Millionaires dodged $2.4 billion in income tax, watchdog claims

https://www.cnbc.com/2021/03/15/irs-falls-short-policing-the-wealthy-for-tax-evasion-watchdog-claims.html

Greg Iacurci
@GregIacurci
Published Mon, Mar 15 20211:27 PM EDTUpdated Mon, Mar 15 20211:33 PM EDT

The IRS should police wealthy Americans who intentionally dodge their income taxes with more vigor, according to a report from the Treasury Inspector General for Tax Administration.

About 686,000 taxpayers who earn at least $200,000 a year had a combined $38.5 billion tax balance as of mid-May 2019, according to the watchdog.

Further, the agency collects less than 50% of tax debt owed by high-income taxpayers within a year of the case being assigned to an IRS tax collector, the report said.

 

For example, high earners — those making at least $1.5 million a year — paid the IRS just 39% of the taxes they owed, on average, according to the audit. Such taxpayers still owed about $2.4 billion in delinquent tax.

•••••