IRS Strategy Targets Small Business Non-Filers to Fill Tax Gap
The Internal Revenue Service says it’s missing $39 billion in lost taxes. With spending on the rise, the government sorely misses that lost revenue. So to find it, it’s going after the little guys. A new report details the IRS’s freshly revealed plan that targets small business non-filers. The agency is looking to fill the gap between what it should collect in taxes and what it actually collects. The first stop is small businesses that don’t file taxes.
The IRS is using various oversight boards and computerized filing models to sniff out small businesses and the self-employed who are skipping out on their tax tab. Or to quote the report, they want to “empower and enable all taxpayers to meet their tax obligations.” Who doesn’t feel empowered when the government sends the tax collector?
Fraud Also a Target
Those who file but fib are not off the hook, either. Tax fraud tech advisors are developing indicators of fraud for computerized systems. Results are passed along to the IRS Criminal Investigations department. As well, IRS is teaching employees in all areas to recognize signs of fraud. As a result, criminal investigations are on the rise.
You can learn more in this article from Accounting Today.
The IRS Small Business and Self-Employed Tax Center has information about filing and paying taxes.
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