GOVERNMENT EFFICIENCY: The IRS Issued $46 Million In Erroneous Tax Refunds
Just when you thought the federal government couldn’t get any more inefficient, they do. The latest example of government waste puts a spotlight on the Internal Revenue Service.
The Internal Revenue Service issued more than $46 million in erroneous tax refunds due to a computer glitch and ineffective monitoring, issues that left uncorrected could cost taxpayers up to $230 million over the next five years.
The Treasury Inspector General for Tax Administration (TIGTA) released an auditMonday faulting the IRS for approving thousands of potentially fraudulent tax refunds in 2013.
“TIGTA identified that because of a programming error, over $27 million of refunds were erroneously issued for 13,043 Tax Year 2013 tax returns,” the audit said. “The programming error is overriding the IRS’s two-week processing delay on some refund tax returns that are identified by the IRS as potentially fraudulent.”
The audit said the returns were flagged for claiming a “questionable tax credit” but were then automatically issued before the IRS could complete its verification process.
Maybe they could do their jobs better if they weren’t so busy harassing members of the Tea Party.