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Obama Administration Threatens Veto of IRS Bill

Last week, the House Ways and Means Committee passed four bills regarding the Internal Revenue Service (IRS) and this week, before hitting the floor, the Obama administration has come out in opposition to all four.

Only one bill – a bill that would repeal the IRS' ability to spend the user fees it collects without authorization from Congress – was explicitly issued a veto threat. The Office of Management and Budget has said this bill would further reduce the agency's resources at a time when it is already severely underfunded.

"The IRS needs more resources, not fewer, to deter tax cheats, serve honest taxpayers, and protect taxpayer data," OMB said.

Among the other three bills – also opposed by the Obama administration – one would prohibit the IRS from awarding bonuses to employees until the Secretary of the Treasury develops and implements a customer service strategy. Another would prohibit the IRS from rehiring former employees who were fired for misconduct. The final would ban the IRS from hiring new employees until the Treasury Department certifies that no employee has a serious tax debt or issues a report explaining why it cannot make such a certification.

“Every year around Tax Day, we see the same types of legislation introduced,” said Tom Burger, Executive Director of the Professional Managers Association, which is predominantly made up of managers at the IRS. “But, sound bite legislation that only serves as campaign talking points will not improve services at the IRS. Congress should focus on properly funding the IRS so that employees have the tools and resources to successfully fulfill its mission and best serve taxpayers.”

The House is scheduled to vote on the four bills later this week.

Posted in General News

Tags: OMB, IRS, Office of Management and Budget, tax, tax season



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