As part of the Inflation Reduction Act, the IRS will receive a nearly $80 billion funding increase, including more than $45 billion for enforcement, over the next decade. Audit staff has already ramped up to crack down on tax compliance. As early as last summer, Fox Rothschild observed increases in IRS audits of public charities. We identify some common themes and practical steps such charities can take to protect themselves in our article, “Beware of the Exempt Organization Examination: IRS Audits of Charities are Becoming More Common.”

This post and the full article were co-authored by Rich Caputo, Co-Chair of the Nonprofit Organizations Group.