Kaizen Time

What Fewer IRS Agents Means for Your Small Business

Written by The Kaizen Team | | July 10, 2025
 

What fewer agents means for audits, notices—and your tax strategy

The IRS may be shrinking its workforce, but that doesn’t mean your small business is in the clear. In this episode, we break down what these staffing cuts actually mean for audit risk, tax notices, and your ability to resolve issues.

You’ll learn how the IRS’s automated systems—including the powerful “DIF score” algorithm—continue to flag returns for review, and why even a small mistake could trigger aggressive notices or surprise account debits.

We also cover:

  • Why resolving IRS issues is getting harder, not easier

  • What the reduced staff means for small business tax audits

  • How to avoid getting flagged by automated systems

  • The growing importance of accurate, compliant tax filings

Fewer IRS agents doesn’t mean fewer problems—it just means you need to be even more proactive. Tune in to understand the risks and how experienced accounting support can help protect your business.