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Tuesday November 12th 2019

Is it Time for a Flat Tax?

Various politicians and political groups have attempted to implement a flat tax numerous times in the past. Ideas on the implementation of a flat tax system that would simplify and equalize the taxes we have to pay each year have been produced recently and will continue to be brought up in future generations to pass. The simple idea of a flat tax sounds like a great idea to a large number of people and is actually a great way of taxation in practice. However, when it comes to actually implementing a flat tax in America, things become much more complicated than they originally seemed.

Getting a Simple Tax System Would be Complicated

Getting rid of the local taxation system and implementing a flat tax each year sounds like a great idea but what would this flat tax include? We pay multiple forms of tax each year. We pay income tax, social security, Medicare, payroll tax, businesses pay their own set of taxes, and the list goes on and on. If we were to implement a flat tax would it include everything or just certain categories?

If you think you have the answer, it would behoove you to realize this is putting it simplistically. There are a large number of factors included in the tax system we have now for each different tax that has to be paid. How much we are actually being taxed now has to be taken into account when trying to implement a flat tax. The government does not want to start bringing in less than it does now and people do not want to start being taxed more. To say finding equal taxation ground is hard is an understatement.

Special Interests

Then there are tax breaks. There are too many special interest groups lobbying to keep their tax breaks. Politicians are not going to just take these away to lose votes. You need to realize that everyone is out for him or herself when it comes to taxes and their finances in general. No one wants to pay more and everyone wants to pay less. Which means, starting a flat tax at all is going to ruffle feathers on someone somewhere? It cannot be avoided.

Despite all the political semantics involved, there is a single nail that currently puts to rest any possibility of a flat tax being implemented in the near future. That nail is called the economy. In all the talk about implementing a flat tax, how many people have thought about the repercussions it would have on the taxation industry?

Economic Damage from a Simpler Tax Code?

The Internal Revenue Service would either be greatly reduced in size or no longer necessary at all. Tax preparers and organizations would no longer be necessary without laws and guidelines to interpret. With a flat tax, figuring your taxes would come down to simple multiplication that a grade school child could do. Thousands of people would lose their jobs. The hit to the economy would be disastrous, especially during the economic times we are currently facing. Implementing a flat tax now would be like shooting ourselves in the foot. Neither the country nor the economy is prepared in the slightest for the implementation of a flat tax at all.

Shoeboxed Small Business Accounting Software – Too Much Fun for Tax Time

Many experience the headaches and stress equated with tax time. Some go paperless, some use a box of receipts and others spend countless hours locating and organizing receipts and other bits of data required to authenticate expenses. All of these groups may want to consider using some free small business software that can make your taxes run more smoothly. The online software service, cleverly entitled “Shoeboxed,” saves the time consuming, tedious task of locating, organizing and categorizing all of that information by doing it for you.

Who Might Like Shoeboxed?

Individuals, small business owners or busy executives can benefit from the features the service offers. Upon opening an account, you can send business cards, receipts and other documentation to Shoeboxed in one of several ways.

• Use Shoeboxed postage paid envelopes
• Scan and upload
• Take pictures of documentation using a mobile phone or iPhone app and upload
• Email receipts and other data directly to your account

After receiving all the information, Shoeboxed goes to work categorizing, organizing and entering all of the data into the account. Shoeboxed uses optical character recognition and human verifiers, who accurately record every piece of data, including receipt notations. They will also verify business or vendor names and payment types.

Within 24 hours, users have the option of downloading, emailing, printing or viewing all of the files. Choose from 15 different categories in which to organize data including meals/entertainment, office supplies, and computer/internet expenses.

Integration with Other Accounting Software

The software also conveniently integrates with other services for exporting data. These include BatchBook, CSV, Excel, PDF, Quicken and many others. Certified by TRUSTe, the information remains secure, providing private access to all of the necessary business financial figures. In addition, the company supplies clients with a quarterly back-up CD.

Shoeboxed is similar to having a virtual secretary. Once an account becomes established, automatically upload information as it comes along and the software handles the rest. Alternatively, save materials in an account envelope and mail to Shoeboxed at intervals for a fee.

Manage Contacts

The software can also help to save the laborious task of entering and organizing contacts. Instead, send the contact information to Shoeboxed and let the program handle the rest.

The features and services vary depending on the needs of individual clients and account services chosen. Shoeboxed is free to use if you plan on scanning documents yourself. If you want to mail in your documents or take an iPhone image and upload it, fees start at just under $10. Larger businesses with vast amounts of documentation require larger, more extensive file systems, but services do not exceed $49.95 per month.

Too Much Fun for Tax Time

No matter how you look at it, Shoeboxed is a good way to get organized, keeping your information secure and organized for very little cost. Like many other Google products, Shoeboxed is simple to use, effective and, admittedly, a little too much fun for something as boring as accounting!