Welcome to the first installment of our three-part video series, How Congress Is Killing the Tax Profession. If you’re a tax professional—whether you’re a CPA, enrolled agent, or tax attorney—chances are you’ve experienced the increasing frustration and complexity that come with preparing returns each year. If you’re a taxpayer, this series will help you understand why filing your taxes has become such a convoluted process—and why it might not be the IRS’s fault.
In Part One, we’ll explore how Congress (not the IRS) actually makes the tax rules, why Form 1040 is no longer solely about collecting taxes, and how we ended up with a system so complex it feels like it’s bending our minds.
One of the biggest misconceptions about taxes is that the IRS calls the shots. It doesn’t. Congress is the real powerhouse behind every tax rate, penalty, loophole, and deadline we encounter. The Internal Revenue Service merely interprets and enforces what Congress has passed into law.
Key takeaway: We elect the officials who make every rule, rate, penalty, and loophole. The IRS doesn’t have the freedom to “create” taxes; it only implements what Congress decides.
Congress realized long ago that Form 1040—the document nearly every taxpayer must file each year under penalty of perjury—could be used for much more than just collecting revenue.
Today, Form 1040 serves as a catch-all vehicle for a wide array of social and economic programs. From healthcare subsidies (like ACA credits) to education incentives (such as the American Opportunity Credit), a large number of non-tax initiatives now flow through a single tax form.
Here are just a few examples of what’s crammed into your average return:
Result: Instead of one bureaucracy for healthcare, another for education, another for corporate subsidies, etc., Congress has merged them into the tax system—turning Form 1040 into a labyrinth of forms, schedules, and complex rules.
With every new social or economic program jammed into the tax code, the complexity grows—and it’s not just the number of credits or deductions. The frequency of changes has skyrocketed.
Bottom line: Tax professionals—and the IRS—bear the brunt of these rapid-fire changes. The average taxpayer pays for it, too, both in fees and in the frustration of navigating a system that seems impossible to understand.
In this first part, we’ve highlighted the root cause of many tax headaches: Congress’s ever-growing and constantly changing tax code. The IRS is essentially the middleman, enforcing the rules handed down by lawmakers.
Stay tuned for Part Two, where we’ll dive deeper into how this chaos impacts the tax profession itself. We’ll examine the cost to practitioners, the burnout many are experiencing, and why all of this matters to you—even if you’re not a tax pro.
If you want to keep up with the rest of our series or learn more about the complexities of today’s tax system, check out OvernightAccountant.com or RealEstate-TaxPros.com. I’m Brett Hersh, your “My Tax Guy,” committed to helping you navigate this increasingly complicated world of taxes—preferably with a bit of humor along the way.
Until next time, stay informed—and remember: understanding who’s really behind the tax code is the first step in making sense of it.
Ready for More?
Be sure to catch the entire video series to see how these issues directly affect both practitioners and taxpayers—and how you can stay ahead of the ever-shifting tax landscape.
All courses and articles are for informational purposes only and do not constitute tax advice. Taxes are complicated - do not act on course information without consulting a professional. Always refer to treasury regulation before making any tax decision. Read the full disclaimer.
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