The IRS Is Coming — And It’s Not Just for the Rich Anymore
Published: 2025-12-20
Status:
Available
|
Analyzed
Published: 2025-12-20
Status:
Available
|
Analyzed
Predictions from this Video
Incorrect: 1
Prediction
Topic
Status
The IRS workforce increase is intended to increase the volume of audits.
"The bill says is they're just going to be increasing the IRS workforce to do more what they do."
Correct
The increased IRS workforce will focus on conducting more tax audits and pursuing more individuals for tax revenue.
"if they bring on more people, what they want to do, they want to increase tax audits. They want to go after more people for tax dollars."
Correct
The government plans to close tax loopholes used by large corporations like Amazon to reduce their tax liability.
"They want to go after corporations like Amazon who use deductions to pay little to no money in taxes legally. So, they want to close some of those loopholes."
Correct
The $600 reporting threshold for platforms like Venmo is being enforced, making it more difficult for individuals with side hustles to avoid tax reporting.
"in the last couple of years, we saw the new $600 rule. If you're getting money on Venmo, $600 rule. So, oh, you don't have to pay tax. Yeah. Well, in Venmo never really uh tracked or reported these transactions rather versus now if you're getting a lot of money in Venmo, you have to report it. Venmo will report it even if you don't report it. So, you know, doing side hustles become more difficult."
Correct
A digital dollar would lead to all transactions being tracked, taxed, and recorded.
"this is kind of one of the downfalls of a digital dollar is everything gets tracked. Every transaction gets tacked. Every purchase gets tracked. Every spend gets tracked because if there's no cash, you know, everything is going to be taxed and and tracked."
Correct
The IRS is expected to increase the number of audits conducted.
"you can bet that they're going to be trying to ramp up audits."
Correct
A new tax advising firm is being developed to assist small business owners with managing their tax liability and cash flow.
"So, if you're a small business owner and you want that type of advice, I mean, I don't have any website or anything, but uh you just email me. Maybe my um my assistant can send you over to him, team at the minoritymindset.com."
Pending
The government tends to overspend and receive lower returns than anticipated on their expenditures.
"the government is not efficient with their money. They think that they're going to spend X. What ends up happening is they end up spending 10x and get a return smaller than what they expected."
Correct
To address the national debt and deficit, the government will require increased tax revenue.
"If they want to pay down this national debt, they want to pay down some of this this deficit. You're going they're going to need more tax dollars."
Correct
During an economic slowdown, reduced incomes and profits will lead to lower tax revenue generation for the government.
"Well, what happens when an economy is slowing down? Incomes go down, profits go down. So, if they're taxing you based off of that, that would mean that they're generating less tax dollars per person or in total because now the economy is shrinking."
Correct
If the economy does not grow, the government's alternative for revenue is to increase tax rates.
"So now, if you can't get it from a bigger economy, what's the next alternative? We need to charge more money in taxes."
Correct
The Federal Reserve has accumulated a $9 trillion balance sheet by spending money to fund government expenditures.
"That's how the Federal Reserve Bank has built up a $9 trillion balance sheet. Meaning they spent $9 trillion that they didn't have to help fund the government spending."
Incorrect
Due to high inflation and the inability to continue printing money, the government's alternative for funding is to increase tax revenue.
"We're facing the price, which is super high inflation, the some of the highest inflation that we've seen in decades. And now we can't keep printing money. So now what is the alternative? We need to get more tax dollars because that's how the government can get more money."
Correct
The hiring of 87,000 new IRS agents will occur over 10 years, with approximately 50,000 existing agents retiring within the same period.
"So the 87,000 people that they're hiring is going to be over a course of 10 years. They're anticipating that I think around 50,000 of the current 80,000 agents. So there's 80,000 agents right now. They want to add on 87,000 more. About 50,000 of the current agents are expected to retire over the next 10 years."
Pending
The stated intention is for the IRS to target individuals earning over $400,000 annually and those involved in fraudulent government money schemes.
"they're saying that it's going to be only going after people making over $400,000 a year to audit those people. They want to go after the people who have taken fraudulent PPP money, fraudulent money from the government."
Correct
In 2021, half of all IRS audits were conducted on individuals earning less than $75,000 per year.
"2021, 50% of IRS audits were on people making less than $75,000 a year."
Correct
A tax advising firm is being developed specifically for small business owners to help them understand and legally manage their tax liabilities, given the complexity of the IRS tax code.
"So him and I are working together to actually build a proper tax firm, tax advising firm for we're going to start with small business owners to help you understand your cash flow, understand your tax liability, and understand how to legally manage this tax liability because the IRS tax code, I'm telling you from an attorney, I studied a lot of tax law. The tax code is over 2,000 pages long."
Pending
The IRS tax code is extremely extensive, exceeding 2,000 pages.
"The tax code is over 2,000 pages long."
Pending
The government requires additional tax revenue due to its financial situation.
"the government needs more tax dollars."
Correct
Individuals earning under $100,000 annually who are wage earners should utilize free online services for tax preparation instead of expensive tax advisors.
"If you're making under $100,000 a year and you just work a job, don't pay $10,000 a year for a tax advisor. Use a free service online. Use something that's going to help you."
Correct
Individuals with significant income, investments, or businesses should invest in a good tax advisor to assist with documentation, understanding, and management of their finances.
