John,
House Republicans are gearing up for a full-scale assault on the IRS and your right to free, simple online tax filing. Their target? The agency's enforcement capabilities and the highly successful Direct File program.
Here's what's at stake: A bill likely to be voted on in September would slash more than $2 billion from the IRS budget, undermining its ability to go after wealthy tax cheats.[1] This comes when the agency has already collected over $1 billion in back taxes from wealthy tax cheats in less than a year.[2]
Another bill, introduced in the House Ways and Means Committee, aims to block the IRS from fully implementing Direct File[3]―a program that saved Americans millions during its pilot phase this year. In fact, the Direct File pilot program was rated "excellent" or "above average" by 90% of users, with over 140,000 taxpayers in 12 states receiving more than $90 million in refunds and saving an estimated $5.6 million in tax preparation fees.[4]
These attacks come at a critical moment when the investments we made in the IRS are already paying off. The agency's enhanced enforcement capabilities are finally allowing it to tackle tax evasion by the wealthy, while Direct File is providing a free, online, user-friendly alternative to costly tax preparation services. But now, all of this progress is at risk.
The Senate will be voting on its own IRS funding bill in Committee this Thursday. Unlike the House version, it doesn't slash the agency's budget. But we need your voice to ensure it stays that way and to push back against the House's dangerous proposals.
Tell Congress: Protect IRS funding and save Direct File. We can't let wealthy tax cheats and greedy tax preparation corporations win.
The consequences of these bills would be devastating. By gutting IRS enforcement, House Republicans are essentially giving a green light to wealthy tax evaders.
This is a full-scale assault on tax fairness that would make it easier for wealthy tax cheats to avoid paying what they owe. And, by killing Direct File, Republicans would be making life harder and more expensive for everyday taxpayers, costing taxpayers billions in unnecessary fees and missed refunds.
We can't let the GOP rig the system even further in favor of the wealthy and big corporations. With your help, we can sound the alarm and stop this plan in its tracks.
Take action today and call on the House and Senate to pass IRS funding bills that don't attack Direct File or cut the IRS's ability to enforce our tax laws.
Together, we can build a tax system that works for all of us.
John Foti
Legislative Director
Americans for Tax Fairness Action Fund
[1] House Republicans are attacking the IRS. Here’s how they want to cut $2 billion in funding
[2] Smith, Edwards Introduce Bill to End Unlawful IRS Direct File ProgramSmith, Edwards Introduce Bill to End Unlawful IRS Direct File Program
[3] Warren, Carper, Beyer, Porter, Sherman Lead Over 130 Lawmakers Touting Direct File’s Successes, Urges Biden Administration to Expand Program, Make Permanent
[4] IRS collected $1 billion in back taxes from millionaires in less than a year | CNN Politics
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