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Discuss what you would do to make the IRS more efficient and how to help avoid...

Discuss what you would do to make the IRS more efficient and how to help avoid possible penalties regarding tax problems.

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IRS- Internal revenue services is an agency of US Government that collects taxes. Its headquarter is in Washington. It was established in 1862.

Penalties regarding tax- Are as following:

  • Not filing tax return on time.
  • Filing incorrect tax return.
  • Not estimating tax payments when required.
  • Withdrawing IRAs and 401(k) retirement accounts early.
  • Doing nonqualified withdrawals from 529 plans and HSAs.
  • Making excess contribution to IRAs and other tax favored accounts.

We can make the IRS more efficient by avoiding possible penalties regarding tax problems. We should do:

  • Filing tax on time.
  • Filing correct tax return.
  • Not indulging in tax evasion and tax avoidance activities.
  • Not withdrawing IRAs and 401(k) retirement accounts before the time.
  • Not making nonqualified withdrawals from such accounts.
  • Not making excess contribution to IRAs and other tax favored accounts.
  • One should be good in record keeping of all the taxes.
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