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She said that such a simplification reduces errors and saves time on tax preparation.
It would also plug loopholes that allow sophisticated taxpayers to exploit ambiguities and potentially increase fairness and compliance.
Consequently, it leads to higher tax burdens for some individuals.
On the other hand, those lost deductions as mentioned above might not feel like a worthy trade.
However, she said, wealthy Americans could also encounter fewer opportunities to avoid tax.
Some people argue that it is fairer and more equal.
This could mean a removal of the tax incentive to donate to charitable causes and nonprofit organizations.
While all of this sounds rather alarming, Yen suggested not to stress too much yet.
All in all, the total implementation could easily be a multiyear process.
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