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  • Saturday, 24 February 2024
As Tax Day approaches, small-business owners worry about beefed up IRS

As Tax Day approaches, small-business owners worry about beefed up IRS

With Tax Day fast approaching, many small-business owners are concerned about a potential increase in IRS enforcement efforts.

The Biden administration has proposed significantly boosting funding for the IRS in order to crack down on tax evasion by wealthy individuals and corporations. This increased funding could also lead to more audits and enforcement actions against small-business owners.

While many small-business owners support efforts to ensure that everyone pays their fair share of taxes, some worry that they will be disproportionately targeted by the IRS.

"I'm all for cracking down on tax cheats," said Tom Johnson, who owns a small construction company in Texas. "But I don't want to be caught up in a dragnet just because I'm a small business owner."

Johnson's concerns are shared by many others in the small-business community. According to a recent survey by the National Small Business Association, more than half of small-business owners said they were worried about the potential for increased IRS enforcement.

Some small-business advocates argue that the focus on wealthy individuals and corporations is justified, but that the IRS should also take steps to ensure that small businesses are not unfairly targeted.

"The vast majority of small-business owners are honest and hardworking people who pay their taxes on time," said Karen Kerrigan, president of the Small Business & Entrepreneurship Council. "The IRS needs to focus its resources on the real tax cheats and not waste time going after small-business owners who are doing the right thing."

Despite these concerns, the Biden administration has been adamant about the need to increase IRS funding in order to raise revenue and ensure that everyone pays their fair share.

"We're not looking to go after people who are making $25,000 a year or $50,000 a year and have a mortgage," President Biden said in a recent speech. "We're looking to go after people who are making millions of dollars a year and are not paying their fair share."

Some small-business owners say they understand the need for increased enforcement, but they worry about the impact it will have on their businesses.

"It's just one more thing to worry about," said Emily Brown, who owns a small bookstore in New York. "Running a small business is hard enough as it is without having to constantly worry about the IRS breathing down your neck."

As Tax Day approaches, many small-business owners are scrambling to ensure that their taxes are filed correctly and that they are in compliance with all IRS regulations. For some, the prospect of increased enforcement has added an extra layer of stress to an already challenging process.

"I just want to make sure I'm doing everything right," said Johnson. "I don't want to get audited, and I don't want to get hit with any fines or penalties. It's a lot to keep up with, but I know it's important to get it right."

Despite the challenges, many small-business owners say they remain optimistic about the future and the role they play in the economy.

"Small businesses are the backbone of our country," said Kerrigan. "They create jobs, drive innovation, and help build strong communities. We need to support them and make sure they have the resources they need to thrive."

 

With Tax Day fast approaching, many small-business owners are concerned about a potential increase in IRS enforcement efforts. The Biden administration has proposed significantly boosting funding for the IRS in order to crack down on tax evasion by wealthy individuals and corporations. This increased funding could also lead to more audits and enforcement actions against small-business owners.

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