October 3, 2022 - Douglas Myser

Looking back at anti IRS arguments. When the Inflation Reduction Act was being proposed, and it came out that Democrats wanted $87 billion in funding for the IRS, to bring them up to speed after nearly a dozen years of under funding, Republicans railed that it amounted to a "Tax increase" on lower income Americans, just to get the agency to do its job and actually collect the taxes owed to it. Estimates put the amount of uncollected tax annually at between $500 and $700 billion. Sen. Mike Crapo, the top Republican on the Senate Tax committee, has stated that making people pay taxes that they already owe is tantamount to raising their taxes. Prior to passage of the bill, he was arguing that the proposal would unfairly burden people with lower incomes, yet the reality is that the groups targeted will be those earning over $100,000 a year, and the rich who have been sliding by for years. They can expect the number of audits to go up. Looking back at anti IRS arguments.

If it wasn't for the additional strain on the IRS, having them distribute the Covid stimulus checks, at the same time as they are putting in a new computer system, the oldest in the government, along with the increased work of Identity Theft, and Tax Refund Fraud, which has skyrocketed in the last few years. When the National Taxpayer Advocate stated that in 2022, only 12 percent of all calls to the IRS were even answered, the large majority of Americans, even aware of potential audit increases, realized that the agency needed funding to simply do its job and provide an acceptable level of service. So now we have the funding, with 87,000 new IRS employees being trained to do the job they were made to do.

With the IRS adding 87,000 employees, one category of taxpayer will be targeted right away, business owners, including self-employed business owners. If your a business owner and have Payroll Tax issues (these are the types of debts the IRS will target first), you need options for preventing a Trust Fund penalty and how to keep your business alive. Call our Tax Resolution Company today for help. We have been providing outstanding Tax Resolution Services for 36 years. 1-888-689-7861