President Trump’s Executive Order curbing regulations is working for taxpayers—including news reporters.
It is one mystery of human nature that the major media reporter’s hysteria is so hyper-focused on promoting anti-Trump fictional news they ignore their tax issues.
Fortunately for all American taxpayers, President Trump is looking out for their welfare even if the major media news pundits are not.
Signed just a few weeks ago the EO requires that the Federal tax system “should be simple, fair, efficient, and pro-growth.”
Over the past years, the tax regulations have had the opposite effect.
While every taxpayer feels outraged by the tax system, they have no ability to do anything about the “effectively increased tax burdens, impeded economic growth…onerous fines, complicated forms, and frustration.”
Taxpayers are treated by the ruling powers in Washington, D.C. as if serfs on a feudal manor. (I was tempted to use the slave analogy, but I didn’t want to get accused of cultural appropriation.)
Will some change improve the taxpayer’s lot in life?
Don’t know yet. But the signs are looking good.
The Secretary of the Treasury has 60 days to identify all treasury regulations that are an undue financial burden on American taxpayers, add undue complexity, or exceed statutory authority.
The within the next 90 days, the Secretary must submit specific actions to mitigate the tax burdens imposed by regulation.
The bureaucrats have a cutesy way of avoiding oversight by claiming they have some of the exemption.
The Trump EO understand this and orders the Secretary to review any tax regulation exemption process.
The bureaucrats explain the need for regulation complexity by blaming it on the taxpayers since the taxpayers ask for the regulations to contain examples or carveouts.
Could it be Congress is at fault for writing incomprehensible tax legislation requiring regulations to provide carve out and examples?
I recall when Congress passed something called a passive activity.
Although an oxymoron, tax nerds readily accepted the new concept.
It took the Treasury 125 pages of regulations with multiple examples to define the term. It’s still a tax mystery to normal people who understand that a passive activity is an algorithm used in a computer program to calculate more tax to pay.
The impact of Trump’s EO is already felt by the Treasury with many major regulations acknowledged as under consideration.
Understandably, this is a difficult process for the entrenched tax bureaucracy, its sycophants, and Congress whose existence depends on tax complexity.
This will change because once a regulation makes it to the second list, then action is mandated by the EO.
There are only two possibilities.
Either the offending tax regulations will be withdrawn or re-writing them will be an immense project requiring a huge increase in appropriations.
Going forward, the Treasury should likely not be as cavalier as they have been in issuing new regulations.
Congress will not escape from the consequences of the EO. Instead of Treasury regulations or the IRS enforcement being the bad guys, taxpayers will learn that its Congress that is responsible and should be held accountable at election time.
It takes some time and pressure for an Executive Order to change well-entrenched bad legislative and bureaucratic habits.
Trump’s Executive Order on tax regulations is looking good for the taxpayers.
Denis Kleinfeld is known as a strategic tax and wealth protection lawyer, widely published author and creative teacher.