Enzi: IRS Botched Payments Cost Taxpayers Money
The Treasury inspector report said an estimated 24 percent of all Earned Income Tax Credit (EITC) payments made in Fiscal Year 2013, or $14.5 billion, were paid in error. The treasury inspector report also estimated that potential improper payments for Fiscal Year 2013 for the Additional Child Tax Credit (ACTC) totaled between $5.9 billion and $7.1 billion, a potential improper payment rate between 25.2 percent and 30.5 percent.
The IRS disagreed with the bulk of Treasury inspector’s recommendations for reducing the risk of improper payments, according to the report.
According to the report, “while the IRS has developed processes to identify improper EITC payments and their root causes, it has not developed processes to quantify or identify the root causes of improper ACTC payments.”
Senator Mike Enzi, Ranking Member of the Senate Finance Subcommittee on Taxation and IRS Oversight, said he’s eager for the new Congress to begin.
This is what happens when a Senate majority shirks its oversight responsibilities. We get bad programs being run badly,” Enzi said. “We need to look at tax credit eligibility from top to bottom and we need to audit the auditor. The IRS must be held accountable.