The diversity, equity, and inclusion (DEI) training forced on criminal investigators with the Internal Revenue Service featured content from a transgender professor who called for the “death of whiteness” in an academic journal article.
The DEI training, <a href="https://www.judicialwatch.org/irs-woke-training/">obtained</a> by Judicial Watch, was part of a mandatory continuing education program at the IRS, and began with a section by Dafina Lazarus Stewart titled, &#8220;Cultural Inclusion Is About Justice.&#8221; Stewart, a transgender-identifying woman, <a href="https://morgridge.du.edu/about/faculty-directory/d-l-stewart">chairs a department</a> at the University of Denver and has focused much of her academic work on “whiteness,” even calling on other academics to “commit to the death of whiteness.”
Stewart, who focuses on “institutional transformation toward realizing equity and justice,” is the author of an <a href="https://www.tandfonline.com/doi/full/10.1080/09518398.2022.2061630">academic article</a> called “‘Dead Honky’ — Against The Technologies of (White) Violence.” The article <a href="https://www.breitbart.com/education/2022/07/11/dead-honky-college-education-department-chair-commits-death-whiteness/">calls for</a> Critical Race Theorists to “commit to the death of whiteness,” even arguing that “whiteness is itself a violence” and asking academics to use the “verbal effigy “‘dead honky.’”
The DEI training comes as the Biden administration has leveraged the federal bureaucracy to push far-left ideology on race and gender, <a href="https://www.whitehouse.gov/briefing-room/presidential-actions/2021/01/20/executive-order-advancing-racial-equity-and-support-for-underserved-communities-through-the-federal-government/">signing</a> multiple <a href="https://www.whitehouse.gov/briefing-room/presidential-actions/2021/06/25/executive-order-on-diversity-equity-inclusion-and-accessibility-in-the-federal-workforce/">executive orders</a> to institutionalize Critical Race Theory and radical gender ideology in federal agencies.
The portion in the training from Stewart asks questions such as, &#8220;whose culture in the room is under constant threat?” and “whose cultural safety is being sacrificed to allow the dominate [sic] culture to degrade the subordinate culture?”
The answers, based on a reading of Stewart&#8217;s work, likely have to do with the evils of &#8220;whiteness.&#8221; In &#8220;Dead Honky,&#8221; Stewart alleges that “whiteness pretends to be innocent,” but in reality “creates terror and violence.”
“Critical whiteness studies (CWS) in the field of higher education fails to account for … technologies of violence that characterize whiteness and which whiteness employs,” Stewart writes in the journal article. “I theorize technologies of (white) violence as enactments of: (1) malicious white terror; (2) rhetorical white innocence, mobilized through white contempt and white transmission; and, (3) pacifying white concession.”
The article was published in the International Journal of Qualitative Studies in Education, which has also published an <a href="https://www.breitbart.com/education/2022/07/08/education-journal-publishes-call-to-eradicate-whiteness-send-it-to-its-grave/">article</a> in which a different professor called for Critical Race Theorists to “do the work of disrupting, dismantling, and eradicating whiteness.” The <a href="https://www.tandfonline.com/action/journalInformation?show=aimsScope&amp;journalCode=tqse20">journal</a> publishes articles concerning “issues of racism (including whiteness, white racism, and white supremacy), capitalism, and its class structure,” as well as “gender identity, heterosexism, and homophobia.”
Stewart claims in another <a href="https://transreads.org/wp-content/uploads/2022/01/2022-01-16_61e44487ad812_HighImpactofWhitenessonTransStudentsinPostsecondaryEducationbyDafinaLazarus-StewartZNicolazzoz-lib.org_.pdf">article</a> that “whiteness as an ideology … reaches beyond race/racism to shape and reproduce other interlocking oppressive systems,” working to “undermine the success of trans students in US postsecondary education.”
