IRS audit activity isn’t one-size-fits-all: audit rates and methods vary by income level, filing profile, and tax year. You’ll see how low-income cases often involve correspondence and EITC-related reviews, while higher-income taxpayers face different scrutiny. The page also tracks shifts in audit channels (field, office, and correspondence), automation such as UDI exams, and key outcomes like average recommended adjustments and collection yield.
Key Takeaways
- Wage earners with income between $25,000-$100,000 faced a 0.2% audit rate in TY 2021.
- For TY 2020, taxpayers reporting over $10 million in income had a 2.7% audit rate.
- Audit rate for adjusted gross income (AGI) $500,000-$1M was 0.8% in tax year 2018.
- FY 2022 audits recommended $15.2 billion in additional tax from individuals.
- No-change audits were 43% of closed individual cases in FY 2021.
- Average recommended tax per individual audit in FY 2022 was $2,400.
- Correspondence audits dominated 75% of low-income audits in FY 2022.
- Field audits comprised 25% of individual examinations in FY 2021, averaging 20 hours each.
- Office audits fell to 12% of total audits in FY 2023 due to remote work shifts.
- In fiscal year 2022, the IRS audited 738,384 individual income tax returns through field examinations, representing a 16.2% increase from FY 2021.
- The overall audit rate for all individual returns filed in tax year 2021 was 0.41%, down from 0.45% in tax year 2020.
- In FY 2023, correspondence audits accounted for 61% of all individual audits, totaling approximately 1.2 million examinations.
- From 2010-2020, individual audit rates declined 42%
- Post-IRA funding, high-income audits projected to triple by 2026.
- Audit staffing dropped 20% from 2010 to 2022, from 14K to 11K examiners.
Despite lower overall audit rates, recent IRS actions increased audits and collections, especially via correspondence exams for low income.
Related reading
01 · Category
Audit Rates By Income Level19 stats
01
Wage earners with income between $25,000-$100,000 faced a 0.2% audit rate in TY 2021.
02
For TY 2020, taxpayers reporting over $10 million in income had a 2.7% audit rate.
03
Audit rate for adjusted gross income (AGI) $500,000-$1M was 0.8% in tax year 2018.
04
In TY 2022, individuals with AGI under $25,000had a 0.4% audit rate, largely EITC-related.
05
Taxpayers with AGI $1M-$5M faced 1.2% audit coverage in FY 2021 examinations.
06
For TY 2019, no-change rate for audits of returns with AGI $200K-$500K was 68%.
07
Audit rate for top 1% earners (AGI >$500K) was 1.1% in TY 2021, vs 0.3% overall.
08
Low-income filers (AGI <$10K) had 1.0% audit rate in TY 2020 due to EITC scrutiny.
09
In TY 2018, AGI $100K-$200K bracket audit rate was 0.5%.
10
Ultra-high net worth (>$20M AGI) audit rate reached 6.5% in TY 2021.
11
TY 2022 audit rate for AGI $200K-$500K was 0.6%, per preliminary SOI data.
12
Earned Income Tax Credit claimants under $30K AGI faced 0.7% audit rate in TY 2019.
13
For TY 2020, $5M-$10M AGI group had 2.1% audit rate.
14
Middle-income ($50K-$75K AGI) audit rate was 0.1% in TY 2021.
15
TY 2017 data shows $75K-$100K AGI at 0.4% audit rate.
16
High-income (>$1M) audit rates dropped 50% from 2010 to 2020.
17
TY 2022 preliminary: AGI $10M+ at 3.4% audit rate.
18
Low AGI (<$25K) audit rate 0.69% in TY 2019.
19
$250K-$500K AGI audit rate 0.9% in TY 2020.
Interpretation
Audit Rates By Income Level Interpretation
Across the IRS “Audit Rates By Income Level” category, audit likelihood rises noticeably at the top end, with a 2.7% rate for incomes over $10 million in TY 2020 and 1.2% coverage for AGI $1M to $5M in FY 2021, while most middle to lower groups stay far lower such as 0.2% for $25,000 to $100,000 wage earners in TY 2021 and 0.4% for under $25,000 AGI in TY 2022.
