IRS Takes Action Against 125,000 Taxpayers

As part of efforts to increase accountability for tax compliance, the US Internal Revenue Service (IRS) will take action against 125,000 high-income taxpayers who have not filed tax returns from 2017 to 2021.

Starting this week, the IRS will begin sending letters demanding tax compliance to more than 125,000 taxpayers. Approximately 25,000 of these letters will be sent to taxpayers with incomes exceeding $1 million, while the remaining notifications will be received by taxpayers with incomes ranging from $400,000 to $1 million. The agency plans to send out between 20,000 to 40,000 letters each week.

The main goal of the entire operation is deterrence and phishing – the actual amount of income the agency may recover is indeterminate, as the agency is unaware of potential tax credits and deductions to which taxpayers may be entitled.

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