IRS Faces Tax Day With Staff Cuts Raising Cheating Concerns (1)

The conclusion of the tax filing season Tuesday is about to provide early clues toward resolving a nagging question hanging over the US Treasury: How honest will Americans be about their income when there are suddenly fewer auditors to check them?

The answer has ramifications extending from Treasury debt markets already embroiled in tariff-related turmoil to legislative struggles in Washington over the debt ceiling and a proposed new round of tax cuts.

A drop in tax collections would likely move forward a debt ceiling deadline from the August to September timeline forecast by the non-partisan Congressional Budget Office. A sharp ...