Woodbridge Investments

A Dozen Strange Tax Facts

Whether you’re scrambling to finish up your tax return, or already enjoying your refund, take a moment to laugh – or groan – at our top 12 odd facts about the Federal tax system.

  1. The first United States income tax was imposed in July 1861 to help pay for the Civil War; people were required to pay 3% of income over $600.
  2. Income tax was repealed in 1872 because the government was making more enough income from taxes on tobacco and alcohol.
  3. In 1913, the 16th Amendment to the Constitution made the income tax a permanent part of the U.S. tax system.
  4. Taxpayers weren’t required to use their Social Security number on tax forms until 1961.
  5. Social security number mistakes are now the most common error made on tax forms, according to the IRS.
  6. The federal tax code – which explains all of the country’s tax laws, is now 73,954 pages long. In 1914, the code was 400 pages.
  7. The federal tax code contains about 4 million words. All of Shakespeare’s known plays and poems total about 900,000 words.
  8. Americans spend 7.6 billion hours and about $27.7 billion every year doing their taxes, about 57% of us pay someone to do our taxes.
  9. Over 20% of hard copy tax returns contain errors, less than 1% of electronic returns do.
  10. Almost 90% of individual tax returns are now e-filed.
  11. You can download over 1,132 tax-related forms from irs.gov.
  12. According to the National Highway Traffic Safety Administration, there are about 6% more car crashes on tax day.

The average refund is $2,953. If you find yourself in need of more funds, you might want to consider selling all or part of your structured settlement or annuity payments to Woodbridge Structured Funding. Find out more about selling annuity payments.