The IRS Is Letting Rich People Fleece Everyone Else

New data show a huge drop in tax audits of the wealthy and corporations — now progressive lawmakers are pushing for a crackdown.
The IRS Is Letting Rich People Fleece Everyone Else

EDITOR’S NOTE: This Daily Poster report is being co-published with Newsweek.

B y David Sirota

By some estimates, the wealthiest 1 percent of Americans manage to avoid paying about a quarter trillion dollars of owed taxes every single year. Now, new government data show that audits of the super-rich and large corporations have hit a new low, leaving billions of dollars of uncollected taxes at precisely a moment when lawmakers say new revenue is needed to fund infrastructure and climate investments.

In response, two progressive Democratic lawmakers have authored legislation cracking down on tax evasion.

The new Internal Revenue Service figures compiled by Syracuse University researchers show that in the last eight years, there has been a 72-percent drop in the number of audits of those making more than $1 million. In all, 98 percent of those making more than $1 million did not face an audit last year.

Similarly, there has also been a 55-percent drop in the number of audits of America’s largest corporations. In 2012, almost all corporate giants were audited. In 2020, however, almost two thirds of those corporations were not subjected to audits.

Click here to read The Daily Poster’s full report at Newsweek.


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