Remember, those 87,000 new IRS employees will only go after those rich folks
Biden’s IRS plans to crack down on waiters’ tips
The Internal Revenue Service (IRS) proposed a revenue procedure this week to crack down on the service industry’s reporting of tips.
The Service Industry Tip Compliance Agreement (SITCA) program would be a voluntary tip reporting system in which the IRS and service industry companies cooperate, according to the announcement Monday. As part of the proposal, the IRS will give the public until early May to provide feedback on the program before implementing it.
“Those 87,000 new IRS agents that you were promised would only target the rich,” tweeted Mike Palicz, federal affairs manager at Americans for Tax Reform. “They’re coming after waitresses’ tips now.”
According to the IRS, the program would seek to “improve tip reporting compliance,” reduce administrative burdens and provide more transparency and certainty to taxpayers.
How do you feel about defending the new IRS funding scheme now, Democrat voters? Do you get it now? Do you get that they won’t really be going after the rich, but, the middle and working classes, because it’s a whole lot easier, since they have less access to high price accountants and lawyers? The IRS gives a pinky promise that they won’t, but, that’s really where the money is.
“This is not a proposal for the auditing of servers,” an IRS official told Fox News Digital. “Yesterday’s action was a proposal for comment – not a rule – based on over a decade of feedback from restaurants and other businesses seeking the increased flexibility for their overall tax compliance on tips.”
And when the public says “don’t do this”, do you think the IRS will listen? And yes, a good chunk of those cash tips never end up being reported. Tough.
Meanwhile
State stimulus checks: IRS plans to rule whether these payments are taxable this week
The Internal Revenue Service is expected to provide more guidance this week on whether stimulus checks that states issued in 2022 are considered taxable income on federal returns.
The agency urged taxpayers who are uncertain about the taxability of their state’s payments to hold off on filing their federal taxes until guidance is released, according to the agency’s announcement.
How these payments are treated could affect residents in at least 19 states that issued tax rebates after a revenue surplus or relief payments to help folks weather higher prices last year.
Guess which classes get boned if the IRS decides to treat the stimulus checks as income?