What is the Average Tax Debt Per Person? (Jan. 2020)


by Mike Brown on December 23, 2019  0 Comment

What is the Average Tax Debt Per Person? (Jan. 2020)
While debt related to mortgages, student loans, and credit cards grabs headlines, another class of debt often goes unnoticed, despite significant accumulation: tax debt.Tax delinquency impacts a significant portion of United States taxpayers. The Internal Revenue Service (IRS) reported that at the end of fiscal year 2018 there were 13.1 million delinquent taxpayer accounts.  Given the rapid expansion of the gig economy, like ride-share drivers, freelancers, or other 1099 contractors, we expect this delinquent number will grow.A September 2019 IRS report pegged the national tax gap, or the difference between federal taxes owed and paid, for 2011 to 2013 (the most recent, fully analyzed years available) at $441 billion. After the IRS recovered $60 billion through enforcement efforts and late ...