What IRS Budget Cuts Mean for Taxpayers

By Curtis Tatum, Esq.

In December, Congress finally passed the FY 2015 IRS budget, which cut funding for the Service by $346 million. The cut continues a multi-year trend of budget reductions for the IRS. Concern is rising that the cumulative effect of these budget cuts will prevent the IRS from effectively administering the tax system.

In 2014, the Internal Revenue Service Advisory Council (IRSAC) took the unusual step of raising the issue as an entire committee rather than in an individual subgroup report. The APA also voiced its concern about the need for adequate IRS funding in a letter to Congress. Both National Taxpayer Advocate Nina Olson and IRS Commissioner John Koskinen have repeatedly warned about the negative effects of decreased IRS funding levels. Within the first two weeks of 2015, they issued warnings about the dire consequences of the current IRS budget. Read more…