IRS Program to Audit Large Partnerships Will Grow, Official Says

The IRS plans to grow its program that audits the largest partnerships, an agency official said Tuesday.

The Large Partnership Compliance Program, started in 2021, uses data analytics to select partnership returns that are at risk for noncompliance.

The program will continue and grow over time, said Holly Paz, IRS’s acting deputy commissioner of the Large Business and Internal division, at an American Bar Association Tax Section conference in Philadelphia. She didn’t share specific criteria for selection.

• The agency looks at both operating and investment partnerships, Paz said, adding that whether a partnership is foreign or domestic doesn’t ...