Larson’s Inflation Reduction Act Boosts IRS Service and Targets Wealthy Tax Cheats

Connecticut Representative John B. Larson (CT-01) questioned IRS Commissioner Danny Werfel about the Inflation Reduction Act’s impact on customer service and efforts to hold wealthy tax evaders accountable in a crucial House Ways and Means Committee session.

Larson’s Inflation Reduction Act Boosts IRS Service and Targets Wealthy Tax Cheats (Photo: Google)

Democratic-backed legislation provided essential funds for IRS operations and taxpayer services.

Rep. Larson expressed great worry over Republican intentions to decrease IRS funding and wanted an explanation of the possible ramifications, especially given government deficit concerns. Underfunding puts people under stress and burdens them with unresolved tax concerns and unavailable IRS services, Commissioner Werfel said. He stressed that proper financing is essential for the IRS to help people and warned against cutting resources.

The Inflation Reduction Act has improved taxpayer services this filing season by offering a customer callback option for 95% of live assistance callers, expanded in-person services at Taxpayer Assistance Centers, and an online portal for small businesses to file Form 1099 returns. The IRS has recovered almost $500 million from 1,600 rich tax evaders, proving focused enforcement works.

READ ALSO: SNAP In Florida: Schedule Of Payments And Some Other Matters

Republican Budget Cuts Endanger IRS Operations and Anti-Fraud Efforts

However, recent House Republican cuts to the IRS budget threaten these advances and the agency’s ability to fight tax evasion and fraud. Such changes would reduce taxpayer services and the IRS’s capacity to prosecute affluent tax cheaters, weakening tax system fairness and accountability.

The results of IRS funding battles will affect people and the tax system. The Inflation Reduction Act shows Democrats’ dedication to IRS reform and tax justice and openness.

READ ALSO: Medicaid Program: Eligibility, Supplemental Security Income Recipients As Automatic Members In Most States, Etc.