The IRS’ <a href="https://www.irs.gov/about-irs/office-of-equity-diversity-inclusion-at-a-glance">Office of Equity, Diversity, and Inclusion</a> is led by <a href="https://www.irs.gov/about-irs/todays-irs-organization">Chief Diversity Officer</a> Carrie Holland. While Holland’s salary in her role is <a href="https://govsalaries.com/salaries/FD/internal-revenue-service?employee=carrie+holland">not yet</a> publicly available, her predecessor Valerie Gunter <a href="https://www.openthebooks.com/united-states-internal-revenue-service/?F_Name_S=Gunter&amp;Year_S=0">made $200,000</a> a year, <a href="https://www.census.gov/library/publications/2023/demo/p60-279.html">more than double</a> the median household income to push the DEI agenda.
Gunter confirmed in a <a href="https://cdn.ymaws.com/www.ifausa.org/resource/resmgr/newsletter/ifa_diversity_news_issue2.pdf">2021 interview</a> that her role was responsible for “ensuring training” on diversity, equity, and inclusion, as well as being the principal consultant on all DEI matters at the IRS, including DEI trainings.
“We have a [diversity and inclusion] education program which raises awareness around [equity, diversity, and inclusion], focuses on unconscious bias prevention, and cultural competency,&#8221; Gunter said, adding that the purpose is for managers to identify how DEI &#8220;concepts appear in real world working situations.”
The training for IRS agents is one of the latest examples of the DEI agenda being pushed throughout the federal government.
The Daily Wire previously <a href="https://www.dailywire.com/news/exclusive-leaked-nsa-doc-reveals-massive-woke-glossary-pushing-critical-race-theory-gender-ideology-on-govt-employees">revealed</a> that the National Security Association (NSA) created a 34-page DEI glossary that endorsed the tenets of Critical Race Theory and gender ideology, with definitions for terms like “queer theory,” “white fragility,” “settler colonialism,” and “transmisogyny.”
Other agencies in the federal government have funded projects that further gender ideology, with The Daily Wire recently revealing that the Biden administration will pour nearly $1 million of taxpayer funds into an effort to make biology courses more “inclusive” of those who identify as transgender by <a href="https://www.dailywire.com/news/biden-admin-pours-1-million-into-studies-aimed-at-denying-there-are-only-two-genders">denying that there are only two genders</a>.
Biden&#8217;s Health and Human Services Department also funded a study on the use of puberty blockers and cross-sex hormone treatment <a href="https://www.dailywire.com/news/republican-senators-blast-nih-for-3-million-grant-to-expand-medical-transitions-for-minors">to the tune of $3 million</a> despite transgender children’s hospitals admitting that the practice could result in <a href="https://www.dailywire.com/news/nih-funds-study-on-puberty-blockers-hormones-on-youth-despite-risk-of-sterilization">permanent sterilization</a>.
But while various agencies within the federal government have aggressively pushed ideological initiatives under President Biden, former Trump administration officials, as well as former President Trump himself, have <a href="https://www.washingtonexaminer.com/opinion/beltway-confidential/2731416/dislodging-the-real-threat-to-democracy-the-administrative-state/">discussed</a> plans to <a href="https://www.axios.com/2022/07/22/trump-presidency-schedule-f-federal-employees">gut the administrative state</a> should he be elected in 2024.
Some are advocating for a policy called Schedule F, which could remove civil service employment protections from unelected bureaucrats like the IRS&#8217;s Holland, empowering the president to fire unelected bureaucrats who may obstruct his policy objectives.

