Did You Lie On Your Taxes? Joe Biden Wants to Spend Billions to Catch You.

Fourth Stimulus Payment
June 6, 2021 Topic: Taxes Region: United States Blog Brand: The Reboot Tags: IRSBidenIRS TaxesIRS PlanTax EvasionTaxes

Did You Lie On Your Taxes? Joe Biden Wants to Spend Billions to Catch You.

There is, however, some resistance to the idea.

 

Here's What You Need To Remember: Sen. Charles Grassley, a Republican from Iowa and the longest-serving Republican in the Senate, wrote an op-ed in the Des Moines Register earlier this month arguing that, as the headline stated, “we can root out tax cheats without breaking the bank.”

President Joe Biden has proposed to give $80 billion to the IRS in order to fight tax evasion and give the agency more power to stop it. According to CNBC, the proposal would “beef up IRS staffing and improve technology,” and possibly bring in more revenue than what is being spent on the enforcement.

 

The proposal is part of Biden’s American Families Plan spending package. It follows several years of the IRS being starved of government funding.

However, one key senator is questioning the wisdom of such an expenditure.

Sen. Charles Grassley, a Republican from Iowa and the longest-serving Republican in the Senate, wrote an op-ed in the Des Moines Register earlier this month arguing that, as the headline stated, “we can root out tax cheats without breaking the bank.”

The same newspaper had previously editorialized in favor of Biden’s IRS measure, while also recommending that Grassley “should be leading the charge to ensure tax scofflaws are pursued.” 

After listing all of the ways that he has already been doing that for years, including his work on the Private Debt Collection Program and the IRS Whistleblower Program.

“I share the Register’s view that we must do more to close the tax gap — the difference between taxes due and those voluntarily paid,” Grassley wrote. "Closing this gap means not only more federal revenue, but also more compliance with our tax laws, and more fairness for all taxpayers. However, history has shown that simply throwing money at a problem doesn’t necessarily yield a solution. And the administration’s rationale for such a sweeping IRS spending plan needs an audit of its own.”

Grassley also disputed the idea that the new initiative by Biden could bring in as much as $700 billion in revenue.

“Outside experts have disputed this rosy revenue scenario,” the senator wrote. “Even if this pipe dream is realized, the extra revenue is dwarfed by the Democrats’ $6 trillion spending agenda. And businesses of all sizes would incur new and burdensome compliance costs and reporting requirements along the way. Instead of promising a chicken in every pot, Biden’s plan promises an auditor at every kitchen table.”

Grassley also stated that during the Obama Administration, the IRS was “weaponized to target conservative political organizations," although that accusation has been very much disputed, with an investigation finding years later that the IRS had targeted both liberal and conservative organizations for audits.

 

“I’ll continue working to improve fairness for taxpayers, hold tax cheats accountable and promote compliance, confidence and customer service,” Grassley wrote. “But let’s not beat around the bush. Iowans need to know Biden’s $80 billion price tag means greater burdens, especially on small businesses already hanging by a thread to recover from the pandemic.”

 Stephen Silver, a technology writer for The National Interest, is a journalist, essayist and film critic, who is also a contributor to The Philadelphia Inquirer, Philly Voice, Philadelphia Weekly, the Jewish Telegraphic Agency, Living Life Fearless, Backstage magazine, Broad Street Review and Splice Today. The co-founder of the Philadelphia Film Critics Circle, Stephen lives in suburban Philadelphia with his wife and two sons. Follow him on Twitter at @StephenSilver.

This piece first appeared last week and is being republished due to reader interest.

Image: Reuters.