Dear IRS,
Roni Deutch has written an open letter to the IRS urging them to update the allowable standards for living expenses. According to the press release, she highlights two problems with the standards.
The first is that the IRS uses statistical data that is two years old to determine the amount of the expenses. So taxpayers are buying whatever it is that is on the allowable list in today's dollars but they can only deduct these items' worth in the dollar of two years ago. This problem is exaggerated this year because the IRS decided not to compile new data; they are using the same numbers used last year.
The second problem she identifies is that the IRS apparently uses a national standard to determine the amount of these expenses. Deutch argues that some taxpayers live in communities that are more expensive than the national average and these taxpayers should be allowed a greater discount.
She asks that the IRS correct these problems and suggests that the US Treasury department reprimand the IRS for allowing them to persist.
If this works I may have to start putting my own letter together.
Labels: irs, living expenses