Judicial Watch, IRS DEI Training

Mandatory IRS Diversity Training Includes Material From Trans Academic Who Called For ‘Death Of Whiteness’

Diversity Equity and Inclusion (DEI)

Internal Revenue Service (IRS)

An Australian judge is ordering two media outlets to pay American economist Peter Schiff more than half a million dollars for defaming him.
It’s the latest fallout in a <a href="https://www.dailywire.com/news/the-government-can-destroy-anyone-how-an-irs-led-global-alliance-ruined-an-innocent-american-banker" target="_blank" rel="noopener">bizarre scandal</a> in which the IRS and the governments of five other countries joined together to target Schiff, a frequent guest on conservative media, with the “biggest tax evasion investigation in the world.”
Despite poring over every detail of a bank he ran in Puerto Rico, authorities failed to come up with a single charge. But government agents apparently leaked the existence of the investigation to the New York Times and Australian media outlets The Age and 60 Minutes, both of which are owned by Australian media giant Nine. The journalists took Schiff&#8217;s advocacy for low-tax policies as evidence that he would break existing tax law.
The media reporting on the unfounded investigation led to a series of calamities for the bank, culminating in it being shuttered by a Puerto Rican regulator — with the IRS falsely taking credit for the closure and suggesting it was because of money laundering and tax evasion, even though its investigation substantiated neither of the charges.
Tax agents appeared to work closely with the media on that infamous press conference. The New York Times learned that the bank was being shuttered, purportedly because of the criminal probe dubbed “Operation Atlantis,” before Schiff did.
Officials may have violated the law by disclosing the existence of a grand jury to reporters. But with little recourse against the U.S. government, Schiff sued the journalists who seemed to be in cahoots with the agents in Australian court.
He named The Age, 60 Minutes, as well as two reporters — Charlotte Grieve and Nick McKenzie — who worked on an over-the-top video segment as well as an article. An Australian judge ruled that the television segment was defamatory, but the article was not.
The Australian journalists strongly suggested that Schiff was guilty of money laundering and tax evasion crimes, and that the case showed the need for more financial regulation. The story came as some Australian politicos were pushing a law that would give the government new powers to monitor people’s money — Schiff was made to be the poster-child villain.
Discovery in the lawsuit gave insight into the inner workings of major media outlets and suggested that they were determined to make Schiff&#8217;s bank, Euro Pacific, play such a narrative role. Interview notes and transcripts showed that their own sources often told them that Schiff’s bank was rigorously compliant. Then they used fast-cut editing to give the impression the witnesses said the opposite.
The Australian 60 Minutes segment suggested that Schiff’s Euro Pacific Bank opened accounts for money launderers, tax evaders, and criminals, and that it was attractive because it did little to vet its clients. But when Grieve asked one confidential source, a former customer, what opening an account was like, he said “it took weeks and weeks and weeks.&#8221;
&#8220;They were just so careful about making sure who they were dealing with, I’ve never come across anything like it,” the source said, according to interview notes disclosed in a court filing.
Another 60 Minutes source, an anonymous former bank employee, said “in terms of [anti-money laundering], they seemed to be strong. I personally didn’t experience a situation where something out of place was going on.” Another former employee told her that if a prospective customer told them they wanted to evade taxes, it was “good luck with that buddy, but you ain’t getting an account at this bank.”
The documents also show that Grieve attempted to open an account with a financial services company owned by Schiff, and she was rejected as part of the bank’s following of regulations.
The journalists secured an interview with Schiff by lying about their intentions, then took the existence of an investigation into the bank as proof of its guilt. “I&#8217;m putting to you that your bank has accounts for organized crime figures,” McKenzie told him.
“Then I have the basis of a lawsuit against you. So are you in fact telling me right now that you know for a fact that this crime syndicate is utilizing Euro Pacific Bank?” Schiff replied.
“I&#8217;m the journalist here. I&#8217;m asking the questions here, sir,” McKenzie said. “Why is it the tax authorities in Australia, the United Kingdom, Canada, America, and the Netherlands all believe your bank is facilitating tax evasion and serious organized crime? … It&#8217;s a fact that organized crime, tax evaders, fraudsters are using your bank,” he added.
The 60 Minutes segment leaned heavily on a former IT employee, John Ogilvie, who was quoted disparaging the bank. But in the transcript of his full interview, it was clear his only grievance was an unrelated personality clash with a manager. “Money laundering, links to organized crime. Did you see any?” a journalist asked.
“I didn’t see any of that,” Ogilvie said.
