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“IRS Retreats From Some Audits as Agency Slashes Workforce,” Wall Street Journal

March 18, 2025

In an article published in the Wall Street Journal on March 18, 2025, Managing Shareholder Larry Campagna and Former IRS Commissioner and Shareholder Chuck Rettig added their insights to the analysis of the reduced IRS workforce.

Campagna talked about an audit he was defending for a corporate client related to research and development claims and how there had been delays due to the audit being transferred to another agent. He said, “The agent was convinced that very likely we hadn’t done anything improper. Now we’re back to square one. Every time you change agents there’s a cost to both the government and the taxpayer. You can’t cut the workforce in half and expect the people left can handle the work.”

The Wall Street Journal also included information from Rettig’s memo earlier this year. “A disabled, underfunded IRS significantly benefits unidentified, noncompliant taxpayers at the direct expense of compliant taxpayers,” Rettig wrote. 

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