Bill targets IRS administrative reform

Sens. Orrin Hatch (R-UT) and Ron Wyden (D-OR) introduced last week a measure designed to reform certain administrative practices at the Internal Revenue Service (IRS).

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The legislation is based on two 114th Congress bills that unanimously passed the Finance Committee in 2016. The senators said it seeks to assist the agency by increasing taxpayer protections and electronic filing; enhancing whistleblower protections; reforming policies concerning IRS employees; increasing scrutiny of IRS audit criteria; and supporting prevention of identity theft and tax refund fraud.

“Ensuring the IRS has greater flexibility and bringing it into the 21st century continues to be a top priority, especially with the largest rewrite of the tax code in more than three decades on the books,” Hatch, who serves as chairman of the Finance Committee, said. “We’ve been working hand in glove with the administration to ensure a proper and seamless implementation of new policies and are confident this bill will streamline the agency in a way that protects taxpayers from fraud and abuse, increases electronic filing and supports IRS employees.”

Wyden said there the nation is continually seeing incidents involving the theft of taxpayer dollars and personal data, noting more safety measures are needed.

“Congress must do more to protect American taxpayers from fraud and financial abuse,” Wyden, ranking member of the Finance Committee, said. “This bipartisan legislation will make common-sense changes to help taxpayers and streamline administrative rules at the IRS, which will allow tax officials and agents to better safeguard the American people against financial predators.”