House GOP Demanding Answers on If IRS Leaking Thousands of Americans’ Tax Filings Was Political

After thousands of taxpayer files had been leaked to an external group, the new head of House Ways and Means Committee lashed out at the Biden administration.

House Ways and Means Chairman Rep. Jason Smith (R-Mo.) sent Russel George, the Treasury Department Inspector General for Tax Administration, a letter raising concerns about the possible leakage of “confidential tax information” It is also the lack of accountability regarding that leak.

ProPublica, a news organization, reported that the group had received private tax returns from thousands of Americans over a period of 15 years.

ProPublica

ProPublica has released the data for the remaining 400 top 400 tax payers, as well as the 15 individuals who had the highest U.S. income from 2013-2018 thanks to an analysis using its unparalleled IRS data.

The analysis also shows how much they paid in federal income taxes – and it demonstrates how the American tax system, which theoretically makes the highest earners pay the highest income tax rates, fails to do so for the people at the very top of the income pyramid. The top 400 earners pay significantly lower tax rates that the merely wealthy. A married couple earning $200,000 could end up paying more tax than a person earning $200 million per year if you consider payroll taxes.

ProPublica suggested that the leak could have been motivated by political reasons. The leak was used to prove that there were no leaks. “the very richest pay lower rates than the merely rich.”

The lingering questions about who was responsible and who will face accountability are still open. Rep. Smith’s resignation came as Biden’s nominee to head the tax-collecting organization took on a series grueling questions from Senate Finance Committee in his confirmation process.

Janet Yellen, Treasury Secretary, told the Senate Finance Committee that she would investigate the leak in a separate hearing.

“[Yellen] also indicated that she would keep Congress updated on the matter. Yet, nineteen months after this outrageous leak, Congress, and, more importantly, the American people have no idea how this betrayal of taxpayer confidentiality happened or whether anyone has been held accountable,” Smith wrote the following in his letter.

Smith’s letter was prompted by the fact that Yellen stated that the Treasury Inspector General for Tax Administration would take care of the matter.

“A detailed status of this review is necessary to ensure TIGTA is conducting a comprehensive investigation that will be completed in a timely manner…” The letter stated. “This leak of taxpayer information cannot be ignored, and TIGTA as well as the IRS can be confident that the Ways and Means Committee will work tirelessly to ensure accountability. Congress and the American people should not have to wait years to get answers.”

The IRS is also plagued by other problems. The Center Square previously reported that the IRS is facing major backlogs, severe scrutiny over how it will manage $80 billion given via the Inflation Reduction Act and questions about millions of destroyed documents. More.