IRS Steps Up Patriot Audits

Dozens of wholesalers have been audited recently for USA Patriot Act compliance—and retailers may be next. “I am probably getting at least one call a week from companies,” says Cecilia Gardner, CEO and president of the Jewelers Vigilance Committee, whose group produces Patriot Act compliance kits. IRS agents aren’t “looking to issue penalties or fines,” says Gardner. “They just want to see if you have a program in place.” One wholesaler says the process was “not scary at all,” but notes that the IRS “takes this much more seriously than the industry.”