Peshke Financial
  • Services
    • Tax Preparation
    • Home Loans
    • Personal Finance Coaching
  • About Us
    • Meet Chad
    • Meet Emilie
    • Chad's Story
  • Client Resources
    • Tax Resources
    • Home Loan Resources
    • Financial Coaching Resources
  • E-News
  • Client Reviews
  • Contact Us
  • Services
    • Tax Preparation
    • Home Loans
    • Personal Finance Coaching
  • About Us
    • Meet Chad
    • Meet Emilie
    • Chad's Story
  • Client Resources
    • Tax Resources
    • Home Loan Resources
    • Financial Coaching Resources
  • E-News
  • Client Reviews
  • Contact Us
Search by typing & pressing enter

YOUR CART

E-News

Making Finances Simple. Changing Lives.

4/20/2023

How IRS is Spending its $80 Billion

In a recent report to the Secretary of the Treasury, the IRS revealed how it will spend its $80 billion in funding received from the 2022 Inflation Reduction Act provisions…
​Many of our clients have expressed concern that the IRS will now be targeting middle class folks for audits.
 
According to its operating plan report for the next decade, the IRS detailed a plan to accomplish 3 main goals:
  1. Improve customer service
  2. Increase examinations (audits) on large corporate and high-income individuals
  3. Update antiquated systems and technology
 
Customer Service
This is a HUGE need due to the decline in IRS staff over the past 15 years, at a time when tax law has only become more involved, with numerous added complexities due to COVID and a changing economy.
 
We can say from experience this is already working to some extent. Calls are certainly being answered quicker and tax returns processed more efficiently.
 
The coming changes in technology modernization and taxpayer tools should provide a nice boost in productivity in the way of IRS & taxpayer interaction.
 
Increased Audits
Over $45 billion of the funds are said to be allocated towards enforcement. That’s a huge chunk that rightfully stokes fears in many Americans.
 
However, audits have always been heavily weighted toward wealthier Americans, primarily because there’s more “juice for the squeeze”. This trend will no doubt continue since there’s a clear focus on accountability for the wealthy in today’s political climate.
 
So while audits are a bummer because of the time needed to address them, taxpayers with clean and accurate records needn’t be afraid.
 
Systems & Technology
The IRS has been stuck in the 20th century for way too long. There are many efficiencies that this new funding should help accomplish through technology improvements. And we have seen improvements already with added online tools.
 
Heavy focus is being placed on automated systems to lighten the load on manual IRS contact, as well as shorten consumer time investment. Equipping taxpayers to handle simple tasks in less time is a clear area of focus.
 
Will these things all happen? Only time can tell. I’m generally hesitate to be giddy about tax money being spent, as it seems we’re often underwhelmed by the results. This is certainly one to be hopeful about being that it touches every one of our lives.

Comments are closed.

SERVICES
ABOUT US
CLIENT RESOURCES
E-NEWS
CLIENT REVIEWS
CONTACT US

Picture
Picture
​​© 2023 Peshke Financial Inc., all rights reserved. NMLS #2244878. DRE #02210589. "Making Finances Simple. Changing Lives." is a pending trademark with USPTO. Material contained in this website is for informational purposes only and is not meant to be construed as direct financial advice for your specific situation. It is recommended that you consult with your own advisors for any personalized financial guidance. Since we’re not licensed attorneys, we cannot provide legal advice. As such, any info contained in this website should not be construed as direct legal advice. Individual Licensure (see profiles) - click here. Send Docs Securely - click here.