The efforts to tie Schiff’s bank to criminals were so weak that the journalists resorted to hounding someone who was once questioned by police in Thailand, but was never arrested or charged with anything, and who later used an EUP account for prosaic expenses. That’s despite the customer telling them that EUP vetted him thoroughly and there was no reason they would have, or should have, known about his brief interaction with police in Thailand.
Last week, the media outlets filed for an emergency injunction to prevent the public from seeing what their interviewees actually said in full. But they withdrew it after the judge hinted that it would cause him to put on the record his view of their journalism ethics, and that it would not go well for them, a transcript showed.
Days after the judge entered the defamation damages order, McKenzie was given one of Australia’s top journalism awards, with the Walkley Foundation also <a href="https://www.crikey.com.au/2023/11/24/walkley-awards-2023-nine-masters-mckenzie-journalism/" target="_blank" rel="noopener">naming a new investigative journalism award after him</a>. Grieve also won a <a href="https://www.citigroup.com/australia/awards/winners2022.html" target="_blank" rel="noopener">journalism award</a> for her coverage of Schiff’s bank.
Related: <a href="https://www.dailywire.com/news/the-government-can-destroy-anyone-how-an-irs-led-global-alliance-ruined-an-innocent-american-banker">‘The Government Can Destroy Anyone’: How An IRS-Led Global Alliance Ruined An Innocent American Banker</a>
In a statement to The Daily Wire, Nine Media was unrepentant, saying &#8220;60 Minutes accepts that the Federal Court found the program conveyed meanings that were not intended by the program, noting the barriers posed by the current state of defamation law in Australia to important public interest journalism. The Euro Pacific Bank was the target of the world’s largest tax evasion probe” and “was suspended in 2022 amid catastrophic regulatory failures.”
The Puerto Rican regulator said at a bizarre June 2022 press conference that the bank was being taken from Schiff and turned over to a trustee because it was “critically insolvent.” But weeks later, the trustee it appointed said that the opposite was true, writing “as of June 30, 2022, Euro Pacific had an excess cash position to cover all deposits.”
At the press conference, the regulator was forced to clarify that “The action is not based on claims of money laundering or other financial crimes”after the IRS’ Chief of Criminal Investigation, Jim Lee, flew to Puerto Rico to try to take credit and spin its failed investigation as a success.
“In January of 2020, each of the J5 countries participated in a global coordinated day of action to put a stop to the suspected facilitation of offshore tax evasion and money laundering by a suspected bank in Puerto Rico,” Lee said. “The operation from the J5 was dubbed Operation Atlantis, and the bank was Euro Pacific Bank.”
Despite having just said Schiff’s bank was being investigated, he hid behind ethics to refuse to clear Schiff’s name by saying the failed investigation was now closed. When a reporter asked “Is Peter Schiff being investigated?” Lee said. “I’m not at liberty to disclose who’s being investigated.”
In an interview, Schiff told The Daily Wire that the circus showed how the government works with apparatchik media to destroy those who question its ideology. He said the fact that Lee stated that his bank was the target of an investigation at the press conference bolstered the notion that it was IRS that previously illegally leaked the probe to the media.
“If the IRS didn’t leak it or even was mad that it was leaked, why did Jim Lee confirm it at a press conference?” he asked.
He said that criminal investigators were unable to find a single thing to charge him with, then decided to deal a death sentence to the bank through the media anyway. Many customers and business partners fled the bank because of the publicity.
“If it’s the subject of the largest tax investigation in history, then if they would have found the slightest infraction that normally they would have looked the other way, they would have brought that charge. But the bank was so clean that they couldn&#8217;t find a single thing,” he said. The Daily Wire asked the IRS if it could point to any convictions from Operation Atlantis&#8211;even of minor customers of the bank&#8211;and it declined to say.
Schiff said at the moment Puerto Rico shut the bank down, he could have refunded all of the bank’s customers on the spot, but that nearly 18 months after the government took over — purportedly to look out for those customers — no one has received a dime of the $65 million in deposits. That’s partly because the government of Portugal put a freeze on some assets, apparently because of the negative publicity and the ambiguous nature of the press conference.
Schiff said the IRS must be held accountable, and that if it would do this to someone with his resources, it could do it to anyone.
But the accountability from media outlets is a good first step, he said, and people should be shocked at how what they see on TV actually comes together.
“All the information that [Nine] had from their own investigation confirmed that our compliance was very strong, yet they ignored it,” he said. “There’s no pushback or questioning from the editors, it’s just putting it on the air.”

