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Old 11-01-2007, 04:21 PM
mosdef mosdef is offline
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Join Date: Jan 2005
Location: Toronto
Posts: 3,414
Default Re: Cost of Administering the US Income Tax

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Without turning this into a debate on the merits of said income tax, can anyone here give me some direction on finding out the total cost of administering it? I'm coming up short on Google.

This would include the total IRS budget, but also all the money spent by private firms and individuals in terms of internal man-hours, accountants, forms, etc.

FWIW (nothing), my out-of-thin-air guess is $200B annually.

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It's free because the government is more efficient than markets. How many examples of efficient tax administration can you think of that were administered by private companies? NONE. That's what we refer to as a "market failure".

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