Wealthy under IRS radar for misusing business jets

The Internal Revenue Service (IRS) announced plans to increase audits of corporate jet owners and companies yesterday to target the wealthy who allegedly misuse private jet flights for personal trips and save millions in tax by writing those off as business expenses.

The IRS expects to conduct more than three dozen such audits starting this spring. They are seen as a broader measure from the Biden administration seeking to address the $700 billion annual tax gap.

With $80 billion in funds from the Inflation Reduction Act of 2022, the IRS will employ new data analytics tools to target corporations and wealthy taxpayers.

Since ramping up its efforts, the IRS states it has collected $482 million from 1,600 millionaires.