Interesting Facts From the IRS Fact Book

The IRS issues a fact book each year and in this post we review some of the interesting facts from the book.

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The IRS issues a fact book each year the summarizes various tax facts. In this post we will review some of those facts.

The fact book summarize data for the fiscal year 2022 and 2023 (ending September 30). The number of individual returns increased by about 1.6% to 163 million, but all business returns increased substantially more. C corporation returns increased 9% to 2.464 million; S corporation returns increased 5.3% to 5.882 million and partnership returns increased 11.7% to 5.117 million returns.

We would surmise a lot of this increase relates to the gig economy where these “workers” elect to be structured as an LLC and taxed either as an S corporation or partnership. We have also seen a lot more entities for farm operations in the last couple of years too.

California, Texas and Florida are the only states with more than 10 million personal returns filed with California the largest at about 18 million. Wyoming is the lowest at about 285 thousand returns.

Florida has the most S corporation returns while California has the most C corporation returns with New York just behind while Texas has the most partnership returns.

California showed the most amount of tax collected at about $569 billion while Texas was second at $413 billion. Alaska showed the least amount at about $142 million.

There were 51,250 returns showing more than $10 million of income but about 47 million returns showing less than $25,000 of income.

FY2022 gross receipts were 4.9 trillion while 2023 receipts dropped to $4.694 trillion. Stock market gains likely created the increase in 2022 versus 2023.

There are about 88,000 employees at the IRS and about 57,000 are women.

The book has a lot of details on examination efforts and collections. It also provides more detail for many prior years and is interesting to review.