IRS: Growing gap between US income taxes owed and paid

By FATIMA HUSSEIN
Associated Press

WASHINGTON (AP) — The IRS says the amount of income tax money owed but not paid to the government is projected to grow. For tax years 2014 through 2016, the estimated gross “tax gap” rose to $496 billion a year. That’s an increase of more than $58 billion from prior estimates. IRS data released Friday projects that for 2017 to 2019, the estimated average gross tax gap will be $540 billion per year. Ensuring that people actually pay their taxes is one of the tax collection agency’s biggest challenges. Treasury Secretary Janet Yellen said last month that the tax gap is estimated to be $7 trillion in full over the next decade.