Peter Schiff

Court Says Media Outlets Defamed Conservative Economist, Orders Them To Pay Massive Settlement

Media Bias

The House GOP plan to <a href="https://www.dailywire.com/news/house-gop-proposes-israel-aid-offset-by-irs-budget-cuts" target="_blank" rel="noopener">offset billions of dollars</a> in aid for Israel by cutting the same amount of money to the <a href="https://www.dailywire.com/topic/internal-revenue-service-irs" target="_blank" rel="noopener">Internal Revenue Service (IRS)</a> would end up being a costly one, said the head of the agency.
Backed by House Speaker <a href="https://www.dailywire.com/topic/mike-johnson" target="_blank" rel="noopener">Mike Johnson</a> (R-LA), the proposal would provide $14.3 billion to Israel — which is fighting Iran-backed Hamas following its deadly terrorist attacks on Israeli soil earlier this month — while rescinding $14.3 billion in funds made available to the IRS.
IRS Commissioner Daniel Werfel reportedly said the offset would cost $90 billion, according to Washington Post reporter Jacob Bogage, who conveyed the comments <a href="https://twitter.com/jacobbogage/status/1719474212576858201" target="_blank" rel="noopener">in a post to X</a> on Tuesday. &#8220;All of those funds go to increased scrutiny on tax evasion going on at the highest wealth levels,&#8221; Werfel said, adding that the IRS would be &#8220;leaving money on the table.&#8221;
The critique aligns with what Democrats in Congress have said in opposing the measure, which aims to further cut the budget of the IRS after President Joe Biden secured $80 billion through the Inflation Reduction Act to bolster and modernize the agency over 10 years — with an agenda to commit <a href="https://www.cnbc.com/2022/08/08/reconciliation-bill-includes-nearly-80-billion-for-irs-funding.html" target="_blank" rel="noopener">more than half</a> of the money to enforcement, particularly in <a href="https://www.nytimes.com/2023/04/06/business/economy/irs-tax-treasury.html#:~:text=WASHINGTON%20%E2%80%94%20The%20Internal%20Revenue%20Service,down%20on%20wealthy%20tax%20evaders." target="_blank" rel="noopener">going after wealthy tax evaders</a> — only for roughly <a href="https://www.bloomberg.com/news/articles/2023-06-08/yellen-says-cut-to-irs-rebuild-won-t-affect-near-term-plans" target="_blank" rel="noopener">$21 billion</a> to get clawed back as part of a <a href="https://www.dailywire.com/news/biden-signs-bill-to-increase-debt-ceiling-avoid-federal-default" target="_blank" rel="noopener">debt ceiling deal</a> in June.
In remarks on the Senate floor on Tuesday, Senate Majority Leader Chuck Schumer (D-NY) said he was &#8220;deeply troubled&#8221; by the House Republicans&#8217; &#8220;partisan&#8221; legislation not having funds for Ukraine, humanitarian assistance for Gaza, and the Indo-Pacific. Schumer also said the House GOP plan contained <a href="https://twitter.com/therecount/status/1719361623612113379" target="_blank" rel="noopener">&#8220;poison pills&#8221;</a> that benefit the wealthy &#8220;tax cheats&#8221; and would increase the deficit.
Johnson, who is less than a week into the job as speaker, told Fox News that he hoped for bipartisan support for the House GOP plan, but acknowledged that the proposal was a <a href="https://twitter.com/kayleighmcenany/status/1719077935238222161" target="_blank" rel="noopener">&#8220;first draft.&#8221;</a> He also said the United States is &#8220;not just going to print money and send it overseas&#8221; and that he believes the American people would say that &#8220;standing with Israel and protecting the innocent over there is in our national interest and is a more immediate need than IRS agents.&#8221;
The plan has the support of conservatives. One person who praised Johnson was former House Speaker Newt Gingrich. &#8220;Speaker Mike Johnson made exactly the right decision to bring up the aid for Israel by itself without tying it to anything else,&#8221; Gingrich <a href="https://twitter.com/newtgingrich/status/1719026656738693419" target="_blank" rel="noopener">said</a> in a post to X. &#8220;It is also very encouraging that he is going to offset the aid for Israel with spending cuts to start cutting the deficit and fighting inflation. Great start for the new Speaker.&#8221;
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President Joe Biden has asked Congress to approve roughly <a href="https://www.nytimes.com/2023/10/20/us/politics/bidens-funds-israel-ukraine.html" target="_blank" rel="noopener">$106 billion</a> in national security-related funds, including $14.3 billion for Israel, $61.4 billion for Ukraine, as well as money for Taiwan and the Indo-Pacific, humanitarian assistance, and border security. Two of his top Cabinet officials, Secretary of State Antony Blinken and Defense Secretary Lloyd Austin, <a href="https://www.dailywire.com/news/leftists-disrupt-blinken-during-hearing-on-aid-for-israel-ukraine-border" target="_blank" rel="noopener">testified before a Senate committee</a> about the request on Tuesday.
At the White House, National Security Council spokesman John Kirby said that Israel and Ukraine, which is engaged in armed conflict against Russian invaders, are <a href="https://twitter.com/PhilipWegmann/status/1719413450818900236" target="_blank" rel="noopener">&#8220;intertwined.&#8221;</a> Senate Minority Leader <a href="https://www.dailywire.com/topic/mitch-mcconnell" target="_blank" rel="noopener">Mitch McConnell</a> (R-KY) similarly said threats to the <a href="https://www.dailywire.com/topic/united-states" target="_blank" rel="noopener">United States</a> are <a href="https://www.dailywire.com/news/mcconnell-warns-of-intertwined-threats-amid-debate-over-israel-and-ukraine-aid" target="_blank" rel="noopener">&#8220;intertwined&#8221;</a> and should not be ignored while calling for Washington to rally behind allies such as <a href="https://www.dailywire.com/topic/israel" target="_blank" rel="noopener">Israel</a> and Ukraine.
House Democrats sent a letter to Congressional Budget Office (CBO) Director Phillip Swagel on Tuesday seeking an analysis on the GOP proposal. The Republican measure had a provision that sought to &#8220;skirt around&#8221; a CBO score, <a href="https://twitter.com/JakeSherman/status/1719507139100586110" target="_blank" rel="noopener">noted</a> Punchbowl News co-founder Jake Sherman.

