IRS Audit of Private Equity Stalls, Key Staff Quit

A major U.S. government effort to audit private equity and venture capital firms has stalled. The slowdown follows the return of former President Donald Trump to office. Key specialists have left the Internal Revenue Service (I.R.S.). This is the agency responsible for tax collection. Without these experts, planned audits have been abandoned. The audit initiative was launched to ensure these powerful investment firms pay the taxes they owe. Private equity firms buy and restructure companies. Venture capital firms invest in new startups. Their complex finances can make auditing difficult. The departure of experienced staff has effectively paused this high-priority program. It is unclear when, or if, the audits will resume.