IRS update

The IRS is pushing back against a Treasury Inspector General for Tax Administration (TIGTA) audit (https://bit.ly/3933UFN  ) that addressed the processing of Recovery Rebate Credit (RRC) claims. The audit found, among other things, that the IRS improperly issued RRC payments totaling $898 million. In addition, “the IRS declined to review nearly $598 million of the improper payments and take the actions needed to recover them,” TIGTA said. The IRS acknowledged TIGTA’s concerns but stated: “Tracking the payments to each recipient and recognizing individual qualifying children covered by those payments is a vastly more complex undertaking than the tracking done for processing non-RRC provisions.”

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