Paul L. Caron

Tuesday, May 11, 2021

Tax Practitioners Scoff At Janet Yellen's Comment That 'The IRS Has Put On A Masterclass In How The Machinery Of Government Should Work'

Forbes, Treasury Secretary’s IRS Praise Sparks Backlash From Those Who Must Deal With The Tax Agency:

IRS Logo 2Is the IRS broken? It depends on whom you ask. Yesterday Treasury Secretary Janet Yellen tweeted “It’s a stunning achievement. In the midst of a crisis, the IRS has put on a masterclass in implementation and how the machinery of government should work.” The pushback from tax industry professionals was immediate and vehement.

Brian Streig, CPA and Tax Director at Calhoun, Thomson & Matza, LLP in Austin, Texas, responded “Yes, the IRS did a great job at implementing CARES Act and other Covid tax law changes. But, the IRS has completely failed American taxpayers in their primary function of processing tax returns, issuing refunds, and handling notices.” ...

[D]espite Secretary Yellen’s and Commissioner Rettig’s recent assertions to the contrary, the IRS has simply been treading water since well before the pandemic started and the 2021 filing season is not going smoothly.

Is the IRS really broken? Probably not. At least not irreparably so. But the cracks in the dam will continue to widen unless Congress recognizes and addresses their continuing role in the problem by not consistently providing adequate funding to the IRS for long-term infrastructure projects, by continuing to use the IRS as a benefits administrator rather than as the country’s accounts receivable department, and by repeatedly failing to reckon with how their decisions actually affect the IRS, taxpayers, and the tax professionals caught trying to hold back the deluge.

IRS News, Tax, Tax News | Permalink