The government is planning on hiring 87,000 new IRS agents. This increase in IRS enforcement is part of the “Inflation Reduction Act” that the Old Fool Biden and the Dimbulbs tout as wonderful new legislation.
Why does the IRS need 87,000 new ARMED agents?
The IRS will be chasing every penny and squeezing EVERYONE for more money. How else will the government pay for all the FREE MONEY programs? It was just announced that there will be a new reporting system to squeeze every last penny from the TIPS that food servers receive. According to the Old Fool, NO ONE MAKING UNDER $400.000 PER YEAR will pay anything more in TAXES. Looks like your local waitress or waiter makes MORE than $400.000 per year.
The IRS is also implementing a REQUIREMENT that ALL “Third-party payment platforms” report transaction of MORE THAN $600 per year and the individual must report these transactions with a 1099-K form. “Third party payment platforms” are service such as PAYPAL, AMAZON PAYMENTS, BITPAY, WEPAY, etc. Why the scrutiny on these services? Many people are finding out that they can have small/micro-businesses MAKING and selling things HERE IN THE USA. With 3D printers, Laser cutters/engravers, desktop CNC machines, or just making craft items by hand, people have found out they can make a few bucks with a side hustle selling items they produce on Etsy, Amazon, Ebay, or directly on the web. Almost all of these transactions are processed by the “Third-party platforms” and I suspect this side hustle money is mostly unreported. If a stay at home mom makes an extra $1000 per year selling her craft items, the IRS wants their $300 cut in taxes.
The IRS will also need thousands of agents to SPY on cash transactions such as SWAP MEET SELLERS and YARD MAINTENANCE WORKERS (your brown person gardener) who deal mostly in CASH. IF they try to deposit money in a bank or other financial institution this will again be reported to the IRS and they will “work” to get their cut taxes. Ah come on man you might say, how much money can be made at a swap meet? To give you an idea about how much cash flows through swap meets, the very first $60 MILLION Gulfstream G650 private jet went to Preston Henn who was the guy who ran swap meet venues in Florida.
Here’s the rub. When the IRS starts taking all the “unreported” income prices will go up. It’s a “zero sum game”. The craft item on Etsy that was $50 will need to be priced at $75 to cover the tax burden. Directly or indirectly we will all end up paying for all the FREE MONEY programs that the Old Fool and the Dims love.
Looks like we all make more than $400.000. Thanks Joe for making me a high income earner.