IRS Commissioner Daniel Werfel

IRS Chief Claims $14.3 Billion Israel Aid Offset Would Cost $90 Billion: Report

IRS Chief Says $14.3 Billion Israel Aid Offset Would Cost $90 Billion: Report

Congress

Israel

Mike Johnson

Politics

U.S. House of Representatives

<a href="https://www.dailywire.com/topic/house-republicans" target="_blank" rel="noopener">House Republicans</a> introduced an aid package on Monday that would remove millions of dollars allocated to the <a href="https://www.dailywire.com/topic/internal-revenue-service-irs" target="_blank" rel="noopener">Internal Revenue Service (IRS)</a> and direct the same amount of money to <a href="https://www.dailywire.com/topic/israel" target="_blank" rel="noopener">Israel</a>.
Already facing opposition from Democrats, the GOP plan aims to further cut the budget of the IRS after President Joe Biden secured $80 billion through the Inflation Reduction Act to bolster the agency over 10 years — only for roughly <a href="https://www.bloomberg.com/news/articles/2023-06-08/yellen-says-cut-to-irs-rebuild-won-t-affect-near-term-plans" target="_blank" rel="noopener">$21 billion</a> to get clawed back as part of a <a href="https://www.dailywire.com/news/biden-signs-bill-to-increase-debt-ceiling-avoid-federal-default" target="_blank" rel="noopener">debt ceiling deal</a> in June.
The new <a href="https://docs.house.gov/billsthisweek/20231030/ISRAELFINAL_xml.pdf" target="_blank" rel="noopener">proposal</a> would provide $14.3 billion to Israel while rescinding the same amount of funds made available to the IRS to back the U.S. ally as it fights <a href="https://www.dailywire.com/topic/hamas" target="_blank" rel="noopener">Hamas</a> in the Gaza Strip — following the deadly terrorist attacks on Israeli soil earlier this month that killed an estimated 1,400-plus people, including 33 Americans, and led to more than 200 hostages being taken.
Speaker <a href="https://www.dailywire.com/topic/mike-johnson" target="_blank" rel="noopener">Mike Johnson</a> (R-LA), who was elected to the leadership role last week, <a href="https://twitter.com/kayleighmcenany/status/1719077935238222161" target="_blank" rel="noopener">told</a> Fox News that he believes the American people would say that &#8220;standing with Israel and protecting the innocent over there is in our national interest and is a more immediate need than IRS agents.&#8221; He also said the United States is &#8220;not just going to print money and send it overseas.&#8221;
<blockquote class="twitter-tweet" data-width="500" data-dnt="true">
NEWS: I spoke with <a href="https://twitter.com/SpeakerJohnson?ref_src=twsrc%5Etfw">@SpeakerJohnson</a> in a wide-ranging interview to air tomorrow on <a href="https://twitter.com/FoxNews?ref_src=twsrc%5Etfw">@FoxNews</a> in the 12pm ET hour. 
We spoke about how he plans to pay for the $14.3 billion in aid to Israel by cutting IRS funding.
On whether this could drive away support from Democrats, he told… <a href="https://t.co/eATW7lMfpv">pic.twitter.com/eATW7lMfpv</a>
&mdash; Kayleigh McEnany (@kayleighmcenany) <a href="https://twitter.com/kayleighmcenany/status/1719077935238222161?ref_src=twsrc%5Etfw">October 30, 2023</a></blockquote>
<script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script>
House Democrats criticized their Republican colleagues over the proposal. Ways and Means Committee member Bill Pascrell Jr. (D-NJ) <a href="https://twitter.com/BillPascrell/status/1719090409563988170" target="_blank" rel="noopener">said</a> in a post to X, &#8220;The republicans are trying to use a catastrophic war as a vehicle to give millionaires a tax cut. This garbage will *raise* the deficit by helping rich people cheat on their taxes. There is no tragedy Republicans won’t exploit not one.&#8221;
Biden recently made a roughly <a href="https://www.nytimes.com/2023/10/20/us/politics/bidens-funds-israel-ukraine.html" target="_blank" rel="noopener">$106 billion</a> national security request of Congress, seeking $14.3 billion for Israel, $61.4 billion for Ukraine, $13.6 billion for border security, $9.15 billion for humanitarian aid, and $7.4 billion for Taiwan and the Indo-Pacific. In the Democrat-controlled Senate, <a href="https://www.politico.com/live-updates/2023/10/24/congress/bidens-big-bill-in-trouble-ukraine-israel-border-00123292" target="_blank" rel="noopener">debate was already underway</a> about whether to link Israel aid to more money for Ukraine&#8217;s fight against Russian invaders.
The House Republican plan &#8220;makes it much harder to pass,&#8221; said Majority Leader Chuck Schumer (D-NY), according to <a href="https://twitter.com/mkraju/status/1719083500886741027" target="_blank" rel="noopener">CNN</a>. On the GOP side of the Senate, Minority Leader Mitch McConnell (R-KY) has <a href="https://twitter.com/therecount/status/1719035841555705985" target="_blank" rel="noopener">called</a> for &#8220;swift and decisive action&#8221; when it comes to Israel as well as Ukraine. A statement from White House Press Secretary Karine Jean-Pierre suggested the House Republican proposal was a &#8220;nonstarter,&#8221; adding that &#8220;demanding offsets for meeting core national security needs of the United States — like supporting Israel and defending Ukraine from atrocities and Russian imperialism—would be a break with the normal, bipartisan process and could have devastating implications for our safety and alliances in the years ahead.&#8221;
The clash of ideas sets the stage for Johnson to take on his first major spending battle as speaker. Among House conservatives, lawmakers emphasized the massive U.S. debt cannot be ignored and rejected tying financial support for Israel to other causes.
&#8220;We want to help Israel — and we all do. I think most Republicans and Democrats absolutely want to do that. But we also have to acknowledge our own financial crisis here in America,&#8221; Rep. Scott Perry (R-PA), a member of the House Foreign Affairs Committee and chairman of the Freedom Caucus, <a href="https://twitter.com/CitizenFreePres/status/1719094946664169602" target="_blank" rel="noopener">said</a> in a Fox News interview. Rep. Chip Roy (R-TX), another Freedom Caucus member, <a href="https://twitter.com/chiproytx/status/1718038950609092964" target="_blank" rel="noopener">said</a> Israel aid should be a stand-alone measure.

