The head of the IRS said Thursday that a government shutdown during tax season would be a challenge the agency has never confronted before — and one that would become more complicated as the April filing deadline draws closer. Doug Shulman, the IRS commissioner, also signaled at a House Ways and Means subcommittee hearing that his agency was discussing how to address a potential shutdown with the Obama administration, though he did not spell out any details of those talks. “We run a $13 billion financial services operation, so the idea of stopping it for a few days or a few weeks is strange,” Shulman said, adding that he was hopeful, based on ongoing negotiations, that a shutdown could be averted. [The Hill]
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Latest IRS Snafu: Inmates Collect $100k in Refunds
- Caleb Newquist
- February 23, 2010
This is getting ridiculous, you guys. As if suicidal pilots and bulldozing protestors weren’t enough of an annoyance, now the Service has been victimized by inmates in a South Florida jail.
According to the AP, about 50 inmates are allegedly responsible for requesting $1 million in fraudulent refunds from the IRS and collecting around $100,000 for their diligent efforts. The report states that the inmates used “a standard IRS form” (we’re guessing Form 843?) most for $5,000 and that some checks were sent directly to the jail. Oh and the best part is that the scheme was foiled by “a how-to note…found in an inmate’s cell,” rather than a crack squad of investigators.
To say that the IRS needed some good press would be a gross understatement, but for crissakes, they need some good press. Sure getting Nicolas Cage to bone up $14 mil is okay and everyone is stoked for Ron Howard to make the Service hilarious but they could use a big break right now. We called the Florida branch to get their ideas but the spokesman told us that the Herald pretty much had it right and that’s all that he was saying.
At this point, nothing short of Doug Shulman capturing Osama Bin Laden (with an IRS-issued Remington no less) while singing God Bless America and apologizing for all the unanswered customer service phone calls will get the American public to looking fondly upon the IRS. If you’ve got better ideas, let us know but that would be our suggestion for an improved image campaign.
Inmates at S. Fla. jail accused of scamming IRS [AP via Miami Herald]
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What Does the IRS Have Against Boobs?
- Caleb Newquist
- October 27, 2010
We’re asking this question in a collective sense. Call it a hunch but we’re pretty sure that Doug Shulman votes “T” on the T&A question.
To clarify, we’re talking about breast feeding. More specifically about breast pumps for nursing mothers.
You see, the IRS isn’t convinced that breast-feeding has enough health benefits to qualify as a form of medical care, thus, the pumps are not covered. From a tax/health policy standpoint, the Service is more concerned with teeth (false), skin (clear) and noses (not stuffy).
Denture wearers will get a tax break on the cost of adhesives to keep their false teeth in place. So will acne sufferers who buy pimple creams.
People whose children have severe allergies might even be allowed the break for replacing grass with artificial turf since it could be considered a medical expense.
But nursing mothers will not be allowed to use their tax-sheltered health care accounts to pay for breast pumps and other supplies.
That is because the Internal Revenue Service has ruled that breast-feeding does not have enough health benefits to quality as a form of medical care.
The Times explains that under the healthcare overhaul, “preventive procedures” were going to be encouraged to control costs. Despite the mounting evidence to the contrary, the IRS isn’t budging on the issue:
I.R.S. officials say they consider breast milk a food that can promote good health, the same way that eating citrus fruit can prevent scurvy. But because the I.R.S. code considers nutrition a necessity rather than a medical condition, the agency’s analysts view the cost of breast pumps, bottles and pads as no more deserving of a tax break than an orange juicer.
Because tools that will help a mother feed a new-born human being natural food is exactly the same thing as the Omega 4000. Got it.
Acne Cream? Tax-Sheltered. Breast Pump? No. [NYT]