Tax Returns Before the Internet: A Journey Through Time
Before the advent of the internet and online tax services like TurboTax, filing tax returns was a process that required patience, precision, and often, a visit to one of several locations to obtain the necessary forms. This article takes a look back at how people filed their tax returns in the pre-Internet era, detailing the tools, methods, and experiences that shaped the tax-filing landscape.
Manual Filling of Tax Forms
Back when calculators were essential tools for anyone dealing with numbers, filling out tax forms was a meticulous process. Handwritten forms were the norm, and calculators were often the key tool enabling individuals to perform the necessary calculations. People would gather all the necessary documents, such as W-2s, 1099s, and other income-related papers, and then spend hours meticulously filling out their returns.
Accessing Tax Forms and Instructions
The IRS distributed stacks of free blank tax return and instruction forms to public libraries, post offices, bookstores, CPA firms, and other relevant locations. These forms were essential for taxpayers to gather, fill out, and submit their returns. Many individuals would take several copies to ensure they had plenty of room for error. Some would even use pencils to fill out the forms, making it easier to correct any mistakes before finalizing the document. With the advent of the Xerox machine, this process became more efficient, allowing people to make permanent copies with a single click.
The Process of Filing
Before online services like TurboTax, people had several options for filing their tax returns:
Filling them out at home and mailing the completed forms to the IRS. Hiring tax preparers to assist with the process and ensure everything was done correctly. Using local tax preparers or offices such as HR Block, Jackson Hewitt, or the United Way for assistance.Once the forms were completed, they were signed, placed in an envelope, and mailed. The results, however, were often fraught with mathematical errors due to the manual nature of the process. These errors were inevitable and could lead to headaches and additional time spent on corrections.
Complicated Tax Returns
As tax laws evolved, so did the complexity of tax returns. In the early days, simpler forms like the 1040EZ were sufficient for many taxpayers. However, as tax laws became more complex, the 1040 form and its various schedules became the norm. Even in 1040EZ form days, the 1040 Long form was the choice for higher income earners, who often employed CPA firms for even more intricate returns.
Medical and Legal Expenses
High-income earners, in particular, had access to the best resources. These individuals often employed Certified Public Accountants (CPAs) and tax attorneys. They had access to high-end computer programs dating back to the 1950s, which were far more sophisticated than the basic tools available to the average taxpayer. Business publication firms also contributed to this by producing detailed tax guides and advice.
Historical Context
The era before the internet was one of patience and precision. People relied on their ability to read and follow instructions, and their persistence to get things right. For those who did it themselves, there was a sense of pride in completing a complex tax return with accuracy. Mailed checks, often the size of an 80-column punch card, would eventually arrive, signaling the successful completion of the tax-filing process.
Conclusion
While the tax-filing process has become much more streamlined and accessible with the advent of online services like TurboTax, it is fascinating to look back at how people handled the process in the days before the internet. The journey through this history provides a window into the tools, methods, and experiences that shaped our modern approach to taxes.