digital. The new bill complicated and cut so much student aid options that the shenanigans for the 26-27 ay is going to be painful. I swear we are all going to lose our minds, and also the students too.
One of my small local government clients (that has small financial needs) has talked to me about the fact that it can not accept small grants from the federal government because the paperwork required by the feds costs more to complete than the grant is worth. So if they accept a small federal grant they actually end up with less money than if they didn't.
I am just glad I qualified for full student loan forgiveness (10 years non-profit work) before they gut the whole program. Any month now I am free!!!! There’s alot paperwork, tho, it was a lot and you have to track it all yourself.
There’s alot of bureaucracy at state universities as well. Paperwork, paperwork, paperwork….
Like running inside a hamster wheel.
I'm glad to know that you were able to get in on that, as I'm sure you are right, it will be ending sooner or later.
What is more concerning is the current status of our infrastructure and our civic resources despite having massive resources allocated to the State to ensure we live in a utopian dreamscape...
I think we need to ensure those elected are fiscally responsible with the resources they are given stewardship over.
I think it might make sense to avoid unnecessary time and wasted resources by eliminating or reducing the filing requirements for those under certain financial thresholds. The 990-N postcard filing is a perfect example. For small businesses and individuals below the median wage simplify the filing process and offer itemized for unique cases.
The administrative burden is obscene though. For example, the 1099-NEC to prove B2B transactions, even though both businesses should already be reporting anyways in their 1040/1065/Other.
It almost seems like pain is the point sometimes. Great post!