As a part of their Inflation Act, Washington Democrats are reviving their scheme to funnel $80 billion to the IRS to hire an army of IRS agents to target more Americans – even though the agency struggles to provide basic services, like answering taxpayer questions by phone.
“American families have been paying President Biden’s $5,900 inflation tax for the last year and now Washington Democrats are doubling down on weaponizing the IRS to take more out of the pockets of American workers,” said House Budget Committee Republican Leader Jason Smith (MO-08). “So what will the IRS do with 87,000 more agents? Last time they floated such a proposal it also included public plans to snoop into the bank accounts of millions of middle-class families, farmers, small businesses, and gig economy workers.”
The previous version of the Build Back Broke agenda passed by House Democrats last year gave the IRS the same $80 billion in taxpayer money to hire 87,000 agents with the purpose of looking into any Americans’ bank accounts with inflows or outflows of more than $10,000. Ranking Member Smith requested analysis from the Joint Committee on Taxation (JCT) about how many Americans would be caught up in the IRS scheme. JCT confirmed such a proposal would impact up to 134 million Americans earning less than $400,000.
“Under the Democrats’ Inflation Act, hardworking Americans will have to live in fear of an IRS checking under the couch cushions of every living room in America. In other words, despite the Democrats’ rhetoric, beefing up the IRS will not go after wealthy Americans or corporations with high paid lawyers – it will go after the middle-class,” said Smith.
Numerous repeated document requests have been made of the IRS as it relates to its plans to increase its own budget by $80 billion and hire enough new agents to fit into Arrowhead stadium, but to date the IRS has failed to answer both Congress and outside entities about any internal plans involving the use of the new agents or their proposed bank transaction reporting requirements.
Over 50 percent of the IRS spending in the Democrats’ current budget reconciliation bill funds enforcement. A recent Senate Finance Republican analysis shows that middle-income Americans will be the primary targets.
Key Points: Democrats’ Inflation Act