Senators Drop Bills Abolishing IRS & IRC

Two bills were introduced in the Senate last week that would abolish Internal Revenue Service and the Internal Revenue Code, accoridng to the NAEA E@lert.

The first bill, S. 1025, introduced by Senator Saxby Chambliss (R-GA), would defund the IRS and replace Subtitles A, B, and C of the tax code with a 23 percent tax-inclusive sales tax, to be administered by the states. (The tax-inclusive rate means a one-dollar purchase would include 77 cents of product and 23 cents of tax – by traditional standards of calculating sales tax, it would be considered a 30 percent sales tax.

E@lert called it "a fairly transparent attempt to make the rate appear lower than it is." An identical bill introduced in the House has 58 cosponsors.

Meanwhile, S. 1040, introduced by Senator Richard Shelby (R-AL), would replace the marginal income tax rates with a single 17 percent flat rate, and repeal the estate tax. At press time, S. 1040 was not available to view.

You may like these other stories...

The IRS cautions freelancers and other self-employed individuals to stay on top of the deadlines for filing federal tax returns and the due dates for making payments. Miss just one, says the IRS, and it might exact a sizable...
Bipartisan Cooperation on Tax Refund FraudAs noted in Politico, Senators Wyden and Hatch have introduced a tax refund fraud bill. According to a summary from Senator Hatch's office, the bill would enhance "the...
Camp Hopes Estate Tax Will Be on Its Way OutAn article in Bloomberg said that Republicans are considering voting this year to repeal the U.S. estate tax, according to House Ways and Means Chairman Dave Camp (R.-Mich.). He...

Upcoming CPE Webinars

Aug 5
This webcast will focus on accounting and disclosure policies for various types of consolidations and business combinations.
Aug 20
In this session we'll review best practices for how to generate interest in your firm’s services.
Aug 21
Meet budgets and client expectations using project management skills geared toward the unique challenges faced by CPAs. Kristen Rampe will share how knowing the keys to structuring and executing a successful project can make the difference between success and repeated failures.
Aug 28
Excel spreadsheets are often akin to the American Wild West, where users can input anything they want into any worksheet cell. Excel's Data Validation feature allows you to restrict user inputs to selected choices, but there are many nuances to the feature that often trip users up.