IRS Commissioner warns on 2025 budget request

IRS Commissioner Daniel Werfel is warning about potential repercussions if Congress doesn’t approve the fiscal year 2025 budget request submitted by President Biden. Werfel said he’s worried that recent IRS customer service improvements and enhanced compliance and enforcement efforts made possible by funding from the Inflation Reduction Act could be undermined. On May 7, he defended increased audits of high-income taxpayers and the Direct File program rollout before the U.S. House Appropriations Committee. He also said that audits of lower-income taxpayers have fallen and that if the IRS decides to continue the Direct File program, “the cost per return” will be less expensive going forward.

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