An Overwhelmed IRS

In 1960, the Internal Revenue Service audited more than 3% of America’s tax returns to make sure individuals and corporations were paying their fair share. That number has fallen dramatically, to less than 0.5%. At the same time, six decades of tax “reform” has expanded the maze of loopholes and the potential for fraud and error.

It’s estimated that we lose roughly $600 billion in unpaid taxes every year, with the wealthiest 1% responsible for 28% of that number.

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IRS Audit Rates

Source: Internal Revenue Service.

Note: Inclusive of all tax return categories.