Studies have shown that each dollar “invested” in the IRS can have as much as a 400 percent return. While this number alone would be enough for any savvy business owner to justify an increase in spending, the IRS also faces an increasingly complex national tax code, new compliance requirements as a results of the Affordable Care Act, and a seeming trend by Congress to pass new tax laws with just weeks to spare in a tax year, all with the expectation that the Service will be losing more jobs and cutting more budget each year.
In what world does this stand the test of being a smart business decision? With the national debt and deficit growing, it’s time the US government revisited its internal investments and reconsidered how the IRS can help make a difference in growing national revenue.
Read more in this Accounting Today article about IRS budget cuts from Burke & Schindler tax accountant Daniel Engelhardt.