Robert Kovacev Quoted on Impact of IRS Focus on High-Net-Worth Families in Financial Advisor
"Business-Owner Clients a Top Target of IRS Auditors, Advisors Say"
Financial Advisor Magazine
Financial Advisor quoted Robert Kovacev on the Internal Revenue Service's (IRS) efforts to restore fairness to the tax system with Inflation Reduction Act funding and its new compliance efforts focused on increasing scrutiny on high income. "There is increasing awareness among high-net-worth families of the potential for increased IRS audits. Tax professionals should be warning their high-net-worth clients, including those who haven't been audited in years, if ever." Kovacev said the IRS is now treating wealthy families "like a sophisticated business enterprise and scrutinizing their taxes across all tax areas. Expect a family to be audited individually at the same time as the businesses it owns [and] its international business interests are audited in coordination with foreign tax authorities, the private foundations it funds are audited and so forth."