The National Bureau of Economic Research revealed that the richest 1% of Americans report less than 21% of your income, using complex tax evasion schemes taxes the IRS often misses
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One of the goals of the Biden administration is to reduce the social inequality that the Covid pandemic made visible – 19. To achieve this , Congress is already talking about a tax hike for the population with annual incomes above the median taxpayer.
President Joe Biden seeks sizable tax increases to pay for investments in green energy, as well as offer a better medical service for the population, in addition to strengthening and a series of social programs .
But according to economists and experts, the existing tax system is lax with those who year after year they evade taxes, so Biden’s tax plan would increase public revenue if Congress approved everything .
Joe Biden could get all the money he’s looking for to reach his goals, if The Internal Revenue Service (IRS) will collect what taxpayers owe in, especially the richest .
The National Office of Economic Research revealed that the richest 1% of Americans declare less than 21% of your income, using complex tax evasion schemes that the IRS often doesn’t detects .
In contrast, in the face of the tricks carried out by the rich to evade taxes, the IRS tends to focus on taxpayers who have no way to hide their earnings, as well as the means to hire lawyers to defend them compared to the great tycoons.
As the country’s economic inequalities increase, so too increases the differential treatment of taxpayers . According to IRS statistics, those with income of less than $ 25, 03 annually are more researched than those earning $ 500, 03 up.
One of the reasons why a sector of the richest population in the country can evade taxes or only pay a low amount has to do with with the staff shortage at the IRS.
As you lose staff and resources, the IRS reduces the number of audits it does . This is partly due to the fact that in the last decade Congress has reduced its budget.
There are those who say that those who gain the most from this are the rich who have the resources
Joe Biden’s tax plan proposes increase income taxes on those who earn more than $ 400, 000 would raise about $ 76 billion per year, but this figure only represents the 17% of the fiscal gap.
The president’s tax proposal is fully supported by Senator Bernie Sanders, who on several occasions has expressed that it is necessary for the richest to pay just taxes based on their earnings.
Financial columnist Rick Newman has argued that the only way to reduce existing social inequalities is through a tax plan that makes the wealthy pay taxes, otherwise the differences cannot be reversed .
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