I.R.S. Audits of Working Poor Increase
Data released today indicates that the Internal Revenue Service increased its audits of workers below the poverty line by almost fifty percent last year. Among individuals applying for the earned-income tax credit, the working poor were the target of over thirty five percent more audits than all other groups combined. Last year also saw a thirty-three percent decrease to a record low in audits of companies worth over $10 million, and a decrease of over twenty percent to a record low in audits of individuals making over $100,000---the group most able to cheat on their taxes.
See "I.R.S. Audits of Working Poor Increase", DAVID CAY JOHNSTON, The New York Times, February 28, 2002