• @Hirom@beehaw.org
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    10 months ago

    The research found that Black taxpayers were three to five times more likely than taxpayers who are not Black to be audited. It noted that the I.R.S. disproportionately flagged tax returns with potential errors in the claiming of certain credits, like the earned-income tax credit, which supplements low-income workers’ incomes in an effort to alleviate poverty.

    It sounds like it could be a side effect of disproportionately auditing lower-icome people, mixed with income inequality affecting black taxpayers.

    • Gaywallet (they/it)OPM
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      410 months ago

      If you read the paper from the Stanford researchers, it mostly has to do with earned income tax credits (EITC). A black male single parent who files with EITC was something like 20x more likely to be audited than any other group.