Author: Kelly Coughlin, CPA, EveryDayCPA, Inc.; Founder, TaxRxCenter
So, you’ve seen and heard all the news about this new army of IRS agents. Armed with guns they are getting ready to do battle with US taxpayers. A force bigger than Napoleon’s Grand Arme. You gotta love these politicians. Those who oppose it say things like, these audits will only hurt poor people. Those who support it say things like, these audits will only hurt millionaires. And then you have the dumbest of ALL…some of the so-called tax experts…smugly saying, well, if you are paying your taxes, then why would you not support this. You have nothing to worry about…or DO you?? It’s like, if you go shopping at the grocery store, you buy 50 items, you get stopped and checked out by security who goes through EVERY item you have… and checks it against your sales receipt. Do you welcome this? Of course you don’t. But these tax experts would have you believe that you should welcome this audit. Why wouldn’t you? You didn’t steal anything, or DID you?? For anyone and especially a tax expert to suggest that a business owner or a family not welcoming the drain on resources, capital and attention an audit or even just dealing with a tax letter or notice triggers is an indication of cf cheating on taxes is frankly absurd. I hope those tax experts who say that get an opportunity to get a full body cavity search the next time they go through TSA security. Let’s see if the smugly smile while they get one of those full scope searches that delays their advance to their boarding gate. After all, they have nothing to hide…or DO they??
Taxpayers have every right to be concerned about a ramp up in tax collection practices. More frequent and aggressive IRS collection tactics cost taxpayers money, time and attention. But if you think about it, there are some people that benefit from this change. Think about it. Who benefits the most from a hailstorm? Roofers. Who benefits most from a financial asset crisis? Lawyers and accountants. And who benefits most from a more aggressive IRS? You probably figured it out. Some of these same tax experts. No tax professional with any integrity would welcome this new army. We welcome things where we can help families and businesses thrive and flourish. And sometimes, like during the pandemic, we get to help businesses and families survive. But with this? While, yes, we get great satisfaction by helping businesses, families and individuals get the IRS off their backs. We certainly don’t wish for more stress and pressure and distraction and cost on ANY of our clients. So, my conclusion is this. You have every right to not welcome this audit risk increase and no this does not mean you are a tax cheat. And the next time you hear one of these politicians or tax professionals guilt you for not welcoming this new army, ask them if you can conduct a full body cavity search on them with your favorite tool and pair of gloves. After all, they have nothing to hide…or DO they? Look for my Top 10 IRs Audit Prevention and Audit Management Tips to help you deal with Napoleon’s army in subsequent blog posts.