IRS budget cuts cost $34.3B in lost revenue from big business

Re:IRS budget cuts cost $34.3B in lost revenue from big busi... by pwinnski on Tuesday August 20, 2019 @03:55PM (#20751315)

Except that auditing involves tax return in which the IRS has suspicion that there is more income than claimed, right? So of all the people who reported income of less than $25,000, the IRS apparently believed that 0.69% of them actually had income of much, much more. Maybe millions.

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Re:IRS budget cuts cost $34.3B in lost revenue from big busi... by jfengel on Tuesday August 20, 2019 @04:27PM (#20751713)

Is that the kind of thing that would show up in an audit? That is, if you're hiding millions of dollars, you're not just fudging the numbers. You've got a web of places to stash money that aren't directly connected to you. It would take a deep investigation of your finances, not just an audit.

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Re:IRS budget cuts cost $34.3B in lost revenue from big busi... by Rapzid on Tuesday August 20, 2019 @06:17PM (#20752769)

I would be astonished if the IRS didn't use some sort of statistical analysis(AI) to trigger audits.

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Re:IRS budget cuts cost $34.3B in lost revenue from big busi... by londons_explore on Wednesday August 21, 2019 @06:08AM (#20755896)

I hope they have third party data sources (banks, employers, stockbrokers, house/boat purchasers, etc.). By cross referencing the third party data with the contents of your return (automatically), they should be able to make a shortlist of people likely to be failing to declare something.

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