Democrats Defend IRS Funding Included in Inflation Reduction Act, Refuting GOP “Army” Agents Claim – Fox News | Vette Leader

NEWYou can now listen to Fox News articles!

Democrats are trying to defend a proposed expansion of the Internal Revenue Service (IRS) under the Inflation Reduction Act, claiming that increasing funding for the IRS will address the agency’s “declining customer service,” not lead to higher taxes for the less earning Americans will run as $400,000.

The proposed expansion is $80 billion increase in the IRS over a 10-year period, more than half of which is intended to help the agency tackle tax evasion.

If the law passes, the money allocated would be used to fill 87,000 IRS positions, more than doubling the agency’s current size. The measure, which is expected to come to a vote in the House of Representatives on Friday, passed the Senate over the weekend when Vice President Kamala Harris cast a decisive vote.

“Let me be clear: no family earning less than $400,000 is going to pay higher taxes directly,” Rep. Gwen Moore, D-Wis., said in a statement to Fox News Digital. “Also, people will benefit from green energy tax credits, ACA premium subsidies, and other key incentives.”

ANALYSIS SHOWS MIDDLE-CLASS AMERICANS CAN BEAR THE MAJORITY OF THE IRS AUDITS UNDER THE INFLATION BILL

Democratic Reps. Gwen Moore from Wisconsin and Don Beyer from Virginia
(Anna Moneymaker, Caroline Brehman/CQ-Roll Call, Inc via Getty Images)

“The Anti-Inflation Act increases IRS tax enforcement funding to go after sophisticated wealthy individuals and large corporations that evade taxation so they can finally pay their fair share,” Moore added. “In contrast to the GOP’s $2 trillion tax gifts to the wealthy and big corporations, our tax policy will create a fairer tax system for working people.”

Senate Democrats predicted that improving IRS funding could bring in an additional $124 billion in federal revenue over the next decade by hiring more tax enforcers who can target wealthy individuals and corporations trying to evade taxes.

But Republicans warn that the bill will fund an “army” of IRS agents to crack down on small business owners and low-income workers. Americans earning less than $75,000 a year are to receive 60% of the expected additional tax audits as part of the Democrats’ spending packageaccording to an analysis released by House Republicans.

AMERICANS FEAR THAT IRS WILL USE INFLATION REDUCTION ACT FUNDING TO TEST THE AVERAGE AND LOWER INCOME TAXPAYER

Aaron Fritschner, the communications director for Rep. Don Beyer, D-Va., a member of the House Ways and Means Committee, told Fox News Digital the congressman “strongly believes” the Inflation Reduction Act is needed to address problems within the IRS and suggested that Americans “broadly support” efforts to ensure wealthy Americans and businesses pay their “fair share” of taxes.

“IRS enforcement funding in the Inflation Reduction Act is something Congressman Beyer says is urgently needed to restore declining customer service, get working Americans their tax refunds on time, and prevent wealthy people and large corporations from getting their fair share of the… “Tax avoidance costs the country many billions of dollars each year, and that revenue gap hurts everyone else.”

The Internal Revenue Service headquarters in the Federal Triangle section of Washington, DC

The Internal Revenue Service headquarters in the Federal Triangle section of Washington, DC
(Chip Somodevilla/Getty Images)

“The American people by and large support the need for the rich and big corporations to take their fair share of taxes, and seeing the difference between the actual impact of the bill and the utterly dishonest claims made by opponents of the bill about the… IRS funding will be made, we think they will agree to that provision,” he added.

TAX AND CLIMATE LAWS COULD MASSIVELY EXPAND THE IRS UNION, WHICH DONATIONS ALMOST EXCLUSIVELY TO DEMOCRATS

Fritschner also dismissed the GOP’s claim that the measure would create an “army” of IRS agents to target Americans.

“We would particularly like to note that the Anti-Inflation Act will not create an ‘army’ of IRS officials, but will restore a workforce that has declined significantly since 2010, with further losses due to retirements ahead,” he said. “IRS staff are also using systems that are completely outdated and an upgrade will make the service they provide more efficient and cost-effective. These points were underscored to Congress by current IRS Commissioner Chuck Rettig, a Trump-appointed representative.”

House Republicans analysis showed that those earning $75,000 or less in annual income would be subject to 710,863 additional IRS checks, while those earning more than $1 million would be subject to 52,295 additional checks under the bill.

Charles Rettig, Commissioner of the Internal Revenue Service, testifies before the Senate Finance Committee on Capitol Hill in Washington on April 7, 2022.

Charles Rettig, Commissioner of the Internal Revenue Service, testifies before the Senate Finance Committee on Capitol Hill in Washington on April 7, 2022.
(Kevin Dietsch/Getty Images)

CLICK HERE TO GET THE FOX NEWS APP

Overall, according to the analysis, the IRS would conduct more than 1.2 million additional annual audits of Americans’ tax returns. Another 236,685 of the estimated additional audits would target individuals with annual incomes between $75,000 and $200,000.

In response to criticism of the expected increase in tax audits under the bill, radishes said Thursday that “audit rates” will not increase compared to recent years.

Fox News’ Jessica Chasmar contributed to this report.

Leave a Comment