The IRS plans to crack down on 1,600 millionaires to collect back taxes

Internal Revenue Service Commissioner Daniel Werfel announced that the agency is cracking down on wealthy people who have cut corners on their taxes. IRS Commissioner Daniel Werfel said that with a boost in federal funding and the help of artificial intelligence tools, the agency has new means of targeting wealthy people who have “cut corners” on their taxes. He said 1,600 millionaires who owe at least $250,000 each in back taxes and 75 large business partnerships that have assets of roughly $10 billion on average are targeted for the new “compliance efforts.” Werfel said a massive hiring effort and AI research tools developed by IRS employees and contractors are playing a big role in identifying wealthy tax dodgers. “The next step is to go after anyone they wish to target for political purposes.” Senate Finance Committee Chair Ron Wyden said the IRS’ new plan is a “big deal” that “represents a fresh approach to taking on sophisticated tax cheats.” “This action goes to the heart of Democrats’ effort to ensure the wealthiest are paying their fair share,” he said in a statement. David Williams, president of the right-leaning, nonprofit Taxpayers Protection Alliance, said “every business and every person should pay their taxes — full stop.” However, “I just hope this isn’t used as a justification to hire thousands of new agents” that would audit Americans en masse, he said.