Record IRS revenue—but Biden expands IRS scope/audits

Why do people keep saying this? There will not be 87,000 new IRS agents.

The $80 billion is spread over 10 years as well.

 

the $80 billion additional funding for the IRS will help to catch tax cheats such as the Trump Co.

According to the Congressional Budget Office, this $80 billion funding will bring back additional tax collection by the IRS ---effecting the tax cheats to pay their fair share---in excess of $100 billion

 

The fixed cost will remain, temporary effects will go away.

 

Interesting. What does this mean?

 

using terms that you don't understand.

in your mind, what is the fixed cost? what is the temporary effect?


with the 87,000 additional auditors, many tax cheats will be caught, compelled to pay taxes and fines.
chances are that they will be less inclined to cheat in the future, this is the permanent effect of additional tax collection resulting from vigorous tax audits​

 

LOL, child please.

 

Salvy knows that you can't just pay a company without getting their W9, when buying services.

He is trying to short cut it, and place the blame on the contractor - when he didn't do his end, and when they audit it won't really have an effect on Salvy, but he will need to provide whom he paid for the work, that is on him.

DD

 

About the increase in audit for under 400k.... Do people read before they speak?

Secretary of the Treasury Janet L. Yellen Sends Letter to IRS Commissioner in Support of Funding for IRS to Improve Taxpayer Service & Combat Evasion By High Income Earners and Corporations | U.S. Department of the Treasury

WASHINGTON – Today, U.S. Secretary of the Treasury Janet L. Yellen sent a letter to the Commissioner of the Internal Revenue Service (IRS) Charles P. Rettig in support of the much needed funding to the IRS to improve taxpayer service, modernize outdated technological infrastructure, and increase equity in the tax system by enforcing the tax laws against those high-earners, large corporations, and complex partnerships who today do not pay what they owe.

Secretary Yellen also reaffirmed the Administration’s commitment to not increasing audit rates relative to recent years on Americans making under $400,000 a year, noting that they will actually see a lower likelihood of audit due to improved technology and customer service.


“Specifically, I direct that any additional resources—including any new personnel or auditors that are hired—shall not be used to increase the share of small business or households below the $400,000 threshold that are audited relative to historical levels. This means that, contrary to the misinformation from opponents of this legislation, small business or households earning $400,000 per year or less will not see an increase in the chances that they are audited.”

 

For some perspective

Opinion Why does the IRS need $80 billion? Just look at its cafeteria - By Catherine Rampell. Photos by Matthew Busch

This is not just about hiring more Treasury agents - this is about bringing the IRS into the 21st century. However admirable the IRS agents' efforts are to maintain order in a paper-centric process, it still has an enormous potential for error (and even sabotage). We should not be using cafeterias as a processing hub for taxes.

Furthermore, with 10.2 million unprocess returns, you're looking at a lot of money that's just sitting with the government. The average return is $3,651 and approximately 75% of taxpayers get a refund (source - Lending Tree). So roughly speaking, we're looking at over $29 million that is sitting with the government rather than either earning money for taxpayers or going into local economies. Even a tax and spend liberal like myself (I kid.....mostly) sees that as a terrific waste. Properly funding the IRS will help reduce this waste.

 

High earners? That is Job Creators to you.

 

There is ~$80B in funding over 10 years. Not sure what happened after that 10 years. I think they lose the funding and Congress would have to reauthorize new funding. Not all of the $80B is for enforcement.

~46B is for enforcement (70% increase 10YoY)
~25B is for operations support (53% increase)
~5B is for business system modernization (153% increase)
~3B is for taxpayer services (9% increase)

Some of these are one-time costs (SW update for example).

As for the effect, it shouldn't be temporary. Effects of system modernization should be permanent. Compliance rate should increase with fear of audits for "cheaters" and that should remain (until enforcement funding is taken away or expire).

 

They can do both, earn high and create jobs.......and pay their ****ing taxes.

There are so many loopholes ......

People like Elon musk take ZERO in salary, and instead take LOANS out against their stock because LOANS are not taxable, so they pay no taxes.....

Now consider your house, you literally pay taxes on UNREALIZED gains every year as your home value goes up, but you have not recognized that revenue.....this is the same thing......we can't take loans out against the house....and not pay taxes on the increase, why can very rich people take loans out against unrealized gains and not pay taxes.

Major loop hole.

DD

 

You know that’s not true. Now for some of the other posters… I fully believe they believe that.

 

Good

I want every scumbag to pay their fair share.

No under the table shady stuff or exploiting loopholes.

If you are panicking, you have been a shady scumbag.

Good

 

What does paying in cash have to do with not getting a receipt? A receipt is literally a piece of paper that says I did x for $y.

I make everyone give me a receipt before I pay them for work. Cash, Zelle, whatever. I take a picture of the receipt, and at the end of the year, save all the receipts to a backup folder. It also makes doing taxes much much easier.

It's not that hard.

 

BTW with 87,000 new jobs, doesn't that make the IRS, the job creator!!!



DD

 

Many Cons promote or condone potential scumbaggery just in case they make it big.

Lot of heavy lifting for jerb creators...

 

What you don’t understand is that liberals are liars and communists. Unlike men of integrity like Donald Trump.

 

We don’t need jobs that make our country money. We need more jobs for coal miners. Read a book.

 

You don't need to hire 87,000 agents to go after the ultra wealthy and double check their loopholes.

The way I see it going down is a giant number of middle class taxpayers are going to get hit with unilateral audits that lead to IRS to send demands for back taxes. It's going to be an amount just small enough to hurt the taxpayer, but not large enough to justify the costs of hiring a tax lawyer or CPA to defend against the demand. For peace of mind, middle class people will be writing checks to the IRS for several thousand each, and the tab is going to add up immensely.