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The Internal Revenue Service (IRS) is the government agency responsible for collecting taxes in the United States. It was established in 1862 and is part of the Department of the Treasury. The IRS collects taxes on income, property, and other things. If someone doesn't pay their taxes, they can be fined or even go to jail. The rules for taxes are in a book called the Internal Revenue Code (IRC). Breaking these rules can be a crime or a civil offense.
The Internal Revenue Service (IRS) is the government agency responsible for collecting taxes in the United States. It is part of the Department of the Treasury. The IRS was established in 1862 to collect taxes on alcohol, property, and other things related to revenue. In 1913, the Sixteenth Amendment to the U.S. Constitution gave Congress the power to collect taxes on income. The IRS then created a division to collect personal income taxes. In 1952, the agency officially became the Internal Revenue Service.
The IRS enforces the Internal Revenue Code (IRC), which is the law that governs taxes in the United States. Breaking the IRC can result in fines or even imprisonment. For example, if someone intentionally tries to avoid paying taxes, they can be fined and sent to jail.
Example: John is a self-employed contractor. He is required to pay taxes on his income. If he fails to report all of his income or tries to avoid paying taxes, he could be fined or even go to jail.
Example: Sarah is an employee at a company. Her employer withholds taxes from her paycheck and sends them to the IRS. If Sarah fails to file her tax return or pay any additional taxes owed, she could face penalties from the IRS.
These examples illustrate how the IRS collects taxes and enforces the law to ensure that everyone pays their fair share of taxes.
Internal Revenue Code (IRC) | International Atomic Energy Agency