IRS Wealth Squad
As a part of the Internal Revenue Service Large Business and International division, the IRS’s Global High Wealth Industry, also referred to as the “Wealth Squad”, is a division focused specifically on “individuals with assets or earnings of tens of millions of dollars” (IRM Part 4, Chapter 52, Section 1.2). The Wealth Squad is an experienced group of specialized examiners whose efforts are focused solely on high-income taxpayers and their closely-held entities.
These examinations often include industry or issue-specific advisors, including economists and individuals with technical expertise, specialists familiar with flow through entities, valuation experts, and others. These examinations can cover “partnerships, trusts, subchapter S corporations, C corporations, private foundations, gifts, and the like.. “ (IRM Part 4, Chapter 52, Section 1.1). If there are other individual tax returns which are affected by flow-through adjustments made on tax returns for related S Corporations or partnerships, these investors in the same entity may also be impacted.
Our team of tax controversy attorneys is intimately familiar with the high-stakes audits the Wealth Squad brings, and are often contacted in the early stages of these Wealth Squad investigations to compile information and respond to the IRS on the client’s behalf. Substantial preparation in advance is crucial to a favorable resolution of these examinations.
If you believe you may be subjected to an IRS Wealth Squad investigation, please call our group of highly skilled tax controversy attorneys in San Diego, Beverly Hills, and Orange County.