What is the IRS & what does it do?

It's commonly known that when you don't do your taxes, the IRS comes after you. But you might wonder, what does the IRS actually do?. This article will cover this topic and the importance of the IRS.

What is the IRS?

The Internal Revenue Service, commonly referred to as the IRS, is a federal government agency that solely focuses on collecting taxes and enforcing tax laws. The IRS is one of the bureaus of the Department of Treasury and is a public government service. Any income or federal tax will go directly to the IRS to help fund all types of government services. These services are public schools, police stations, firefighter stations, community centers and maintenance of national parks. The IRS not only collects personal but also corporate taxes.

Responsibilities of the IRS

The IRS is a strong organization with the power to enforce and collect taxes. They have investigative teams to ensure all taxpayers are paying their fair share, along with its own court and justice management system. The IRS can seize any money, assets, or properties if taxes are not paid or done incorrectly. The IRS is a strong organization, but the power is needed to ensure that taxes are being collected and distributed. Depending on the circumstances, the IRS sometimes gives money back to taxpayers. In the case that this happens, the taxpayer will receive mail that outlines the tax returns or any money they gained.

The IRS has multiple responsibilities, but here are a few of them:

Taxpayer Services:

These services help taxpayers more easily file their taxes. They also help tax preparers with filing taxes and teach the proper methods and requirements when filing taxes. The services help inform taxpayers about the different items needed for filing their taxes and give support.

Tax Collections and Refunds Issued:

The IRS's main job is to collect taxes. The taxes are given to the federal government in order to to pay for all national services. Similarly, taxes collected by states are used to fund the state governmental services. State and Federal revenue services communicate by sharing data and information on tax files to ensure taxpayers in these states receive their tax returns and are paying their taxes correctly.

Enforcement of Taxes:

The IRS is powerful enough to take property, salary and seize bank accounts if taxes are not paid. They must ensure that everyone pays their taxes to ensure that all public services can be funded and run efficiently. Tax evasion can be a severe problem, and the IRS works to prevent it altogether. The IRS's main job is collecting taxes, and they must do an excellent job to ensure taxes are being collected, which means extreme measures are taken when citizens are not paying their taxes or filing them correctly.

Takeaways

The IRS is vital for the United States government. It helps the federal government in collecting taxes, budgeting, and distributing refund money. The Internal Revenue Service has strict methods for collecting taxes, but these are also important to ensure everyone is paying taxes and the government is able to operate successfully.