Tax Assessment Models for 2012- 2013 in the United States


Different tax assessment models are developed and used to determine whether taxpayers are paying the correct amount of money each tax season.

In every country, there is usually a department responsible for determining the tax liability of an individual or group. The department in the United States with this responsibility is the Federal Board of Revenue.

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Tax (Photo credit: 401(K) 2013)
The Board’ Provisional Tax Assessment Model will be used to determine the tax liability of undocumented and wealthy persons who are currently not paying taxes. Those individuals who are thought of as wealthy tax evaders because they fit a profile set up by the board will be targeted by this assessment model.

This method uses the spending patterns of these individuals to determine their tax liability. For example, the tax assessment model will examine foreign travel and bank account transactions to determine tax.

Plan for this year’s tax season with these tax return preparation tips.

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