20 April 2015

The IRS And The Tax System:

Integrity And Fairness For Whom? (by Christopher Bergin , contributor at f Forbes)

There are many people who no doubt would like to harm the IRS. Some of that comes with the territory –- after all, most taxpayers dislike the tax collector. But right now, the one hurting the IRS the most is the IRS itself. In the latest bonehead maneuver from the IRS, the Treasury Inspector General for Tax Administration issued a report this week that revealed that agency employees with conduct and tax compliance problems received bonuses and awards.
According to a news story from Tax Analysts:
Among employees who received awards between October 1, 2010, and December 31, 2012, 1,100 with federal tax compliance problems received $1 million in cash awards, 10,000 hours in time-off awards, and 69 quality step increases within a year after the IRS substantiated their tax compliance problems. Also, 2,800 employees with conduct issues requiring disciplinary action received more than $2.8 million in monetary awards, 27,000 hours in time-off awards, and 175 quality step increases.
Are you kidding me?! 
Wait, because it gets even worse. These awards are not prohibited under our government’s rules.
Are you kidding me?!
As Tax Analysts reportedthe TIGTA report addressed that in this way:
Although awards for employees with conduct and tax issues are not prohibited, TIGTA said that providing awards to those employees, especially those who fail to pay federal taxes, “appears to create a conflict of interest with the IRS’s charge of ensuring the integrity of the system of tax administration.”
That’s classic understatement for you. There’s really no “appears” about this anymore. This is now an agency that is rapidly losing its way under an administration and a Congress that apparently could care less.
The IRS’s mission statement couldn’t be clearer:
Provide America’s taxpayers top quality service by helping them understand and meet their tax responsibilities and enforce the law with integrity and fairness to all.
If some of the tax cops aren’t playing by the rules – and getting bonuses for it – how does that provide us taxpayers “top quality service” and help us understand and meet our tax responsibilities? The two most important words in this mission statement are “integrity” and “fairness.” The one thing largely missing from our tax code is fairness. And the one thing now beginning to disappear from the agency charged with administering that tax code is integrity.