Prior to joining the Bush administration, Mark W. Everson was known as a hard-charger in the business world. A Texas businessman with a down-to-business, no-nonsense attitude, Everson was vice president of a $2 billion food services company and an executive with a French industrial company. Now, halfway through his five-year term as commissioner of the Internal Revenue Service, Everson is gaining a reputation for being equally hard-charging in the public sector. In fact, 2005 has proven to be quite a year for Everson. Collections up are. Document-matching is in full gear. And more taxpayers are being audited this year than last year. What does this mean? The IRS, once known as an agency lax on collections and enforcement, has changed. When I was before the Finance Committee in March 2003 for my confirmation hearing, I articulated three goals for the IRS: better serving the taxpayers; continued modernization; and enhanced enforcement activities to ensure everyone pays their fair share, Everson said during a recent speech. And it appears that he has accomplished those goals. This year, in particular, has been a banner one: ? Enforcement revenues are up 10 percent to a record $47.3 billion. ? Audit numbers are up 20 percent from 1,008,000 in 2004 to 1,216,000 this year. In fact, the number equals the amount last achieved in 1998. ? Audits of taxpayers with incomes over $100,000 surpassed 221,000, the highest figure in 10 years. ? Audits of small business increased after years of decline. In fact, this year 17,867 small businesses were audited compared to 7,294 last year. ? Audits of small business increased after years of decline. In fact, this year 17,867 small businesses were audited compared to 7,294 last year. ? Audits of corporations with assets over $10 million increased 14 percent over last year. ? Collections are also up. Levies and liens have recovered to their highest levels since 1998. I want to emphasize that these gains have been made while the IRS has continued to make strides in customer services, Everson added during his speech. But if the last year can serve as an example, its clear that the commissioner has every intention of remaking the IRS into a pit bull. And if youre one of the thousands of taxpayers cheating on taxes, even if for a small amount, you should be worried about that news. |