The Biden Administration has announced its proposition to hire 87,000 new IRS workers in a move to crack down on those cheating the tax system.

The newly released “tax compliance agenda” is part of a federal plan to bolster enforcement efforts and recover billions of dollars in uncollected tax revenue each year. The Administration has made it clear that enforcement efforts will focus on individuals and corporations with higher incomes and profits, but all taxpayers, particularly small businesses owners, must be aware of this initiative and understand how it affects them. 

There’s little that’s more ominous to your small business than an IRS audit. The contact is unavoidable, but it doesn’t have to put you in a panic. Audits are often random, and, if you’ve been honest on your filings and kept good books, the process should pass with relative ease at the hands of a trusted tax advocate.