02 · Category
Audit Results And Collections20 stats
01
FY 2022 audits recommended $15.2 billion in additional tax from individuals.
02
No-change audits were 43% of closed individual cases in FY 2021.
03
Average recommended tax per individual audit in FY 2022 was $2,400.
04
Collection yield from audits was $4.70per $1 spent in FY 2020.
05
25% of audited returns resulted in additional assessments over $10,000 in FY 2022.
06
EITC disallowances from audits totaled $4.8 billion in TY 2019.
07
Penalty assessments from audits reached $5.1 billion in FY 2021.
08
70% of high-income audits resulted in changes in FY 2022.
09
Overclaim rate reduction from audits saved $1.2B in improper child credits FY 2020.
10
In FY 2023, 35% of audit closures involved full agreements without appeal.
11
Average understatement per audited return was $8,200in TY 2021.
12
Fraudulent claim detections led to $800M in barred refunds FY 2022.
13
12% of audits went to appeals, with 40% taxpayer wins in FY 2021.
14
Direct revenue from business audits was $10B in FY 2022.
15
55% change rate for correspondence audits in low-income cases FY 2020.
16
Additional tax collected post-audit averaged 15% of recommended in FY 2022.
17
28% of large corp audits yielded overassessments (refunds) in FY 2021.
18
Penalty abatement requests succeeded in 60% of audit-related cases FY 2023.
19
Audit-related collections totaled $62B across all types in FY 2022.
20
Individual audit assessments averaged $5,800change per case in FY 2021.
Interpretation
Audit Results And Collections Interpretation
In the Audit Results And Collections category, the IRS’s audits produced substantial dollar impacts, with FY 2022 recommending $15.2 billion in additional taxes from individuals and 25% of audited returns leading to extra assessments over $10,000, showing that many cases move beyond paperwork to real collection outcomes.
03 · Category
Audit Types And Methods18 stats
01
Correspondence audits dominated 75% of low-income audits in FY 2022.
02
Field audits comprised 25% of individual examinations in FY 2021, averaging 20 hours each.
03
Office audits fell to 12% of total audits in FY 2023 due to remote work shifts.
04
In FY 2022, 45% of audits were automated underdiscovered issue (UDI) exams.
05
Centralized Examination Program (CEP) audited 1,200 large partnerships in FY 2022.
06
Quick assessments via math error authority handled 85% of correspondence audits in TY 2021.
07
In FY 2020, 30% of audits involved third-party data matching via Discriminant Inventory Function (DIF).
08
Issue-based examinations rose 15% in FY 2022, targeting SALT deductions.
09
2023 saw increased use of AI in audit selection, flagging 20% more returns.
10
Campus exams processed 900,000 cases in FY 2021, mostly EITC and child tax credit.
11
Mixed-method audits (field + correspondence) accounted for 8% in FY 2022.
12
Partnership audits under BBA increased to 100% coverage for large entities >$10M in FY 2023.
13
40% of FY 2022 audits used virtual collaboration tools post-COVID.
14
Schedule C audits focused on cash businesses rose 22% in FY 2021.
15
International audits comprised 5% of field exams in FY 2022, targeting FATCA non-compliance.
16
Fraud referrals led to 2,500 criminal investigations from audits in FY 2022.
17
Soft letter notices preceded 55% of correspondence audits in TY 2020.
18
In FY 2023, data analytics identified 15% of audit starts via predictive modeling.
Interpretation
Audit Types And Methods Interpretation
Audit Types and Methods show a clear shift toward lighter touch techniques, with correspondence-based approaches driving the majority of low-income audits at 75% in FY 2022 and still accounting for most correspondence activity through quick math error authority assessments at 85% in TY 2021.
