Tax Gap: Multiple Strategies Are Needed to Reduce Noncompliance
Abstract
The tax gapthe difference between tax amounts that taxpayers should have paid and what they actually paid voluntarily and on timehas been a persistent problem for decades. The tax gap estimate is an aggregate estimate of the five types of taxes that IRS administersindividual income, corporation income, employment, estate, and excise taxes. For each tax type, IRS attempts to estimate the tax gap based on three types of noncompliance: (1) underreporting of tax liabilities on timely filed tax returns; (2) underpayment of taxes due from timely filed returns; and (3) non filing, when a taxpayer fails to file a required tax return on time or altogether.
Document Details
- Document Type
- Technical Report
- Publication Date
- May 09, 2019
- Accession Number
- AD1167504
Entities
People
- James R. Jr Mctigue
Organizations
- United States Government Accountability Office