Out of the $11.4 million that the IRS spent on BlackBerrys and Internet aircards in fiscal year 2011, $1.1 million worth of the devices went unused for three months to a year, according to the Treasury Inspector General for Tax Administration. That means that nearly 14,000 aircards and more than 750 BlackBerrys weren’t activated for a chunk of the year. Sixty-eight BlackBerrys weren’t used at all, while still incurring the costs of a monthly cellphone plan. Further, the report found that there was a lack of oversight in how the devices are assigned – with about $950,000 worth being activated through the IRS without the required management approval. Continued misuse would cost taxpayers a total of more than $10.7 million over five years. [The Hill, TIGTA]
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IRS Not Too Forthcoming with the Success of Wealth Squad
- Caleb Newquist
- May 17, 2011
Remember the “Wealth Squad“? They’re the jolly bunch of IRS examiners that focus their audit efforts on the richest of richies because it’s become clear that wealthy people are incapable of being honest on their tax returns (plus, poor people don’t have any money).
This elite group was formed in 2009 and based on the IRS’s count, they’ve been some busy little taxbusters:
According to the agency, audit rates among taxpayers who reported $10 million or more in income in 2010 jumped to 18% from 10% in 2009. Among taxpayers who reported $5 million to $10 million in income, nearly 12% were audited, compared with 6% in 2008.
Seems like a nice little ramp up in activity which means a boost to the Treasury’s piggy bank, right? If that’s the case, the Service isn’t exactly thumping their chests about it:
The IRS has refused to report how much money the “wealth squad” has brought in. This isn’t so difficult. Britain, which set up a similar “rich squad” around the same time, has announced that its squad netted £162 million ($ 263 million) in 2010-11, up from £82 million the year before. Those amounts are on top of the taxes already paid by the rich who are being targeted.
Conventional wisdom tells us that if the IRS were to release these numbers, it would probably make for some nice political fodder and so the Administration is telling them to keep a lid on the results. If you thought the soundbites about new 16,500 IRS agents were bad, imagine if the IRS actually reported how much more money it got rich people to fork over. On the other hand, it could be that the Service is juking the numbers and the Squad has been a complete failure. Either way, it seems that the IRS wouldn’t gain much by shouting these stats from the rooftops.
What the IRS Can Learn From the TSA
- Adrienne Gonzalez
- May 23, 2013
Surely you've heard by now that the IRS has some 'splainin to do but despite […]
Report: IRS Is Doing More with Less, Still Needs More
- Caleb Newquist
- June 6, 2011
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In a report released today, the inspector general said attrition and a heightened workload have combined to leave the IRS understaffed.
The new hires in the agency’s small business and self-employed division resulted in a net gain of just 580 revenue officers by the end of fiscal 2010, according to the report. The IRS watchdog predicted a net gain of 127 revenue officers by the end of fiscal 2012. The study could affect the debate over funding for the agency. It comes two days before IRS Commissioner Douglas Shulman is scheduled to testify before a congressional panel on the agency’s budget. The inspector general warned that, unless the IRS is fully staffed, compliant taxpayers are at a disadvantage. “If the IRS does not have a sufficient number of qualified” revenue officers, the report said, “it could create an unfair burden on the majority of taxpayers who fully pay their taxes on time.” [Bloomberg]
