The Taxpayer Advocate Service of the IRS has developed a pictorial representation called the Taxpayer Roadmap depicting just how complicated tax compliance can be for the average US taxpayer.
As you can see, there are a lot of twists and turns through this maze, especially if you disagree with a finding made by the IRS, or worse, they make a mistake.
Now, repeat this map again and again for items that we real estate investors (and other business owners/operators) will have to navigate, including LLC returns (Form 1065) and S corporation returns (Form 1120S) before we even begin to “gather data” for our personal returns.
Having done both my personal and corporate returns, this map does not feel quite Byzantine enough.
I wonder how how many hours and taxpayer dollars were spent by our “advocates” to produce this roadmap?
To get a high resolution version of the map, click here.
Do you do your own tax returns? Ever been through an IRS audit? If so, how does this map look to you? Please share your experiences with a comment.
H/T to Real Estate Investing Today
