IRS says Trump budget cut would reduce phone service

WASHINGTON — For many years under the Obama administration, Republicans controlling Congress punished the Internal Revenue Service with budget cuts that resulted in horrible service for taxpayers.

Although some service was restored, the Trump administration now plans service cuts so severe that about 40 percent of calls from taxpayers seeking telephone assistance would go unanswered.

IRS acting commissioner David Kautter predicted a significant decline in telephone service in next year’s tax-filing season under the budget submitted by President Donald Trump.

During this year’s tax-filing season, Kautter said, the IRS answered four out of five calls. That was a major improvement over previous years, keeping in mind that service during filing season can be better than during the rest of the year.

But under Trump’s proposed budget, many more callers would be frustrated by bad service, based on Kautter’s testimony during a hearing last week.

Questioned by Sen. Chris Coons of Delaware, the ranking Democrat on the financial services and general government subcommittee of the Appropriations Committee, Kautter said the phone response rate would be in the 60 to 65 percent range.

Roderick Taylor, a research assistant at the Center on Budget and Policy Priorities, said: “It’s troubling that we may see fewer taxpayers who call the IRS for help with their returns next tax season get their calls answered — just as they are dealing with the complicated new federal tax law for the first time.”

Taylor added: “Congress should fund the IRS adequately so that it can help taxpayers comply with the tax code” while also enforcing the code fairly and credibly.