IRS collects milestone $1 billion in back taxes from high-wealth taxpayers
IRS collects milestone $1 billion in back taxes from high-wealth taxpayers
The IRS has collected $1 billion in back taxes from high-wealth tax cheats — a milestone meant to showcase how the agency is making use of the money it received as part of the Biden administration’s signature climate, health care and tax package signed into law in 2022.
My dad: they’re using it to target conservatives!
Well, yes, or anyone else who isn’t paying their legally mandated share which is already far too little.
60Which, unfortunately, just feeds into their narrative that conservatives are unfairly being targeted.
I can't remember the bill but a Democrat had introduced some bill about Nazis or something like that and it was shot down by the GOP controlled congress because, and I believe the quote was, "This would unfairly target republicans".
Talk about telling on yourself.
36
That's still a drop in the bucket compared to how much they owe and how much they have stolen via wage theft, subverting our government with paid for politicians/judges/officials and unfair laws favorable to them, and otherwise ripping off the public/betraying the social contract. Progress nonetheless though!
27Neat
19Let's do it again!
16
Don't worry, Project 2025 will make sure the poor 1% aren't persecuted in such a manner ever again.
17But the 1% aren't poor! /s
2They are poor in spirit; won’t someone think of those unfortunate souls who’ll have to scrimp and save for that much longer in order to be able to afford their next luxury hypercar?!
2
For those who wonder how the IRS did this you should read the actual IRS Press Announcement but basically they went after 1,600 specific individuals that they already knew owed them at least 250,000 each.
There is more in the works for TY 2024 and beyond.
16Go after people avoiding fuel tax who use untaxed dyed diesel fuel on the road.
-4I’m skeptical on how good this is considering this is the result of six billion dollars in efforts.
-16You got a source for that $6 billion? I've tried searching around and can't find that anywhere.
Every study I've ever seen has shown that funding the IRS is a net benefit to tax revenue. So my instinct is that the $6 billion you saw included more than just this particular campaign.
18The tax agency has been undergoing a $60 billion modernization initiative aimed at improving its customer service and catching wealthy tax evaders.
A report published in June by the Treasury Inspector General for Tax Administration said the I.R.S. has so far spent $5.7 billion, or 10 percent, of its Inflation Reduction Act funding.
The funding was for this and improved customer service, but as TOModera says it may be just a one-time fee that will yield continuous returns.
-2
They've made 1 billion back of the 6, and expectations are 50 billion over 10 years. So if they don't see a growing amount, sure, skepticism is fine, but these things take time and there is already some amount in the first year, which most wouldn't have expected. I'd say be cautiously optimistic that there are results.
10I don't think this is intended as a full and complete accounting. Just an effort to publicize a win and pressure tax cheats.
6It's nowhere close to a full accounting. The IRS just plucked some extremely low hanging fruit by going after 1600 specific individuals that they already knew owed at least $250,000.
For TY 2024 the effort is being expanded and they are going to go after 25,000 high income earners who didn't file taxes (at all) in TY 2017 and later. The IRS knows who they are and has already sent them letters warning them that their audits are coming soon.
It's good stuff but its still more low hanging fruit. The hard work is going to start in TY 2025 when they start auditing the large companies.
5There is the small hope that all this work has lead to better processes and checks to make finding problems, mistakes, and abuse more easily and cheaply.
4