IRS Struggles to Resolve Identity Theft Cases, Leaving Victims in Limbo

A backlog of 500,000 unresolved cases and delays of nearly two years have drawn sharp criticism from watchdogs and taxpayers.

The National Taxpayer Advocate reports the IRS takes over 22 months to resolve identity theft cases.
Approximately 500,000 cases remain unresolved, affecting many low-income taxpayers relying on refunds.
The IRS has been criticized for outdated methodologies and prioritizing the wrong tasks.
Despite improvements in general taxpayer services, identity theft resolution has worsened.
Congressional scrutiny and potential funding cuts loom over the IRS's modernization efforts.