Investigations by an inspector general and following congressional oversight managed the agency’s exempt organization’s union unjustly targeted tea party and conservative groups.
“You’ll see tremendous politicization of the IRS during a Biden administration,” Grover Norquist, president of Americans for Tax Reform, explained. “There will be an effort to bulk up and harass, first, small businesses, then they will go after political groups. ... Democrats weren’t looking to throw the money into the IRS when Trump was president. But they want to do it now.”
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The Biden transition team didn’t immediately reply to an analysis for this story. Although the campaign appeared to be on board with a more aggressive IRS, as Jared Bernstein, whom President-elect Joe Biden chose to serve as a member of the Council on Economic Advisers, said through the presidential campaign in October that Biden would attempt “significant increases in IRS enforcement and auditing, particularly for those with complex business structures.”
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Boosting money for enforcement would come as an act of “tax fairness,” according to a Nov. 25 letter to House and Senate leaders signed by 25 House Democrats. The letter requests for $12.1 billion for the IRS that includes $5.2 billion for “enforcement activities that are critical to ensuring compliance.”
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“The strength of IRS enforcement activities must be a priority for Congress, especially considering the additional measures Congress enacted under the CARES Act to lessen the financial burden of the COVID-19 pandemic,” states the letter, led by Reps. Judy Chu, D-Calif., and Bill Pascrell, D-N.J. It later adds, “Specifically, increasing the examinations and collections budget by $20 billion over 10 years increases revenues by $61 billion, and if it is increased by $40 billion over 10 years it would increase revenues by $103 billion.”
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The Democratically dominated House passed the $12.1 billion in a funding bill, though the House Democrats want to guarantee Congress holds it for the final 2021 Financial Services and General Government appropriations bill.
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The conduct of IRS officials through a Biden administration is a greater concern than any budget appropriations, said Jenny Beth Martin, honorary chairwoman of Tea Party Patriots Action.
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“At the IRS, the question is not will they get more money for enforcement, but will they return under a Biden administration to acting as they did under the Obama-Biden administration?” Martin said. “Will they suspend the First Amendment for their political foes, as they did before? That does not require a change in the size of their bank account. That is simply a function of attitude, and whether or not they are going to treat the public they serve with dignity, respect and consideration for their constitutional rights.”
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