You\u2019ve seen the news. You\u2019ve seen the lightning flashing, and thunder roaring. You\u2019ve heard the cries in the street! <\/span>
\n<\/span>\u201cOh my God! The IRS is hiring 87,000 people to come get us!\u201d <\/span>
\n<\/span>\u201cThey\u2019re coming for the poor and middle class!\u201d<\/span>
\n<\/span>\u201cAudits are going to increase!\u201d<\/span><\/p>\n

Lions, tigers, and bears! Oh MY!<\/span><\/p>\n

The IRS is getting $80 Billion<\/strong><\/h3>\n

Yes, the IRS is getting $80,000,000,000. That\u2019s what $80 Billion actually looks like numerically. Anywho, this $80 Billion will be dispersed over 10 years. Here is a breakdown of the funding: Enforcement $45.6 Billion, $25.3 Billion for Operational support, $4.8 Billion to modernize IRS business systems (administration of taxpayer services, operations, and cybersecurity).<\/span><\/p>\n

Backstory: The IRS has been underfunded for DECADES. They have antiquated systems that rival MS DOS. The irony is not lost in that systems received the least amount of funding. The IRS is also dealing with the Great Resignation.<\/p>\n

The IRS is hiring 87,000 new Agents<\/strong><\/h3>\n

Cool your jets!\u00a0 1. These are not all going to be auditors. 2. They aren\u2019t being hired Tuh-Day!
\nThe IRS is facing the normal attrition of retiring individuals. They are also facing the same hiring struggles as every other business.\u00a0<\/span><\/p>\n

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\u00a0\u201cIt\u2019s hard to hire for the IRS, when Target is paying $20 per hour\u201d. ~Chuck Rettig, Commissioner of the IRS<\/span><\/em><\/h2>\n

There isn\u2019t going to be a formation of an Army of Revenue Agents looking like the First Order in Star Wars, at least not TUH-DAY!<\/span><\/p>\n

More Audits? <\/strong><\/h3>\n

In the IRS\u2019s strategic plan from a few years back, they told us they were going to be targeting high income non-filers. That plan has not changed. <\/span>
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\n<\/span>The headline of the <\/span>Treasury Inspector General for Tax Administration (TIGTA) report from May 2020<\/em> <\/span><\/a><\/span>was: \u201cHigh-Income Nonfilers Owing Billions of Dollars Are Not Being Worked by\u00a0 the Internal Revenue Service\u201d. Guess what\u2019s going to be happening now?\u00a0<\/span><\/p>\n

The headline of\u00a0 <\/span>TIGTA\u2019s December 2020 report<\/span><\/a><\/em><\/span> was: \u201cBillions in Potential Taxes Went Unaddressed\u00a0 From Unfiled Returns and Underreported Income by Taxpayers That Received Form 1099-K Income\u201d.\u00a0<\/span><\/p>\n

The enforcement initiatives are not a surprise. Now, everyone is yelling, \u201cGet your documentation in order\u201d. If you prepare your return as if the IRS will show up tomorrow, they could hire a million revenue agents, which wouldn’t matter to you.<\/span><\/p>\n

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