IRS unveils plans for $80bn investment for improved operations

IRS announces plans for $80 billion investment to improve operations, including hiring more staff for customer service and auditing high-wealth taxpayers.

The IRS has announced plans to allocate the $80bn it was granted through the Inflation Reduction Act for improved operations until fiscal year 2031. The agency has pledged to invest in new technology, expand its ability to audit high-wealth taxpayers, and hire more customer service representatives. IRS officials have promised not to increase audit rates on small businesses and households making under $400,000 per year.

The agency will devote more than half of the funds, or $45.6bn, to pursuing high-wealth individuals and companies. However, the IRS has no plans to hire an army of tax agents with weapons.