Understanding The Internal Revenue Service The Internal Revenue Service (IRS) is the branch of the United States federal government that deals with collecting payments from American citizens. The word revenue stands for the income that a country receives through levying taxes and collecting public payment expenses. They regulate the laws that have been set by presidents passed, and make sure the country is receiving due amounts from its people. These payments are used for all different types of things and are collected in all different methods. Income taxes are used to house, feed, and clothe the military. They also go toward the replenishing of the Social Security fund and benefits that have been set aside by the government. Depending upon who holds the office of the President, which party they belong to, and what they feel is more important, these also go to help other social issues. Presently, the majority of this monetary amount is used to assist lower income individuals throughout America to have benefits and be able to care for themselves and their families. The government collects money from its citizens in other manners, as well. Sales tax is taken from each purchase that an individual makes in most states. Those that do not require their citizens to give this amount are Alaska, Delaware, Montana, New Hampshire, and Oregon. The IRS was initially created during Civil War times, but was not made into the system that is followed today until the early to mid twentieth century. At one time, only those that had a certain level of income were allowed to be taxed. Those that were the richer or upper crust types had to pay portions of their income to the United States to help keep it going and in operation. At one time, after the ratification of the Sixteenth Amendment, these revenues were completely halted. Tax collectors used to be hired to do the arranging of the funds. However, in the 1970s a newer high tech system of how to divide and regulate this program was created. After the Watergate scandal, different methods were tried and software programs were instilled to make sure that the process was smooth and fair. The IRS is in charge of both collecting the revenues that Americans pay and creating laws regarding them. The agency is a bureau of the Department of the Treasury and is under the direction of the Commissioner of Internal Revenue. The major office resides in Washington D.C., of course, but much of the computing is actually performed in the state of Maryland. They have ten different service centers around the country. There are many laws that govern the process of collecting taxes. Each working American is required to pay this amount to the government each year. People that choose not to do so can be heavily fined or imprisoned, because it is a federal offense to neglect giving your dues to the United States. Individuals are monitored by their Social Security number, as well as payrolls at their jobs. Illegal immigration has become such a difficult topic because it is believed that many immigrants that come here and work are not documented. In other words, they do not have Social Security cards and numbers and are unable to be officially monitored by the country. Many feel that this is a way for them to avoid paying their income taxes; however, those that wish to eventually become naturalized citizens willfully dole out this amount. Corporations are also expected to pay dues and are monitored very carefully. Businesses that do not do so properly or refrain from bestowing their expected monetary amount are investigated and often punished. The International Revenue Service is extremely particular when it comes to the percentages that are rewarded to the United States. However, those that dutifully perform the doling of their expenses often receive a monetary payment back. These are called tax breaks, credits, or returns. When an individual goes through the process of submitted their paperwork and amount into the system, it is important to pay attention to all of the different items that can be filed for. Understanding this process, as well as the IRS, can increase an individuals likelihood to be an informed member of the America and will help them to compensate the federal government with the correct amount that they are expected to. Jack R. Landry has worked since 1988 as a tax attorney. He has written hundreds of articles about finding a Tax attorney Bakersfield. Contact Info: Jack R. Landry JackRLandry@gmail TaxCrisisInstitute
Posted on: Fri, 29 Nov 2013 11:14:18 +0000
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