The $80bn in the Inflation Reduction Act for the IRS is not spending, it is investment. Werfel signalled that audit rates will bounce back closer to historical levels, and the approach this time round will be significantly more sophisticated. The step change in audit rates won’t happen overnight. And while, all else being equal, the Inflation Reduction Act may end up doubling the IRS’s workforce, it is hardly the last word on money matters. But this is more likely to curtail customer service improvements for everyone than deter the IRS leadership from targeting tax avoidance by the wealthy.

Source: Forbes May 17, 2023 05:29 UTC