Washington Democrats are getting set to enact another ‘big government’ entrenchment scheme by expanding the scope and power of the IRS – to better bludgeon U.S. taxpayers.
There is a better way to streamline the tax code and shrink the IRS’ footprint…..
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The IRS Is About to Go Beast Mode
The Schumer-Manchin bill has $45.6 billion to audit the middle class.
Wall Street Journal, Aug. 2, 2022 – Excerpts:
Progressives want Joe Biden to unleash what they call “beast mode” executive power, and the Schumer-Manchin tax bill supplies the cash to turn the Internal Revenue Service into Wolverine.
The pact between Sen. Joe Manchin and Majority Leader Chuck Schumer includes $80 billion in new funding for the tax man. Democrats claim this “investment” will yield more than $200 billion in revenue. That estimate is highly speculative, but if it’s anywhere close to right IRS auditors will soon be coming after tens of millions of Americans.
The $80 billion is more than six times the current annual IRS budget of $12.6 billion. The money will be ladled out over nine years and comes with few strings attached. The main Democratic command is for the tax agency to bring the hammer down on taxpayers.
The bill earmarks $45.6 billion for “enforcement,” including “litigation,” “criminal investigations,” “investigative technology,” “digital asset monitoring” and a new fleet of tax-collector cars. The result will be far more audits, civil suits and criminal referrals.
The main targets will by necessity be the middle- and upper-middle class because that’s where the money is. The Joint Committee on Taxation, Congress’s official tax scorekeeper, says that from 78% to 90% of the money raised from under-reported income would likely come from those making less than $200,000 a year. Only 4% to 9% would come from those making more than $500,000.
The IRS knows the super-wealthy employ lawyers and accountants who make litigation time-consuming and risky. It also knows that Democrats would howl if the agency pursues fraud in the earned-income tax credit program, despite what the IRS has estimated are $18 billion in improper payments each year.
Despite all this new money, Americans shouldn’t expect better IRS service. The agency in the 2022 filing season answered a mere 10% of its phone calls. The Taxpayer Advocate Service revealed in June that as of May 31 the IRS was still sitting on 21.3 million unprocessed paper tax returns, with millions of taxpayers “waiting six months or more to receive their refunds.” Yet the Schumer-Manchin bill devotes only $3.2 billion for “taxpayer services.”
The bill does, however, provide $15 million to study a bad Elizabeth Warren idea. An IRS task force will have nine months to deliver a report on the feasibility of the IRS running its own “free direct efile tax return system.” America has a voluntary tax system that lets taxpayers determine their correct amount of tax before the IRS checks it.
Sen. Warren wants to create what would be a federal H&R Block that assesses tax liability for taxpayers. Taxpayers would presumably have to appeal if they disagree, and who knows how long that would take.
All of this is likely to be made worse by what seems to be the increasing politicization of the tax agency…..
The federal government isn’t starving for revenue. Congress wants more tax revenue because it can’t control its appetite for spending. That’s why it wants a tax agency in beast mode.
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Republicans in Washington, who, by the way, do not have any type of broadly-defined ‘Vision for Restoring the American Dream,’ and never seem to have a superior alternative to offer the American people when Washington Democrats push to expand big-government’s power to expropriate wealth and limit freedoms for working-class Americans – should sit up and take notice….
The Leviticus 25 Plan is a powerful, and manifestly superior, plan to expanding IRS powers – and defining a bright new vision for America.
All U.S. citizens participating in The Leviticus 25 Plan will forego their tax refunds for the initial five year activation period (2023-2027).
Benefits – Federal Income Tax Recapture
The scoring model assumes that 80% of U.S. citizens will participate in The Plan.
Participants must give up their tax refunds through the Plan’s recapture provisions for the 5-year target period (2023-2027).
According to 2021 IRS Filing season statistics, through Dec 3, 2021: 129,841,000 total refunds were paid out for a total of $365.499 billion. The estimated refund total
for the full year, through December 31st: $365.5 billion.
The Leviticus 25 Plan would reduce the number of refunds each year (2023-2027) by 80%, effectively dropping the gross number of refunds in need of processing, reviewing, and potentially auditing, from approximately 130,000,000 down to about 26,000,000.
The IRS would NOT need to hire the additional thousands of employees, and they would NOT be put in the bind of having to pay $3.3 billion in interest payments on unprocessed refunds.
And the IRS would NOT need “$45.6 billion for “enforcement,” including “litigation,” “criminal investigations,” “investigative technology,” “digital asset monitoring” and a new fleet of tax-collector cars.“
The Leviticus 25 Plan is a powerful solution to expanding the IRS’, and it is loaded up and ready to go – setting forth a dynamic ‘Vision for America’ for decades to come.
The Leviticus 25 Plan – An Economic Acceleration Plan for America
$90,000 per U.S. citizen – Leviticus 25 Plan 2023 (4144 downloads)