Erin Slowey

IRS delays in processing the pandemic-era business tax credit will be a “cost-savings to the government” even as interest accrues on unpaid claims, the agency said in its response to a watchdog report Wednesday.

Democratic lawmakers want the Department of Justice to investigate and prosecute tax preparation companies they say illegally shared taxpayer data.

A new White House administration and Republican-led Congress are slated to disrupt how the IRS operates.

Promises by President-elect Donald Trump and his allies to eliminate telework, weaken civil-service protections for federal workers, and reverse funding increases for the IRS threaten to roll back the agency’s improvement in answering its phones and strip it of resources to find tax cheats.

Bloomberg Tax reporter Erin Slowey speaks with Kelly Reyes, executive director of the Professional Managers Association that represents the interests of IRS managers, about what a presidential transition means for IRS employees and how agency managers are preparing for next tax filing season.

IRS Commissioner Danny Werfel will step down from the post Jan. 20, conceding to President Donald Trump who has signaled a desire to replace him.

The Trump administration’s new hiring freeze across the federal workforce will stay in effect for the IRS even after the order expires for all other agencies.

The first 100 days at the IRS under the Trump administration will set the tone for how his team plans to take aim at the agency, now under threat as his allies look to overhaul the federal workforce and cut the agency’s tens of billions in extra cash.