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U.S. NEWS Wednesday 27 June 2018

New tax form is indeed

smaller, but filing is no simpler

By SARAH SKIDMORE SELL to fill out one or more of the document. The IRS also did
AP Personal Finance Writer six additional forms. not comment.
The Trump administration The supplemental paper- A failure to dramatically
may deliver on its prom- work would be needed to simplify the tax filing pro-
ise to reduce a commonly make common tax moves, cess as promised may earn
used tax form to postcard such as a reporting an edu- criticism from Democrats
size, but it does not shrink cator expense or claiming who mightily opposed the
the workload for many a deduction for interest $1.5 trillion tax plan, which
Americans filling out their paid on a student loan, as cut taxes for many Ameri-
taxes. well as reporting childcare cans but gave its biggest This image shows the front of the draft copy of the new 1040
A draft copy of the new expenses and retirement benefits to corporations income tax form.
1040 income tax form savings contribution cred- and wealthy individuals.q Associated Press
given to The Associated its.
Press by a staffer on the "Don't confuse creating a
Ways & Means Commit- postcard with simplifying a
tee shows that the form will tax filing, it's not the same
be reduced from two full thing at all," said Howard
pages to a double-sided Gleckman, a senior fellow
half page. But the legwork at the Tax Policy Center.
to claim many popular Gleckman said that most
deductions and provide taxpayers are going to
other critical information have to fill out one, if not
has been moved to one more of the new accom-
of six accompanying work- panying forms. And the
sheets. new structure makes some
The postcard-sized form beneficial components of
was a big selling point for tax law, such as the abil-
the administration during ity to claim the earned in-
its promotion of the divisive come credit — which is
new tax law — President designed to help low to
Donald Trump even kissed moderate-income working
a version of the postcard people — harder to find.
at one meeting to show his The postcard is more of
approval. Experts say that a concept than practice
while the law does simplify anyhow.
the process for some Amer- The bulk of taxpayers com-
icans, many will still have plete their taxes online,
to go through the same meaning they still answer
hoops to complete their all the same questions re-
taxes with this new format. gardless of how the paper-
The tax law greatly increas- work is laid out.
es the standard deduc- And unlike a postcard from
tion, meaning that millions vacation, those that fill out
of Americans will claim the their taxes on a postcard
deduction and skip the will likely want to send it
time-consuming process of in an envelope to protect
itemizing on their taxes. The their private information
Tax Policy Center estimates on the document, such as
that about 27 million fewer their Social Security num-
taxpayers will itemize under ber.
the new law. "I am not sure this is going to
Taxpayers may still need to make a whole lot of differ-
crunch the numbers to see ence," Gleckman said.
if they should itemize or not. The Treasury was expected
And, 19 million filers will con- to unveil the new form this
tinue to itemize, according week and did not immedi-
to TPC, so they will still need ately comment on the draft