There is considerable energy on capital hill to impeach the commissioner of the Internal Revenue Service (IRS) John Koskinen. Mr. Koskinen was brought in to replace Daniel Werfel after he and a subordinate, Lois Lerner, were forced resign after substantiated allegations that the IRS had inappropriately targeted members and organizations associated with the “tea party” organization. Mr. Koskinen was viewed with high regard after his fairly successful turnaround efforts at Freddie Mac. In the best of Washington D.C. traditions the storm against Koskinen isn’t based upon his own performance, but in the “cover up” associated with the destruction of important evidence associated with tea party targeting. The likelihood that Mr. Koskinen will be impeached is highly unlikely, but what impact will potential impeachment hearings have upon San Diego IRS audits currently in progress and for the foreseeable future?
A US agency commissioner has not been impeached since 1876, and there is already a significant divide within the house – even within the republican party. Informed observers simply don’t believe there is any where near enough votes to impeach Mr. Koskinen, as this may be more about politics in an election year than anything else. There are genuine concerns about Mr. Koskinen’s actions and inaction following his appointment by President Obama. The IRS has faced significant challenges from many quarters over the past few years and the combination of significant budget cuts and political pressure have taken a toll on many facets of the IRS.
Unfortunately for taxpayers in San Diego IRS audits and other review and collection efforts of the agency should be unaffected by the turmoil at the top of the organization. In fact, the IRS has significantly increased its focus in two primary areas: offshore account and income reporting and FBAR compliance, as well as misclassification of employees as independent contractors. The IRS will continue to manage business as usual, so now is not the time to consider a riskier approach to IRS matters. The legal, tax and business team at Allen Barron have extensive experience and expertise with San Diego IRS audits and are prepared to represent your interests aggressively against the IRS. If you are facing an IRS audit or collection we invite you contact us for a free consultation at 866-631-3470.
