IRS Problems for Creator Freelancers Surge as Federal Data Shows Audit Increases
Key Takeaways The IRS has dramatically increased audit rates for Creator freelancers, with particular scrutiny on those earning over $400,000 annually Digital payment platforms like Venmo, PayPal, and Cash App are now required to report transactions to the IRS Artificial intelligence algorithms are helping the IRS identify audit targets more efficiently than ever before Maintaining separate business and personal finances is crucial for reducing audit risk IncomeArmorClub.com provides specialized audit defense services for freelancers facing IRS scrutiny Creator Freelancers are facing an unprecedented wave of IRS scrutiny as new federal data confirms what many self-employed professionals have feared. Audit rates for independent contractors have jumped significantly, with the Treasury Inspector General for Tax Administration (TIGTA) reporting that planned audits for high-income earners are now 2.5 times higher than the average from 2019-2023. The anxiety around tax audits has reached an...