Americans owe the IRS $688 billion in unpaid taxes, underscoring need for more audits, said IRS Commissioner.

Americans failed to pay $688 billion in taxes on their 2021 returns, a record level, according to a new estimate from the IRS. The agency said that it is taking “urgent” steps to increase compliance such as auditing more high-income taxpayers as well as businesses and partnerships.

The $688 billion estimate reflects the first time the IRS is providing information about the so-called tax gap on an annual basis, with the agency noting in a Thursday statement that it plans to continue providing the data on a yearly basis. The number reflects an increase of more than $138 billion from estimates for tax years 2017 to 2019, the agency said.

  • Rhaedas@kbin.social
    10·
    1 year ago

    I’m more cynical because I think that high up are safe. Somewhere in the middle, the millionaires and small business, are probably the new targets. The change could also be simply because the lower end that are easy to do also more and more can’t even pay the fines, so it’s dried up.