Billions of dollars in nonfiler employment taxes went unassessed in the IRS’s automated 6020(b) program due mainly to resource limitations. That’s the conclusion of a newly released audit by the U.S. Treasury Inspector General for Tax Administration. When a taxpayer has a filing requirement and fails to file a tax return, the IRS is authorized to determine and assess a tax liability. For certain business nonfilers with unfiled employment tax returns, the agency can systemically prepare a substitute return using the Automated 6020(b) program. The program’s objective is to promote filing compliance for taxpayers liable for employment taxes. Read the report here: Contact us with questions.