IRS Proposal for a Taxpayer Allocation Policy within the IRS

Economy
1

Proposal for a Taxpayer Allocation Policy within the IRS

Introduction: To promote citizen engagement and ensure that taxpayer dollars are directed towards agencies that reflect public priorities, this proposal introduces a new policy within the IRS. This policy empowers taxpayers to allocate a portion of their federal taxes to specific government agencies.

Policy Overview: Each taxpayer will have the opportunity to allocate 30% of their federal tax contributions. They will choose from existing federal agencies and decide how much of this allocation goes to each agency in increments of 3% or more. This allows for greater citizen participation in determining which sectors of the government receive their financial support.

Key Features:

  1. Taxpayer Discretion:

Taxpayers can allocate 30% of their taxed income, which would otherwise go directly to the general federal fund, to specific federal agencies.

These allocations can be distributed across various agencies, with a minimum of 3% designated to each selected agency.

  1. Agency Selection:

All existing federal agencies will be eligible for allocation. Taxpayers can divide their 30% among multiple agencies, depending on their personal or societal priorities.

A simple online portal will be developed within the IRS system, allowing taxpayers to view a list of agencies and make their selections.

  1. Transparent Reporting:

The IRS will provide annual reports summarizing how taxpayers have allocated their funds. This will ensure transparency and help the government understand which areas are most valued by the public.

Benefits:

Enhanced Civic Engagement: This policy allows taxpayers to feel more directly involved in government spending, encouraging them to think critically about public priorities.

Increased Accountability: Agencies that rely heavily on taxpayer allocations will be more incentivized to demonstrate their efficiency and impact, leading to better performance and results.

Improved Public Trust: Giving citizens more control over their tax dollars can increase public trust in government, as they see a direct link between their contributions and the areas they care about most.

2

@NachoLibre, agreed! There is a similar idea here with more votes (although your idea contains more details): Each taxpayer decides what agency gets their tax dollars

1 Like
3

I have had this idea for 30 years, i cant see how something similar couldn’t really help the Citizens feel like they have a say. Now we even have full capabilities to implement something like this. It could be done, it makes lots of simce now in a divided political environment.

1 Like