The IRS has announced plans to increase audits on high net worthindividuals. This group of taxpayers has been negligent in payingtaxes, racking up a substantial tax bill. According to the notice,the IRS will begin sending audit notices to high net worthindividuals when they return to work on July 15.

"A recent report issued by the Treasury Inspector General ForTax Administration concluded that high-income non-filers accountedfor about $45.7 billion in tax due,"Jennifer Benda, a partner/shareholder atlaw firm Hall Estill, tells GlobeSt.com. "The IRShas determined that an efficient way to increase enforcement andcollection and reduce the tax gap is to focus on the high-incomenon-filer category.  The report stated that TIGTA wasconcerned that the IRS had identified high-income non-filers andshelved the cases."

The term "high net worth" is a vague category with no formaldescription. Instead of earnings, the IRS will focus on the taxbill. "There are no formal monetary figures but the TIGTA reportfocuses on tax returns with more than $100,000 of taxdue.  The IRS is also focused on taxpayers with relatedentities, including trusts and private foundations," saysBenda.