Wealthy Americans are still ducking the IRS crackdown on non-filers



https://v.redd.it/vo0nkfu99a5e1

by cnbc_official

5 comments

  1. Tens of thousands of wealthy Americans are not complying with [recently revamped](https://www.irs.gov/newsroom/us-department-of-the-treasury-irs-announce-1-point-3-billion-recovered-from-high-income-high-wealth-individuals-under-inflation-reduction-act-initiatives#:~:text=Ensuring%20high%2Dincome%2C%20high%2Dwealth%20taxpayers%20pay%20taxes%20owed&text=With%20new%20Inflation%20Reduction%20Act,million%20in%20taxes%20being%20paid.) Internal Revenue Service efforts to get them to [file tax returns](https://www.cnbc.com/2024/02/20/heres-how-the-irs-is-targeting-top-earners-for-audit.html), according to data obtained exclusively by CNBC.

    A quirk in federal tax law may be incentivizing wealthy people who [want to avoid paying taxes](https://www.cnbc.com/2024/02/22/tax-evasion-by-wealthiest-americans-tops-150-billion-a-year-irs.html) to simply not file their returns. That’s because it’s a felony to file false tax returns but only a misdemeanor not to file a return at all.

    And due to limited IRS and Department of Justice resources to pursue misdemeanor violations, a person who does not file a return is unlikely to face prosecution. As a result, many [millionaires](https://www.cnbc.com/2024/07/11/irs-says-its-collected-1-billion-in-past-due-taxes-from-millionaires.html) could simply be taking their chances, betting that they will face few consequences for not filing their tax returns. 

    In early 2024, the IRS began an effort to [contact people](https://www.cnbc.com/2024/02/29/irs-targets-wealthy-non-filers-with-new-wave-of-compliance-letters.html) it calls “high income non-filers” and urge them to file returns to the tax agency.

    “We have made progress,” an IRS official told CNBC, explaining that high net worth cases can take time to process. “That said, there still remains a lot of work. We continue to pursue these folks. This is not work that we will let go.”

    Full story: [https://cnb.cx/3ZmUAD4](https://cnb.cx/3ZmUAD4)

  2. Wouldn’t it be nice if the gov did your taxes for you and sent you the receipt like in every other developed country. Then the wealthy wouldn’t be able to dodge taxes and the gov wouldn’t have to waste tax dollars on chasing non-filers.

  3. If anything, the wealthy will get a lot more tax breaks in the near future , Trump and other oligarchs are now in charge of setting policy….

  4. Here I am such an idiot cutting the IRS another check for a fine plus interest because during the time between filing and the IRS cashing a check, the interest on my dad’s death year taxes interest had accrued. Such a sucker I am….

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