Taxpayer Advocate Service says real IRS crisis is financial one

Congress should establish a taxpayers’ bill of rights, clarify the guidelines for tax-exempt status and compensate some of the groups the IRS subjected to inappropriate reviews, according to a federal ombudsman.

(Susan Walsh/AP)
(Susan Walsh/AP)

The Taxpayer Advocate Service made those recommendations on Wednesday as part of its mandated mid-year report to Congress, which included an analysis of the recent IRS targeting controversy.

The report also recommended that Congress boost funding for the training of IRS employees, noting that spending in that category has dropped 83 percent since 2010.

“Today, the IRS is an institution in crisis,” National Taxpayer Advocate Nina E. Olson said in a statement Wednesday. “The real crisis facing the IRS — and therefore taxpayers — is a radically transformed mission coupled with inadequate funding to accomplish that mission.”

The Federal Eye will provide additional analysis of this report later. In the meantime, the document is embedded below:

Taxpayer Advocate's report on IRS tax-exemption operations


Josh Hicks covers the federal government and anchors the Federal Eye blog. He reported for newspapers in the Detroit and Seattle suburbs before joining the Post as a contributor to Glenn Kessler’s Fact Checker blog in 2011.
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Josh Hicks · June 26, 2013