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Megan L. Brackney Quoted In CBS News Article Entitled “What’s Inside The Treasury’s Proposal To Track Nearly All Bank Accounts”

Megan L. Brackney was quoted in a recent CBS News article entitled “What’s Inside The Treasury’s Proposal To Track Nearly All Bank Accounts,” published on October 18, 2021. The article describes a recent Treasury proposal that would require banks to report annual gross in-flows and out-flows of most U.S. bank accounts to the Internal Revenue Service. The stated goal of this proposal is to close the so-called “information gap” in tax reporting.

The article notes:

The Treasury estimates that only about 50% of business income is reported, in contrast with employment income, where there’s near-perfect compliance.

“If you earn wages, the IRS can see exactly what you make, and garnish your wages,” said Megan Brackney, a partner at Kostelanetz & Fink. “For higher-income people, the IRS doesn’t have exact information of what they make, and it’s harder to collect tax they owe.”

“Middle-class and low-income taxpayers really suffer when there isn’t tax compliance, particularly among high-net-worth people. I would think that anyone of any political bent would want the wealthy to pay their fair share, not have an opportunity to evade tax.” 

Click here to read the full article.