10 Facts You Did Not Know About Income Tax

Everyone knows the mid-April deadline, but do you know why that specific date was chosen? And why did income taxes get

started in the first place? Well, here are some insights on those, and many other, income tax facts.

Why is April 15th the deadline?

Tax day wasn’t originally in April. When the 16th Amendment was introduced in 1913, the tax deadline was March 1st. This changed to March

15th in 1918, and was then changed to April 15th in 1955.

 Income Tax Started because of War

The American Civil War to be precise. The Revenue Act of 1861 was introduced to gather funds for the expensive war that lasted four years. At the time, the

war cost approx. $3 million per day. The Revenue Act of 1861 was later repealed and ultimately replaced with the 16th Amendment.

The tax code has grown to about 70,000 pages

It started as 400 pages in 1913. It’s hardly surprising that 82% of taxpayers now turn to a tax accountant or tax

software for help. 

Americans spend 6.1 billion hours every year preparing taxes

There are roughly 319 million people in America according to the U.S. Census Bureau. That averages out to every man, woman,

and child spending 19.1 hours getting ready for tax day. 

New York City has the world’s highest corporate income tax

The figure, from a 2009  report, was 46.2%. That’s followed by Illinois (42.3%) and then Japan (41%). Compare that to the lowest, a low

10%, paid in Bulgaria, Cyprus, and Macedonia.

91% of you think it’s NOT OK to cheat on your taxes

In a recent survey on taxpayer attitudes, the result was enormously in favor of staying honest. Considering the

survey was conducted by the IRS, you’d have to wonder what the other 9% were thinking.

Americans spend $40.5 billion every year on tax preparation

That’s a lot a money spent because the tax code is so complicated and hard to understand.

Nearly 95,000 people work for the IRS

Based on data found in The Wall Street Journal in October 2013 shortly after the government shutdown began, there

were 94,516 employees working for the IRS.

Tax evasion is prevalent in the world of babysitting.

As many as 95% of people who employ babysitters, housekeepers, or other home health aides are not as upfront about it as they should be and do not report

wages paid to household employees.

To Learn More Visit

http://www.taxdefensenetwork.com/

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Michael, Paul. “15 Surprising Facts About Income Tax.” Wise Bread. Wise Bread, 19 January 2011. Web. 15 July 2015. <http://www.wisebread.com/15-surprising-facts-about-income-tax>