Republicans are coming under fire for their rhetoric over $80 billion in funding for the IRS included a massive climate, tax and health care bill that Democrats in Congress are sending to the White House.
The funding, over 10 years, is intended to help the IRS enforce various provisions in the Inflation Reduction Act, which would raise more than $700 billion in new revenue by instituting a 15-percent corporate minimum tax, taxing stock buy backs and extending a cap on deductions for business losses, in addition to helping the IRS enforce existing tax law. Of the $80 billion, more than half would go to increased enforcement, like audits.
Republicans, who have nursed grievances over the IRS going back to the Obama administration that were inflamed further by fights over former President Trump’s tax returns, have taken aim at the funding, arguing it amounts to creating a new army of IRS agents to go after taxpayers.
But the IRS, Democrats and outside experts all say the new enforcement money will mostly allow the IRS to focus on audits of the wealthy.