Holding IRS Accountable & Fighting Waste Fraud and Abuse
Texas Insider Report: WASHINGTON D.C. Today U.S. Senator John Cornyn (R-TX) and Congressman Sam Johnson (TX-03) reintroduced the Individual Taxpayer Identification Number (ITIN) Reform Act.
The ITIN Reform Act is in response to a highly critical 2012 Tax Inspector General for Tax Administration (TIGTA) report on the IRS handling of ITIN applications.
The IRS provides ITINs to individuals ineligible for Social Security numbers such as illegal immigrants. The ITIN can be used to get refundable tax credits such as the $1000 refundable child tax credit.
Everything we hear about the IRS lately points to abuse discrimination and waste. Passing this bill would eliminate one avenue for tax fraud and save American taxpayers billions of dollars" said Sen. Cornyn.
Cornyns and Johnsons ITIN Reform Act would put safeguards in place to prevent fraud in the ITIN application process. It would also require the Tax Inspector General for Tax Administration to conduct regular audits to ensure the IRS is protecting taxpayer dollars.
This bill is part of my ongoing effort to root out waste fraud and abuse" said Johnson.
The ITIN Reform Act makes commonsense reforms that hard-working American taxpayers want need and deserve. I thank my colleague and fellow Texan Senator Cornyn for leading the effort in the Senate."
Specifically the ITIN Reform Act would require first-time applicants to submit an ITIN application in-person at a Taxpayer Assistance Center or diplomatic consulate. Currently applicants can submit their applications by mail or through a third party. Individuals seeking an ITIN would need to provide original documentation establishing their identity and foreign status. Additionally new ITINs would have a 5-year time limit with an option to renew while existing ITINS would be time limited.
Senator John Cornyn a Republican from Texas is a member of the Senate Judiciary and Finance Committees.
