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IRS AGENTS OWE $1.5B IN UNPAID TAXES

[IRS Agents Owe $1.5B in Unpaid Taxes]
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OVER 800 IRS EMPLOYEES OWE MILLIONS IN BACK TAXES AFTER AUDITS PUSHED
BY ERNST

Rachel Shilke | Washington Examiner | 11-18-24

EXCLUSIVE — Over 800 Internal Revenue Service
[[link removed]] employees
still owe millions in back taxes despite heavy criticism from
Sen. Joni Ernst
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who is hoping the level of tax waste will be squashed by
billionaire Elon Musk
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the newly tapped co-leader of the Department of Government Efficiency
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In a letter to the Iowa senator sent on Nov. 8 and shared exclusively
with the Washington Examiner, the IRS noted that of the 2,044
employees who reported having balances totaling more than $12 million,
860 employees still have not paid overdue taxes. Only 20 of the 70
employees who “willfully evaded” paying their taxes were removed.

“We haven’t seen a tax revolt like this since the Boston Tea
Party,” Ernst said in a statement. “If hardworking Americans
dodge taxes, they are faced with steep fines and imprisonment, but it
appears that tax collectors in Washington believe those rules are for
thee but not for me.”

A July report
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requested by Ernst, found over 5,800 IRS and contractor employees owed
nearly $50 million in overdue taxes. Only 20 of the agency’s
employees who failed to pay taxes were terminated. 

The July report prompted Ernst to introduce the Audit the IRS Act
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which would require regular tax audits of agency employees and
prohibit the IRS from hiring or continuing to employ tax evaders.

Ernst’s team pointed the Washington Examiner to the fact that the
level of tax cheats from the IRS, amounting to nearly $546 million,
drew a response from Musk, who will co-lead DOGE
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former GOP presidential candidate Vivek Ramaswamy. 

“Looks like a lot of opportunity for @DOGE!” Musk posted on X,
citing an article from the New York Post. 

In another post, Musk lamented, “There are thousands of examples of
taxpayer dollars being wasted. These just a few,” and cited a post
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the $50 million in back taxes owed by federal employees.

President-elect Donald Trump appointed Musk and Ramaswamy to the new
organization Tuesday, which will operate outside the federal
government, two of many nominations that have sent shockwaves through
Washington
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The organization will “dismantle bureaucracy, slash excess
regulations, cut wasteful expenditures and restructure federal
agencies,” according to a statement from Trump.

Ernst hopes DOGE will take the steps to eliminate tax waste and bring
accountability to federal government spending.

“While Elon Musk and the Trump administration are looking to
eliminate waste, I can think of no better place to start than by
firing every single IRS agent refusing to pay taxes,” Ernst said.

The senator also recommended in her letter to the IRS in July that
employees and contractors should be referred to the Department of
Justice for tax evasion.

“Our Criminal Investigation division has a well-established process
for referring cases to DOJ, which includes, but is not limited to,
cases involving current or former employees and contractors,” IRS
Commissioner Daniel Werfel said in his Nov. 8 letter in response to
Ernst. “Referrals are made on a case-by-case basis and both agencies
invest resources in prosecuting felonies that are likely to result in
a substantial period of incarceration and provide the most effective
deterrence.”

Of the 70 employees who willfully failed to file tax returns, only 20
were removed after all cases were referred to the agency’s review
board. However, Werfel noted that 47 employees were suspended, one
faced “admonishment,” and two resigned from the agency.

“The IRS continues to follow established processes to address all
instances of IRS employees and contractors failing to meet their tax
compliance responsibilities,” Werfel said.

Back in August Ernst stated, “WHILE THE IRS WARNS, ‘TAX EVASION IS
A SERIOUS CRIME PUNISHABLE BY IMPRISONMENT, FINES, AND THE IMPOSITION
OF CIVIL PENALTIES,’ THE AGENCY IS REWARDING ITS OWN TAX DODGERS
WITH PAYCHECKS AND LAVISH BENEFITS MADE POSSIBLE, IRONICALLY, WITH THE
TAXES PAID BY LAW-ABIDING CITIZENS.”

 

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