Noting the “seismic change” the tax administration system has experienced since President Trump took office, the Tax Law Center at NYU is working on a framework for the IRS’ future.
The group cites as a major concern the loss of about a quarter of the total IRS workforce and over half of the agency’s leadership team this year. It is also worried about IRS budget cuts and deregulatory efforts across the federal government.
To that end, the Tax Law Center is developing a blueprint for the U.S. tax system that it hopes will both raise revenue and ensure compliance. A cornerstone of the plan is providing taxpayers with tools to file and pay taxes easily and efficiently.
Such tools will be essential with a downsized IRS workforce that must now implement new and revised provisions in the recently enacted tax act (P.L. 119-21).
The Tax Law Center counts among its staff multiple former IRS, Treasury, White House, and Department of Justice Tax Division officials. And its advisory board includes several notable new members – among them former IRS Commissioner Danny Werfel, former Deputy Treasury Secretary Wally Adeyemo, and former OMB Director Shalanda Young.
While those new additions are from Democratic administrations, the Tax Law Center emphasizes it is non-partisan, with “career and politically-appointed officials who have served under both Democratic and Republican Administrations.”
This depth of experience should prove useful as the group crafts its framework. And it stands in contrast to the current IRS, according to the Tax Law Center. The group contends that the recent loss of staff “leaves [the IRS] lacking core institutional knowledge needed to craft and execute any rebuild plan.”
“Every tax professional has a stake in a well-functioning federal tax system,” Tax Law Center deputy director Michael Kaercher told Checkpoint. Prior to coming to the Tax Law Center, Kaercher served as a lawyer in the IRS Office of Chief Counsel’s International division.
“It will take a collective effort to repair the damage and create a system that delivers for taxpayers and their advisors,” he added.
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