One outcome of the Inflation Reduction Act is the collection of unpaid taxes owed by certain high-income individuals. In Sept. 2023, the IRS announced that it had begun contacting 1,600 taxpayers that collectively owe hundreds of millions of dollars in recognized taxes. Already, $122 million have been collected. Among the individuals, one was ordered to pay $15 million in restitution after he deducted as business expenses the construction costs on his personal 51,000 square foot mansion. Another individual was sentenced to 54 months in federal prison for using sham businesses to fraudulently obtain $5 million in COVID-relief loans, some of which was used to purchase luxury vehicles.
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