02 Feb New IRS Future Agenda
Have you ever wondered what is on the IRS’s agenda? Well I went to a conference last week, and they gave us a little insight on what they are working on. Director of the IRS Field Collection Operations spoke on what we should expect from the IRS in the collections realm. He said that 93% of the Federal Budget comes from Taxes (all types), and of that percentage, over 70% is a direct relation to business’s in the USA. That’s right, as you already knew, 70% of the taxes collected by the IRS comes from directly from business compliance in the form of payroll taxes and withholding.
The IRS will be focusing on payroll taxes in the future. They are scaling up the education as well as special agents to help administer and keep business’ compliant. This means that they will keep watch on the following items:
Correct classifications of employee’s vs. independent contractors
A new EFTPS system that will help notify and predict companies that may fall behind on payroll taxes and payroll filing (pilot systems have already ran and show promise). They are being pro-active in this new program
New Field Collection procedures for Revenue Officers to ensure compliance (even if you are late one or two periods)
Nexus with DOJ and DOL has been heightened to include criminal investigation of habitual payroll offenders, and
Nexus with Dept of the State to help pursue revocation of passports
If you have any questions regarding income taxes, please feel free to contact me.
Ben Golden, EA.
Golden Income Tax & Accounting Inc, Golden Tax Relief LLC (www.goldentaxrelief.com)