More related reading
04 · Category
Overall Audit Rates10 stats
01
In fiscal year 2022, the IRS audited 738,384 individual income tax returns through field examinations, representing a 16.2% increase from FY 2021.
02
The overall audit rate for all individual returns filed in tax year 2021 was 0.41%, down from 0.45% in tax year 2020.
03
In FY 2023, correspondence audits accounted for 61% of all individual audits, totaling approximately 1.2 million examinations.
04
The IRS closed 1,104,000 individual audits in FY 2022, with an average examination time of 8.5 hours per case.
05
Audit coverage for tax year 2022 reached 0.5% for all returns, influenced by Inflation Reduction Act funding.
06
In tax year 2019, 0.69% of individual returns with total positive income under $200,000 were audited.
07
FY 2021 saw 635,000 field and office audits of individuals, a decline of 10% from pre-pandemic levels.
08
The IRS initiated 2.2 million audits in FY 2022 across all return types, with individuals comprising 62%.
09
Audit rate for tax-exempt organizations in FY 2022 was 0.42%, up from 0.35% in FY 2021.
10
In FY 2020, the IRS audited 1.5% of partnership returns, focusing on large partnerships.
Interpretation
Overall Audit Rates Interpretation
For the overall audit rates, the IRS’s scrutiny of individual returns is mostly flat at low levels, with the overall rate dropping from 0.45% in tax year 2020 to 0.41% in tax year 2021 and rising to 0.5% for tax year 2022 after Inflation Reduction Act funding.
05 · Category
Trends And Changes Over Time20 stats
01
From 2010-2020, individual audit rates declined 42%
02
Post-IRA funding, high-income audits projected to triple by 2026.
03
Audit staffing dropped 20% from 2010 to 2022, from 14K to 11K examiners.
04
EITC audit rates fell 25% from 2015 to 2020.
05
Overall audit coverage hit historic low of 0.35% in TY 2017.
06
Large partnership audits surged 400% post-BBA implementation in 2018.
07
FY 2023 saw 10% rise in field audits vs FY 2022.
08
High-wealth audit rates projected at 2x current by 2027 with new funding.
09
Correspondence audits increased 50% from 2010 to 2020 due to budget shifts.
10
Corporate audit rates dropped from 10% in 2010 to 0.9% in 2020.
11
Inflation Reduction Act allocated $80B over 10 years, boosting audits 50% by 2031.
12
Audit closure rates improved 15% with digital tools 2018-2023.
13
Low-income audit rates stable at ~1% since 2010.
14
DIF score thresholds lowered in 2023, increasing starts 12%.
15
From 2001-2021, total audits declined 40% despite 30% more returns.
16
Post-pandemic, virtual audits became 60% of field exams in FY 2022.
17
Millionaire audit rates halved from 1.1% in 2010 to 0.6% in 2020.
18
Projected 87,000 new hires to reverse audit decline by 2026.
19
SALT deduction audits spiked 30% after 2017 TCJA limits.
20
Overall enforcement revenue peaked at $70B in 2011, fell to $50B by 2021.
Interpretation
Trends And Changes Over Time Interpretation
Across time, IRS audit activity has generally tightened as audit coverage fell to a historic low of 0.35% in TY 2017 and staffing dropped 20% from 14K to 11K examiners, even as specific areas like high income audits are projected to triple by 2026 after the post IRA funding and large partnership audits jumped 400% after the 2018 BBA.
Reference
Cite This Report
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APA
Lars Eriksen. (2026, February 13). Irs Audit Statistics. Gitnux. https://gitnux.org/irs-audit-statistics
MLA
Lars Eriksen. "Irs Audit Statistics." Gitnux, 13 Feb 2026, https://gitnux.org/irs-audit-statistics.
Chicago
Lars Eriksen. 2026. "Irs Audit Statistics." Gitnux. https://gitnux.org/irs-audit-statistics.
Sources & references
18 datasets cited across this report · attribution is report-level