Page 113 - Individual Forms & Instructions Guide

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Disclosure, Privacy Act, and Paperwork Reduction Act Notice 14:28 - 20-Jan-2023

The IRS Restructuring and Reform Act of tax return. This could make the tax higher If you have suggestions for making
1998, the Privacy Act of 1974, and the or delay any refund. Interest may also be these forms simpler, we would be happy
Paperwork Reduction Act of 1980 require charged. to hear from you. You can send us com-
that when we ask you for information we ments through IRS.gov/FormsComments.
must first tell you our legal right to ask Generally, tax returns and return infor- Or you can send your comments to Inter-
for the information, why we are asking mation are confidential, as stated in Code nal Revenue Service, Tax Forms and Pub-
for it, and how it will be used. We must section 6103. However, Code section lications Division, 1111 Constitution
also tell you what could happen if we do 6103 allows or requires the Internal Reve- Ave. NW, IR-6526, Washington, DC
not receive it and whether your response nue Service to disclose or give the infor- 20224. Don’t send your return to this ad-
is voluntary, required to obtain a benefit, mation shown on your tax return to others dress. Instead, see the addresses at the end
or mandatory under the law. as described in the Code. For example, of these instructions.
we may disclose your tax information to
This notice applies to all records and the Department of Justice to enforce the Although we can't respond individual-
other material (in paper or electronic for- tax laws, both civil and criminal, and to ly to each comment received, we do ap-
mat) you file with us, including this tax cities, states, the District of Columbia, preciate your feedback and will consider
return. It also applies to any questions we and U.S. commonwealths or possessions your comments as we revise our tax
need to ask you so we can complete, cor- to carry out their tax laws. We may dis- forms and instructions.
rect, or process your return; figure your close your tax information to the Depart-
tax; and collect tax, interest, or penalties. ment of Treasury and contractors for tax Estimates of Taxpayer
Our legal right to ask for information administration purposes; and to other per- Burden
is Internal Revenue Code sections 6001, sons as necessary to obtain information The following table shows burden esti-
6011, and 6012(a), and their regulations. needed to determine the amount of or to mates based on current statutory require-
They say that you must file a return or collect the tax you owe. We may disclose ments as of November 2022 for taxpayers
statement with us for any tax you are lia- your tax information to the Comptroller filing a 2022 Form 1040 or 1040-SR tax
ble for. Your response is mandatory under General of the United States to permit the return. Time spent and out-of-pocket
these sections. Code section 6109 re- Comptroller General to review the Inter- costs are presented separately. Time bur-
quires you to provide your identifying nal Revenue Service. We may disclose den is broken out by taxpayer activity,
number on the return. This is so we know your tax information to committees of with recordkeeping representing the larg-
who you are, and can process your return Congress; federal, state, and local child est component. Out-of-pocket costs in-
and other papers. You must fill in all parts support agencies; and to other federal clude any expenses incurred by taxpayers
of the tax form that apply to you. But you agencies for the purposes of determining to prepare and submit their tax returns.
do not have to check the boxes for the entitlement for benefits or the eligibility Examples include tax return preparation
Presidential Election Campaign Fund or for and the repayment of loans. We may and submission fees, postage and photo-
for the third-party designee. You also do also disclose this information to other copying costs, and tax return preparation
not have to provide your daytime phone countries under a tax treaty, to federal and software costs. While these estimates
number or email address. state agencies to enforce federal nontax don’t include burden associated with
criminal laws, or to federal law enforce- post-filing activities, IRS operational data
You are not required to provide the in-
formation requested on a form that is sub- ment and intelligence agencies to combat indicate that electronically prepared and
terrorism.
ject to the Paperwork Reduction Act un- filed returns have fewer arithmetic errors,
less the form displays a valid OMB con- Please keep this notice with your re- implying lower post-filing burden.
trol number. Books or records relating to cords. It may help you if we ask you for Reported time and cost burdens are na-
a form or its instructions must be retained other information. If you have questions tional averages and don’t necessarily re-
as long as their contents may become ma- about the rules for filing and giving infor- flect a “typical” case. Most taxpayers ex-
terial in the administration of any Internal mation, please call or visit any Internal perience lower than average burden, with
Revenue law. Revenue Service office. taxpayer burden varying considerably by
We ask for tax return information to We Welcome Comments on taxpayer type. For instance, the estimated
carry out the tax laws of the United Forms average time burden for all taxpayers fil-
States. We need it to figure and collect ing a Form 1040 or 1040-SR is 13 hours,
the right amount of tax. We try to create forms and instructions with an average cost of $250 per return.
that can be easily understood. Often this This average includes all associated forms
If you do not file a return, do not pro- and schedules, across all tax return prepa-
vide the information we ask for, or pro- is difficult to do because our tax laws are ration methods and taxpayer activities.
vide fraudulent information, you may be very complex. For some people with in-
charged penalties and be subject to crimi- come mostly from wages, filling in the Within this estimate, there is signifi-
nal prosecution. We may also have to dis- forms is easy. For others who have busi- cant variation in taxpayer activity. For ex-
allow the exemptions, exclusions, credits, nesses, pensions, stocks, rental income, or ample, nonbusiness taxpayers are expec-
deductions, or adjustments shown on the other investments, it is more difficult. ted to have an average burden of about 8

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