IRS joins forces with the states — Business Management Daily: Free Reports on Human Resources, Employment Law, Office Management, Office Communication, Office Technology and Small Business Tax Business Management Daily
The IRS won’t be relying solely on random audits in its effort to close the tax gap. It is ratcheting up the pressure in other areas. For instance, it recently cemented arrangements with several state income tax departments—including California, Michigan, New Jersey and North Carolina—to share their audit leads. It also is giving the state tax examiners tips on ways to ferret out the tax cheats. Eventually, the IRS expects to work out similar partnerships with tax collectors in all 50 states.