The Internal Revenue Service announced in March that its compliance efforts related to the Employee Retention Credit had exceeded $1 billion, with the agency specifying that “more than 12,000 entities filed over 22,000 claims that were improper and resulted in $572 million in assessments.”
The Internal Revenue Service is trying to leverage the extra billions in funding from last year’s Inflation Reduction Act to narrow the ever-increasing gap between taxes due and taxes collected, but has spent surprisingly little of the money so far.
The IRS on Thursday released a plan for the nearly $80 billion in agency funding enacted through the Inflation Reduction Act in August — including expected boosts for customer service, technology, and enforcement.
A large-scale refurbishment of the Internal Revenue Service (IRS) is underway following an allotment of $80 billion to the agency in Democrats’ Inflation Reduction Act passed last year.