Biden wants to fund major projects by forcing the rich to pay their taxes -- here's how that might work

In order to pay for his economic agenda, President Joe Biden wants the Internal Revenue Service to ramp up its collection efforts.

But according to CNN's Katie Lobosco, it's unclear exactly how much could be raised and how much it would cost to increase enforcement.

While it's unlikely that the IRS will ever be able to entirely close the tax gap, a bipartisan agreement between senators and the White House indicates that they believe another $100 billion could be collected over 10 years.

A report from the Congressional Budget Office says the agency could collect another $61 billion over 10 years if it spent $20 billion more on examinations and collections, or another $103 billion if it spent $40 billion over 10 year.

"Most unpaid taxes result from individuals reporting less income than they earned, especially business and self-employment income. About 9% of the gap is a result of failing to file and 11% of underpayment of taxes that were accurately reported, according to the Committee for a Responsible Federal Budget," Lobosco writes. "The Biden administration has said it would target the wealthy with more enforcement. A report from former Treasury Secretary Larry Summer and Natasha Sarin, an assistant professor at the University of Pennsylvania, found that high-income earners are more likely to under-report their income because more of it comes from opaque categories like dividend income, capital gains, and proprietorship income."

Read the full report over at CNN.