Lawmakers demand accountability from IRS amid audit concerns

November 14, 2024 | Finance: Senate Committee, Standing Committees - House & Senate, Congressional Hearings Compilation


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Lawmakers demand accountability from IRS amid audit concerns
During a recent government meeting, discussions centered on the oversight of the Internal Revenue Service (IRS) and the role of the Treasury Inspector General for Tax Administration (TIGTA). The meeting highlighted concerns regarding the IRS's audit practices, particularly the targeting of small businesses and compliance with directives aimed at protecting taxpayers.

Senator Blackburn raised alarms about the IRS's failure to adhere to a 2022 directive that prohibits increasing audit rates for taxpayers earning less than $400,000. She emphasized the need for clarity and accountability, citing a report from the acting Treasury Inspector General that confirmed the IRS had not developed a plan to prevent elevated audit rates against small businesses. Blackburn urged the nominee for the inspector general position to commit to reviewing these audit processes to ensure compliance with the directive.

The nominee responded affirmatively, acknowledging the importance of assessing past and current projects and committing to a thorough review of the IRS's audit practices. The nominee also expressed a commitment to maintaining a strong relationship with Congress, emphasizing the necessity of providing timely and accurate information to facilitate informed policymaking.

Additionally, concerns were raised regarding the IRS's Direct File program, which has been criticized for its lack of transparency and significant costs. Senator Blackburn questioned the program's effectiveness and called for a serious review to ensure that taxpayer funds are being used efficiently and effectively.

The meeting underscored the critical role of the inspector general in overseeing IRS operations and ensuring that taxpayer protections are upheld, as well as the importance of collaboration between Congress and the inspector general's office to address ongoing issues within the IRS.

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