March 01,2021

Crapo, Grassley Request Information from IRS on Proposed CTC Redesign

Request detailed, substantive response from IRS

WASHINGTON, DC –U.S. Senator Mike Crapo (R-Idaho), Ranking Member of the Senate Finance Committee, and Senator Chuck Grassley (R-Iowa), Ranking Member of the Judiciary Committee, requested information from the Internal Revenue Service regarding implementation of the House Democrats’ proposed child tax credit (CTC) advance payments program.  In briefings with staff and a hearing before Congress, the IRS has provided details indicating challenges with implementing the program, including issues with funding and timely implementation.   

On February 12, Crapo and Grassley sent a letter to the IRS requesting information related to the timing, cost, personnel needs, and potential for fraud of the proposed CTC advance payment program, which House Democrats included as part of their FY2021 Budget Reconciliation process.  Crapo and Grassley said they were “concerned that the program would dramatically expand the IRS’ role into that of a social-welfare agency at the expense of its primary mission as the nation’s revenue collector, as well as exacerbate the potential for fraud in the CTC program.”   

The IRS responded on February 26, but did not provide substantive or detailed answers.  

Today, Crapo and Grassley again requested that the IRS address their concerns in a detailed and timely manner. 

Read Crapo and Grassley’s original letter to the IRS here.

Read the IRS February 26 response here.  

Read Crapo and Grassley’s follow-up response and questions here.