https://issuesinsights.com/2022/08/18/its-the-culture-of-the-irs-to-target-the-most-vulnerable-taxpayers/
The Senate recently passed the inappropriately named Inflation Reduction Act on Aug. 7 (yes, a Sunday). Aside from the fact that even non-partisan analyses show the bill will have a negligible impact on actual inflation, one specific provision is raising red flags. In the plan, the Internal Revenue Service gets a fresh $80 billion in funding, with $45.6 billion of that slated for “enforcement” measures. This will involve the hiring of more than 87,000 new IRS agents. If past is prologue, it’s reasonable to expect this spells bad news for lower income Americans.
The Congressional Budget Office estimates this new investment in the IRS will generate an additional $203.7 billion over the next 10 years. A sum that large certainly casts doubt on the notion that this will only impact the super-wealthy. It is especially concerning given the agency’s rates of audits across socio-economic classes in recent years.
According to IRS audit data, the most frequently audited county in the United States is Humphreys County, Mississippi. This rural county near the Mississippi Delta is known for catfish farming and has an average income of $18,000 per resident, making it among the poorest in the nation. Yet, Humphreys’ residents get audited far more often than those in cities such as New York, Chicago, or Los Angeles.