And it’s not just that the IRS occasionally seizes the assets of innocent business owners by mistake and is unaware of the problems with its methodology: According to the TIGTA report, the IRS almost always misses the mark. The watchdog randomly selected 278 different cases in which the IRS emptied a bank account because it suspected illegal transaction structuring. In a full 91 percent of those cases, it turned out that the IRS had taken money from perfectly legal small businesses — farms, convenience stores, restaurants — that just so happened to withdraw money from the bank in a pattern that caught authorities’ attention.
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