02/01/2018

IRS Requests More Funding to Implement Tax Law

The agency has requested an additional $397 million to implement the new tax law

The Internal Revenue Service (IRS) has asked congressional appropriators for an additional $397 million to implement the new tax law, according to a Bloomberg BNA report.

That funding request is about $100 million less than what the IRS had estimated it would need to fulfill its new responsibilities related to the tax law. National Taxpayer Advocate Nina Olson reported to Congress last month that reduced funding and staffing at the IRS “have rendered the IRS unable to provide acceptable levels of taxpayer service,” and taxpayer questions about the new tax law will only add to this challenge.

The IRS received $11.2 billion in funding in 2017, which was a decrease of more than $900 million from 2010 funding levels. Since 2010, the agency has also lost nearly 21,000 employees.

Congressional Republicans have long criticized the IRS for improperly scrutinizing tax-exempt applications by conservative groups several years ago, and have recently held hearings to discuss ways to restructure the agency and its operations.

This article was provided to OSAE by the Power of A and ASAE's Inroads.