The Inflation Reduction Act won’t bring 87,000 new IRS agents with guns to your front door, but it has important changes for taxpayers
The last Tax Report came out just as Congress took up the Inflation Reduction Act, and it discussed the bill’s $80 billion in proposed new Internal Revenue Service funding. Over half the new dollars were earmarked for new tax enforcement, especially audits of high-earning taxpayers, while the rest was to improve operations, technology and taxpayer service.
Now the bill is law, signed by President Biden on Aug. 16. Although details changed, the IRS’s $80 billion in new funding survived and is in place to be spent over a decade. Supporters of the law, who have long complained that IRS appropriations have been too erratic to fix fundamental problems like 1960s-era technology, are pleased with the stable funding.