Kay Bell of Don’t Mess With Taxes writes about the IRS’s intensified program to find and prosecute rich tax evaders in Get Ready for Increased Audits:
“The [amnesty] initiative is part of a much broader effort to crack down on offshore tax evasion,” [IRS Commissioner Doug] Shulman said. He noted that the IRS also plans to “scour” the 7,500 accounts that Swiss authorities turned over to U.S. investigators in order to identify financial institutions and advisers involved in the accounts.
“Big numbers are involved,” said Shulman, who then proceeded to warn folks who insist on hiding assets offshore to be on the lookout for IRS agents.
“We have a long way to go, but our efforts will only intensify,” he said. “We’re going to be moving aggressively,” and look not only in Europe but also focus on multiple points “around the globe.”
The IRS will add staff to eight overseas offices focused on international criminal investigations, including new offices in Beijing, Panama City and Sydney, Australia.
It’s been pointed out before, both on this blog and many others, that the Obama administration’s profligate spending has created a need to find new sources of government revenue.
Directly raising taxes on the middle-class is political suicide. Ideas about how to tax the middle-class indirectly have been floated by this administration and Congress for the last several months. These are not as unpopular as are direct middle-class tax hikes, but would be if people paid closer attention.
One thing that the electorate definitely will support, however, is the direct and forceful prosecution of rich people who have failed to pay their taxes. Although this strategy alone won’t be enough close our multi-trillion dollar deficit, it’s a strategy that seems to have no discernable downside and a lot of upside.
After all, it’s easy to sell the have nots on the idea that we need to get those greedy, rich bastards who who have cheated the government and made their lives so miserable.
But be careful what you wish for. It is my experience that whenever the IRS says it is stepping up its enforcement and tax collection efforts to go after rich people an awful lot of not so rich people end up getting caught in its net.
Related Posts:
Obama Plans to Quadruple IRS Enforcement Funding in Next Five Years
Brace Yourselves Non-Filers and Delinquent Taxpayers: IRS to Target Non-compliers
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