Michelle Singletary’s July 8 Color of Money column, “Missing this July 10 deadline could cost you a tax refund,” was useful reading. But the onus for refunding penalties should really be on the IRS. This is especially the case for most taxpayers in salaried jobs whose federal tax withholdings are determined by employers using minimal information.
It is already unfair for the IRS to impose penalties for slightly delayed tax payments, and the current process for applying for refunds is cumbersome and irrational.
The conversation of reforming the U.S. tax system is often focused on the many exemptions for the wealthy. But too much time is wasted by hardworking citizens with modest financial means in dealing with the idiosyncrasies of the U.S. tax system. That must be addressed as well.