January 03,2019

Press Contact:

Rachel McCleery (202) 224-4515 

Ahead of Upcoming Filing Season, Wyden asks IRS to Drop Penalties for Unexpected Tax Bills Due To Trump Tax Scam

Trump’s shutdown has left the IRS short-staffed, highlighting a need for swift action to protect taxpayers

Washington, D.C. – Senate Finance Committee Ranking Member Ron Wyden, D-Ore., today urged the IRS to waive fees associated with surprise tax bills expected to hit millions of workers and families when they go to file their taxes this year. The Government Accountability Office (GAO) estimated that nearly 30 million taxpayers could be under-withheld following the passage of Trump’s tax law.

In a letter to IRS Commissioner Rettig, Wyden asked how the IRS plans to respond to taxpayers who have been under-withheld and how to prevent this issue for future filing seasons. The IRS is currently operating with limited staff due to the Trump shutdown, which raises an even greater concern that taxpayers won’t be protected from surprise fees.

“Trump is handcuffing the IRS and holding middle-class taxpayers hostage over a divisive issue for which he genuinely has no plan,” Wyden said. “Republicans rushed a flawed, deficit-exploding corporate handout through Congress that left middle-class families in the lurch. Unless the IRS acts, millions of hardworking Americans will be forced to pay penalties on a tax bill they didn’t see coming.”

The full letter to IRS Commissioner Rettig can be found here.