"Now, if you're making more money, you have real estate investments, you have other investments, you have a business. Now, you want to pay and invest in a good tax advisor because they're going to help you document everything. They're going to help you understand everything. They're going to help you manage everything."
Correct
The stated objective of the Inflation Reduction Act is to achieve cost reductions exceeding the amount of money spent.
"The goal is that they're going to reduce costs more than what they spend."
Pending
Given the persistent national debt and deficit, taxation will become an increasingly significant issue over time.
"unless our national debt and our deficit magically go away, this tax thing is going to be a bigger and bigger issue as time goes."
Correct
Historically, a significant portion of IRS audits targeted individuals earning under $75,000 annually. This trend is likely to continue with the increase in IRS agents.
"50% of IRS audits were on people making less than $75,000 a year."
Correct
The hiring of additional IRS agents is expected to lead to an increase in tax audits and a greater focus on collecting tax revenue.
"What does that tell us? Well, if they bring on more people, what they want to do, they want to increase tax audits. They want to go after more people for tax dollars."
Correct
Young individuals engaging with cryptocurrency without considering tax implications are at risk of future tax liabilities.
"Bro, I'm so worried about young people that were not thinking about taxes with crypto and just going ham."
Correct
The increasing digitization of transactions, including for side hustles, means that more income will be tracked and taxed, especially with the expansion of IRS capabilities.
"So, there's a lot of different things that I mean this so this additional IRS agents isn't something that just happened overnight. This has been something that's been kind of building up. I've been talking about this on YouTube so much. Jesus where I mean this is kind of one of the downfalls of a digital dollar is everything gets tracked. Every transaction gets tacked. Every purchase gets tracked. Every spend gets tracked because if there's no cash, you know, everything is going to be taxed and and tracked."
Correct
Changes in reporting thresholds for platforms like Venmo indicate a trend towards greater government tracking and taxation of digital payments.
"uh, in the last couple of years, we saw the new $600 rule. If you're getting money on Venmo, $600 rule. So, oh, you don't have to pay tax. Yeah. Well, in Venmo never really uh tracked or reported these transactions rather versus now if you're getting a lot of money in Venmo, you have to report it. Venmo will report it even if you don't report it."
Correct
Failure to pay tax liabilities, even on large windfalls, can lead to severe legal consequences, including imprisonment.
"You You have no path to that $500,000. Your ass is going to jail. You're either paying or going to jail."
Correct
A new tax advising firm is being developed specifically to assist small business owners in navigating complex tax laws and managing their tax liabilities.
"So him and I are working together to actually build a proper tax firm, tax advising firm for we're going to start with small business owners to help you understand your cash flow, understand your tax liability, and understand how to legally manage this tax liability because the IRS tax code, I'm telling you from an attorney, I studied a lot of tax law. The tax code is over 2,000 pages long."
Pending
There is a concern that government spending is often inefficient, with actual expenditures exceeding planned amounts and yielding lower-than-expected returns.
"My concern, without getting political, which has been happening many times, is that the government is not efficient with their money. They think that they're going to spend X. What ends up happening is they end up spending 10x and get a return smaller than what they expected."
Pending
The government primarily generates revenue through various forms of taxation on income, spending, property, and investments.
"How does the government make money? They tax people. You earn money. You get taxed. Everything you do gets taxed. You spend money. You pay tax. You buy a home. You pay tax. You pay tax on your property. Property taxes. You pay taxes when you sell an investment."
Pending
Given the economic climate, it is highly probable that tax audits will increase, making it crucial to file and pay taxes diligently and seek professional advice.
"But this is the reality. This is where you want to have a good tax advisor and you want to be filing your taxes. You want to be paying your taxes. And especially now, you want to be prudent because you can bet that they're going to be trying to ramp up audits."
Correct
Individuals earning under $100,000 per year who are W2 employees are advised to utilize free online services for tax preparation rather than hiring an expensive tax advisor.
"If you don't have a lot of money, like if you're making under $100,000 a year and you just work a job, don't pay $10,000 a year for a tax advisor. Use a free service online. Use something that's going to help you."
Correct
Individuals with multiple income streams, investments, or businesses should invest in a qualified tax advisor to help manage documentation, understanding, and overall tax strategy.
"Now, if you're making more money, you have real estate investments, you have other investments, you have a business. Now, you want to pay and invest in a good tax advisor because they're going to help you document everything. They're going to help you understand everything. They're going to help you manage everything."
Correct
A slowing economy leads to reduced incomes and profits, which in turn decreases the tax revenue generated by the government.
"The government taxes you on your income and profits. Well, what happens when an economy is slowing down? Incomes go down, profits go down. So, if they're taxing you based off of that, that would mean that they're generating less tax dollars per person or in total because of now the economy is shrinking."
Correct
High national debt and deficits, coupled with a shrinking economy, will likely necessitate an increase in tax rates or a broader tax base to generate sufficient revenue.
"Couple that with the issue of the high national debt, the high deficit. Now you start to really see the issues where, hey, we need more tax dollars. So now, if you can't get it from a bigger economy, what's the next alternative? We need to charge more money in taxes. So this is the things that you want to be aware of because unless our national debt and our deficit magically go away, this tax thing is going to be a bigger and bigger issue as time goes"
Correct