Prior to 2010, the IRS was an agency everyone feared because it had so many resources at its disposal, but even this powerful and important agency wasn’t able to escape government budget cuts. Five years worth of steady budget cutting has resulted in the IRS trying to get by on a total budget that’s been reduced by $1.2 billion, which has led to the termination of more than 13,000 full time jobs. The two most significant ways the budget cuts impact tax payers is a decrease in IRS customer service and a the elimination of more than 46,000 audits.
With fewer IRS employees, some American taxpayers intend to take advantage of the opportunity and ignore their tax obligations. In fact, for individuals who owe less than $1 million, some speculate it could be years before the IRS even notices the bill was never paid.
The movers and shakers inside the IRS aren’t happy. They’ve been very vocal in their belief that the decline in audits encourages individual tax payers to cheat on their forms. Many feel that the amount of money that won’t get accounted for during the 2015 tax collection could add up to $2 billion, and the loss of that money will bring about even more budget cutting.
While tax fraud and cheating is the primary concern of the IRS, they are also concerned that the additional losses will come from people who want to be honest on their tax forms, but are no longer able to get the answers to questions which will lead to accidental, but costly errors when they file their taxes in 2016. If you have a question about how to file your taxes, you should be prepared to call the IRS repeatedly before you reach an actual representative. It’s estimated that as many as 60% of all calls won’t even get answered.
In 2011, the odds of you getting audited by the IRS if you earned between $25,000-$49,999 was 0.72%. While the odds of facing an audit might have gone down, if you are one of the unlucky few that gets contacted by the IRS, you should brace yourself. The budget cuts mean that the agency is getting desperate and they will most likely approach each case with a level of aggression that has never been experienced before, which means it’s in your best interest to contact an experienced tax audit attorney right away.
The tax audit attorney will act as a buffer between you and the IRS. They’ll make sure that the IRS doesn’t violate any of your civil rights, that they don’t make any illegal seizures of your property, and that all the details of your case are in order. The most important thing that the tax audit attorney does is help you navigate through the twisty tax laws that are often difficult to comprehend. Don’t try to face the IRS in 2016 alone. If you have problems with your return or fear an audit is in your future, contact a qualified tax audit attorney today.