IRS Struggles Continue Despite Funding Boost
Backlogs, Slow Response Times, and Training Needs Highlight Ongoing Challenges
- The IRS is still struggling with processing amended tax returns, answering taxpayer phone calls, and resolving identity theft cases, despite a massive funding boost provided by the Democrats' Inflation Reduction Act.
- The backlog of unprocessed amended returns has quadrupled from 500,000 in 2019 to 1.9 million in October last year, and taxpayer correspondence cases have more than doubled over the same period, from 1.9 million to 4.3 million.
- The IRS is experiencing 'extraordinary delays' in assisting identity theft victims, taking nearly 19 months to resolve self-reported cases.
- IRS employees answered only 35% of all calls received, despite the agency claiming 85%.
- The IRS has been on a hiring spree since 2022, but the new employees are in need of proper training.