Re: Joe Manchin Agrees To Sweeping Legislation To Raise Taxes On Wealthy, Invest In Climate

U.S. Treasury Secretary Janet Yellen told the Internal Revenue Service on Wednesday that if the Inflation Reduction Act became law additional IRS resources should not be used to increase audit rates on taxpayers making under $400,000 a year. The legislation, which passed the Senate over the weekend with no Republican support, increases the IRS budget by about $80 billion over 10 years. Democrats say beefing up IRS enforcement will increase tax collection and help pay for the $430 billion bill, which tackles climate change and lowers prescription drug costs for seniors, among other provisions.

Republicans have criticized the additional funding for IRS tax enforcement, saying the agency will not just focus on wealthier taxpayers but also go after middle-class families. Yellen told IRS Commissioner Charles Rettig in a letter released by the Treasury Department that any new IRS personnel "shall not be used to increase the share of small business or households below the $400,000 threshold that are audited relative to historical levels." The IRS is a bureau of the Treasury Department.

Yellen said, "contrary to the misinformation from opponents of this legislation, small business or households earning $400,000 per year or less will not see an increase in the chances that they are audited." The House of Representatives is expected to vote on the bill on Friday. President Joe Biden has said he would sign it into law. ... 022-08-11/

Republicans are already campaigning against the "Inflation Reduction Act" as an attack on the working class. Democrats aren't the only party that represents working class voters.
More than half of the agency's audits in 2021 were directed at taxpayers with incomes less than a $75,000, according to IRS data. More than 4 in 10 of its audits targeted recipients of the earned income tax credit, one of the country's main anti-poverty measures.

Despite Yellen's statement that chances of getting audited won't increase, it's already over 50% for those with less than $75,000 income. They go after the low hanging fruit, it's easier than fighting tax accountants and tax lawyers protecting the wealthy and corporations. Rewriting the federal tax code is where they'll find billions, but politicians of both parties don't want to take on that battle, too many special interests that would jeopardize party fund raising.
"Everyone is entitled to their own opinion, but not their own facts." - Daniel Patrick Moynihan

Re: Joe Manchin Agrees To Sweeping Legislation To Raise Taxes On Wealthy, Invest In Climate

Knock me over with a feather - never thought it would never make it; turd shown to be a traitor; AG may proceed with NY state trial; we got rain yesterday and today; civil war starts tomorrow. What a friggin' week !!! I'm plumb worn out !!
"Being Republican is more than a difference of opinion - it's a character flaw." "COVID can fix STUPID!"
The greatest, most aggrieved mistake EVER made in USA was electing DJT as POTUS.

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