Taxes (31 - 40 of 206 items)
Virtual Economies and Currencies: Additional IRS Guidance Could Reduce Tax Compliance Risks
GAO-13-516: Published: May 15, 2013. Publicly Released: Jun 17, 2013.
Transactions within virtual economies or using virtual currencies could produce taxable income in various ways, depending on the facts and circumstances of each transaction. For example, transactions within a "closed-flow" virtual currency system do not produce taxable income because a virtual currency can be used only to purchase virtual goods or services. An example of a closed-flow transaction...
Offshore Tax Evasion: IRS Has Collected Billions of Dollars, but May be Missing Continued Evasion
GAO-13-318: Published: Mar 27, 2013. Publicly Released: Apr 26, 2013.
As of December 2012, the Internal Revenue Service's (IRS) four offshore programs have resulted in more than 39,000 disclosures by taxpayers and over $5.5 billion in revenues. The offshore programs attract taxpayers by offering a reduced risk of criminal prosecution and lower penalties than if the unreported income was discovered by one of IRS's other enforcement programs. For the 2009 Offshore Vol...
Internal Revenue Service: 2013 Tax Filing Season Performance to Date and Budget Data
GAO-13-541R: Published: Apr 15, 2013. Publicly Released: Apr 25, 2013.
In summary, so far in the 2013 filing season, GAO found the following:Despite a late start due to tax law changes, IRS and stakeholders reported relatively smooth operations. Although the number of tax returns received and refunds issued was lower in the beginning of the filing season than last year, by the end of March these gaps had closed considerably.Overall, the percentage of callers who soug...
Information Security: IRS Has Improved Controls but Needs to Resolve Weaknesses
GAO-13-350: Published: Mar 15, 2013. Publicly Released: Mar 15, 2013.
IRS continued to make progress in addressing information security control weaknesses, improving its internal control over financial reporting. During fiscal year 2012, IRS management devoted attention and resources to addressing information security controls, and resolved a significant number of the information security control deficiencies that GAO previously reported. Notable among these efforts...
2012 Tax Filing: IRS Faces Challenges Providing Service to Taxpayers and Could Collect Balances Due More Effectively
GAO-13-156: Published: Dec 18, 2012. Publicly Released: Jan 17, 2013.
While there have been efficiency gains and efforts to improve service, the Internal Revenue Service (IRS) faced challenges providing telephone service and responding to correspondence, continuing trends experienced in recent years. In 2012, 82 percent of individual taxpayers filed their returns electronically (e-filed), reducing IRS's processing costs. IRS also increased calls answered using autom...
International Taxation: Information on Foreign-Owned but Essentially U.S.-Based Corporate Groups Is Limited
GAO-12-794: Published: Jul 16, 2012. Publicly Released: Aug 15, 2012.
The FCDC ownership structure could provide a tax avoidance or evasion advantage relative to a structure where U.S. parents own foreign subsidiaries. Academic experts we spoke to said that the FCDC corporate structure does not provide an inherently greater ability to evade taxes through transfer pricing abuse because transfer pricing rules are the same for the FCDC structure as for U.S. corporation...
Appraised Values on Tax Returns: Burdens on Taxpayers Could Be Reduced and Selected Practices Improved
GAO-12-608: Published: Jun 5, 2012. Publicly Released: Jul 5, 2012.
Appraisers most prominent role relative to the three types of tax returns GAO studied is in the valuation of estates. In the most recent years for which GAO had data, appraisers were likely involved in the valuation of property worth from $75 billion to $167 billion reported on estate tax returns in 2009. In contrast, less than $17 billion worth of gifts in 2009 and less than $10 billion in...
Foreign Account Reporting Requirements: IRS Needs to Further Develop Risk, Compliance, and Cost Plans
GAO-12-484: Published: Apr 16, 2012. Publicly Released: May 16, 2012.
IRS has taken initial steps to implement FATCA requirements in line with leading implementation practices, including establishing a team to manage the implementation process and issuing guidance and proposed regulations. IRS has involved external stakeholders in the implementation process, which has helped inform IRSs implementation plans and regulations. IRS has also communicated initial in...
Tax Gap: Sources of Noncompliance and Strategies to Reduce It
GAO-12-651T: Published: Apr 19, 2012. Publicly Released: Apr 19, 2012.
Noncompliance does not have a single source but occurs across different types of taxes and taxpayers. For example, individual income tax accounts for the largest portion of the tax gap, but corporate income tax and employment tax are also significant. Further, misreporting by individuals involves business income, non-business income, deductions, and credits. The extent of misreporting depends on t...
Taxpayer Privacy: A Guide for Screening and Assessing Proposals to Disclose Confidential Tax Information to Specific Parties for Specific Purposes
GAO-12-231SP: Published: Dec 14, 2011. Publicly Released: Jan 13, 2012.
The Internal Revenue Service (IRS) receives a great deal of personal information about individuals and businesses. While taxpayers are required to provide this information to IRS under penalty of fine or imprisonment, confidentiality of information reported to IRS is widely held to be a critical element of taxpayers willingness to provide information to IRS and comply with the tax laws. As a...