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North America
U.S. taxpayers paid a record $5.3tn to the IRS in fiscal 2025, up 13.2% from fiscal 2023, according to TIGTA. Individual income tax revenue increased by $232bn, or 8.6%, from fiscal 2024, offsetting a $79bn, or 14%, decline in business income tax revenue. However, IRS enforcement revenue fell nearly 5% from a record $98.7bn in fiscal 2024 to $93.8bn, driven primarily by a 35% decline in examination-related revenue. The IRS lost about 27% of its examination and collection workforce between fiscal 2024 and 2025, while the number of individual tax return examinations started fell 30%. TIGTA warned that the effects of staffing reductions could become more apparent over time, although it made no recommendations to the IRS.
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