The IRS has earmarked part of the funding provided by the Inflation Reduction Act for greater enforcement, including employment tax. Consequently, a former senior litigation counsel at the U.S. Dept. of Justice, Rob Kovacev, stressed that businesses should begin planning for the increased possibility of an audit. He reasoned that the urgency for audit preparation is “because now [employers] have a chance to improve their compliance and make sure they are following the rules.” Employers should “make sure they have substantiation” regarding an issue with the law so they can be prepared if questions come from the IRS, Kovacev said. Contact us if you have questions regarding employment taxes.
Our Blog 