Americans Failed to Pay a Record $688 Billion in Taxes. The IRS Says That Will Change.

Audits and other enforcement will be stepped up to reduce the gap, the Internal Revenue Service said Thursday. The largest element of noncompliance, $182 billion, was attributable to undeclared business and farm income reported on Schedule C and F on individual returns. “This increase in the tax gap underscores the importance of increased IRS compliance efforts on key areas,” said IRS Commissioner Danny Werfel in a statement.