The final nudge as the majority of small businesses go under. Government is organized crime. https://t.co/BmJAAQRaqZ
— World Alternative Media (@WorldAltMedia) December 28, 2020
The Internal Revenue Service announced last month that it plans to ramp up audits of small businesses in the new year.
“The IRS is focusing our efforts to increase compliance activity in this area of not only partnerships, but also investor returns related to pass-throughs,” De Lon Harris, the IRS deputy commissioner of examination for small businesses, said at an American Institute of Certified Public Accountants event. For 2021 “we are planning for 50% more than we had in the previous year.”
The result could be a surge in audits in companies like technology startups and investment funds, but also mom-and-pop retail stores.
Independent businesses have been especially hard hit this year due to Covid19. A recent study by online review site Yelp.com found small businesses are closing this year at a rate of 800 per day.