IRS Vows Tax-Enforcement Crackdown After Audit Reveals $1.4 Billion in Unpaid Taxes From Gambling Winnings

The IRS is preparing a tax-enforcement push after a watchdog audit revealed some $1.4 billion in unpaid gambling taxes.

The IRS building in Washington, on June 28, 2023. Madalina Vasiliu/The Epoch Times

The IRS said it is preparing a tax-enforcement crackdown after a Treasury Inspector General for Tax Administration (TIGTA) audit revealed that more than $1.4 billion in taxes may have gone uncollected from individuals who won large sums in gambling.

The report from TIGTA’s audit, released on Sept. 30, found that nearly 150,000 Americans with gambling winnings exceeding $15,000 between 2018 and 2020 failed to file tax returns, leaving potentially significant amounts of unpaid taxes.