The American tax system can be confusing, especially when you believe some tax myths – and, when it comes to taxes, rules aren’t meant to be broken. Most people have no income other than their paychecks, and if they make less than $100,000 in a year, they can easily fill out the IRS 1040EZ form, but, for everybody else the U.S. tax system is a mystery.
To understand how the tax system actually works, we debunked the most common tax myths – check them out!
1. Myth: Filing a tax return is voluntary
This is actually a myth. A law called Title 26 of the U.S. Code which was ratified by the 16th Amendment to the Constitution requires every individual with taxable income to file. Even if some people have a low income, everybody is expected to send in a return.