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House Ways and Means subcommittee presses IRS witnesses on modernization and IRA return on investment
Summary
A House Ways and Means Subcommittee hearing focused on whether the Inflation Reduction Actfunding given to the IRS has produced the expected collections and service improvements and on options to modernize the agency, including use of commercial software and AI.
Chairman David Schweikert convened the House Ways and Means Subcommittee on Oversight hearing to examine IRS modernization and the return on investment from funds Congress provided in the Inflation Reduction Act. Ranking Member Rep. Terri Sewell and a panel of witnesses including former National Taxpayer Advocate Nina Olsen, Pete Sepp of the National Taxpayers Union, Minesh Ladwa of SAP, and a Government Accountability Office managing director discussed the agency's technology, service levels and fiscal performance.
Why it matters: Congress set aside roughly $80 billion in the Inflation Reduction Act for IRS enforcement and modernization. Witnesses said early results do not yet show the large fiscal returns that some fiscal scorers expected and that the agency's decades-old IT landscape constrains service and oversight.
Several witnesses questioned the projections used to justify enforcement spending. One witness summarized the shortfall: "For every…
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