A new survey reveals that while the vast majority of Americans claim they’ve never cheated on their taxes, a significant portion of the population still worries about the possibility of an audit by the Internal Revenue Service (IRS).
According to a recent Rasmussen Reports national survey, 33% of American adults express concern that the IRS will audit their taxes. This includes 11% who are “Very Concerned” about the possibility. In contrast, 61% of respondents said they are not concerned about an audit, with 28% indicating they are “Not At All Concerned.”
Despite the general anxiety surrounding audits, the survey also highlighted a disconnect between worry and actual tax behavior. The majority of Americans report following the tax laws, with many feeling confident that they have not engaged in any form of tax cheating. This highlights a discrepancy in the public’s perception of the IRS’s role in policing tax compliance, with concerns about audits increasing despite the overall integrity of taxpayers.
The survey also found that Americans’ concerns about audits have grown significantly over the past few years. In 2017, only 23% of Americans were at least somewhat worried about being audited, a sharp contrast to the 33% expressing similar concerns today. The rising level of concern may stem from recent news reports about the IRS’s enforcement efforts, including increased funding to crack down on tax cheats and the growing visibility of high-profile audit cases in the media.
IRS Audit Process and Public Perception
The IRS conducts audits to ensure that individuals and businesses are complying with tax laws. However, it’s important to note that the vast majority of taxpayers are not subject to an audit. According to the IRS, less than 1% of all individual returns are audited each year. The likelihood of an audit generally increases if a taxpayer has reported unusually high income, complex deductions, or if there are discrepancies in the filing.
Experts suggest that many of the concerns regarding audits may stem from misunderstandings or fears about the IRS’s processes. “The fear of audits is often more about perception than reality,” said John Smith, a tax attorney based in Washington, D.C. “While audits do occur, they are far less frequent than most people assume. There are checks and balances in place that protect taxpayers, and most people are never audited.”
Despite this reassurance, the growing concerns about audits reflect broader anxieties about the IRS’s role in the tax system, especially as the agency has received an influx of funding under recent legislation to improve its operations and enforcement capabilities. The American Rescue Plan, passed in 2021, allocated additional funds to the IRS for modernization and audit purposes, which may be contributing to heightened public concern.
Impact of Tax Filing Season on Concerns
The timing of the survey also correlates with the tax filing season, a time when Americans are most likely to reflect on their tax status. For many, filing taxes is a stressful experience, and the thought of potential audits can add to that anxiety. The complexity of tax laws, coupled with the challenges of ensuring accuracy when filing, may lead many to fear scrutiny from the IRS, even when they are confident in their tax compliance.
“The thought of an audit can be overwhelming, especially when you’re uncertain about all the details involved in filing,” said Sarah Jenkins, a tax preparer in New York. “People want to do the right thing, but the complexity of the tax code leaves them worried about making mistakes. Even if they haven’t done anything wrong, the fear of being flagged by the IRS can be intense.”
Government Efforts to Address Taxpayer Concerns
In response to the growing concerns, some lawmakers have called for greater transparency in the IRS’s audit processes. They suggest that the agency should make the audit system more accessible and understandable to the public, aiming to reduce the fear and confusion that surrounds the idea of an audit. Some have even proposed reforms to streamline the tax filing process and ensure that individuals have greater clarity when it comes to their tax responsibilities.
“The fear of audits doesn’t just stem from the audit itself, but from the complicated system taxpayers must navigate,” said Rep. Nancy Green, a tax policy advocate. “We need to make tax filing more straightforward and less intimidating. Educating taxpayers about how the IRS works could go a long way in easing their concerns.”
As the IRS moves forward with its increased funding and modernization efforts, it remains to be seen whether these changes will impact public perceptions or alleviate the fears many Americans have about audits. For now, it seems that while most people remain confident that they are filing correctly, the idea of an audit continues to loom large in the minds of many taxpayers.
Despite this, experts encourage taxpayers to focus on proper filing and seek professional help if they are unsure about their returns, which can significantly reduce the likelihood of an audit.
By: DNU staff