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Taxes Too High? Try Underpaid

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  • Description

    FBN's Gerri Willis on a new study that found Americans underpaid taxes by 17% in 2006.

  • Duration 3:08
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The IRS out with a big report today charging many of us are Scott -- when it comes to pay her taxes.

In fact with underpaid or taxes by about 17%.

That's right the IRS's tax -- result of the tax collections 450 billion dollars below what they should have been.

Now this proportion 70% of individuals and companies who fail to pay their deal.

It's stay pretty consistent.

Check out this graphic based on 2006 year filings that's the most up to date numbers the government is putting out yet those numbers are all -- When you -- the fines for paying late the total tax -- drops to fourteen and a half percent percent that is.

Still in most private businesses if collections were running to 15% below scheduled.

Somebody -- -- fired.

Of course not everybody in the group is thumbing their nose at Uncle Sam by not filing a tax return at all some folks under report what they know others under pay.

And the people at the highest compliance with IRS filings are those of us right in the middle class the people who -- because our employers are submitting W -- Directly to Uncle Sam.

You can't run and you can not hide in other words if you work for the man Uncle Sam won't find you.

But there was another fact that caught my eye in this report when that virtually none of the media reported.

The fact that the gap that 450 billion dollars with significantly.

Higher than the federal budget that year.

In other -- words there would have had -- been no deficit 2006.

If the IRS had collected all it was due.

For those of you out there who think we need to raise taxes Nancy Pelosi Paul Krugman president Barack Obama.

The evidence shows otherwise what we really need is a tax code that people feel it's fair -- tax -- that people are more likely to comply with a simpler tax code.

The sheer fact that nearly half of Americans pay no income taxes at all.

Adds to the feeling that the system is unfair -- that some people have to pay and others don't.

Because believe me the tax code right now it's far from simple the code is more than 72000.

Pages long.

We dissect all of those pages on top of each other it would be 24 feet high.

Look -- out it wasn't always so.

Take a look at the nineteenth.

And a new report I just cited is the best argument for a flatter fairer tax -- this country even the IRS admits that simplify the code make it more affected.

And compliance might not be such a joke.

That's what I think what do you think about this heavy ever cheated on your taxes here's what some of you -- posting me on my FaceBook page ten says.

You may never wink -- Another viewer says if we had fair -- a fair tax with no loopholes for government and lobbyist corruption there would be no cheating.

And filing finally Laura says this of course I never cheated but I know what Treasury Secretary who did.

Here's your chance to weigh in our question tonight log on to Gerri Willis dot com vote on the right hand side of the screen.

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