Internal Revenue Code (IRC)

The Internal Revenue Code (IRC) is the federal law in the United States that governs taxation. It outlines how much individuals and businesses owe in taxes, the rules for tax deductions and credits, and various tax-related procedures. Established by Congress, the IRC aims to provide a structured framework for collecting revenue to fund government operations. It is complex and is periodically updated to reflect changes in fiscal policy, economic conditions, and social priorities. Understanding the IRC is essential for compliance and effective personal or business financial planning.