Insider: The IRS Could Recover $12 for Every $1 Spent on Scrutinizing the Ultra-Wealthy’s Taxes
media mentionIt turns out that scrutinizing the rich’s taxes pays off.
A new paper from economists at the Department of Treasury, Harvard University, and the University of Sydney looks at the return on investment from IRS audits from 2010 through 2014. They find that while it’s much more expensive to audit the wealthiest tax payers, it’s still a hearty return on investment. Auditing the top 1% yields $4.25 per dollar spent, and that number soars to $6.29 when auditing the top 0.1%.