Monday, February 10, 2025
spot_imgspot_img

Top 5 This Week

spot_imgspot_img

Related Posts

Rich Americans continue to avoid IRS crackdown on non-filers


Tens of thousands of wealthy Americans are not filing tax returns in response to recent IRS efforts to increase compliance. Due to limited resources to pursue misdemeanor violations, wealthy individuals are not facing prosecution for failing to file their taxes. However, a new IRS initiative launched in early 2024 has targeted high-income non-filers, resulting in more individuals filing returns and paying an additional $292 million in taxes. Despite this, few of the wealthiest non-filers have complied. The IRS has only initiated criminal investigations into a small fraction of these cases, citing limited resources and a focus on prosecuting felonies. The Treasury Department has proposed reclassifying certain non-filers as felony offenses to increase deterrence and ensure more equitable tax collection from wealthy individuals. Of the 25,000 highest-income non-filers identified, nearly 2,000 individuals likely had over $5 million in income in any given year for which they did not file a return. This underscores the significant impact of high-income tax non-compliance on federal revenue and the need for more effective deterrents. Increased penalties for willful non-filing could help close the tax gap and ensure that all taxpayers fulfill their obligations to finance the federal government.

Photo credit
www.nbcnews.com

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Popular Articles