Speaker Mike Johnson

House GOP Proposes Israel Aid Offset By IRS Budget Cuts

Gaza

Hamas

U.S.

IRS public affairs officer Justin Cole reportedly took a call from <a href="https://www.dailywire.com/topic/cnn" target="_blank" rel="noopener">CNN</a> two years ago, during which he was informed the network had an email from Hunter Biden claiming that he expected his legal troubles to &#8220;go away&#8221; once his father became president.
The House Ways and Means Committee released a series of documents on Thursday, all pertaining to Hunter Biden&#8217;s efforts to sell the Biden family &#8220;brand&#8221; and tying President Joe Biden to his son&#8217;s business dealings.
&#8220;Documents show Hunter Biden and his business associates had access to the White House and Joe Biden’s advisors; Biden business associates were instructed to not ‘mention Joe being involved’; and official trips to Ukraine line up U.S. government actions and Hunter Biden’s financial bottom line. And, after the IRS began investigating these crimes, Hunter apparently &#8216;expected all of this &#8216;stuff&#8217; to go away when his dad becomes President,'&#8221; the committee wrote in a <a href="https://waysandmeans.house.gov/bombshell-ways-and-means-releases-new-documents-revealing-hunter-biden-selling-access-to-white-house-investigators-blocked-from-pursuing-evidence-related-to-president-biden/" target="_blank" rel="noopener">press release</a>.
According to the document released by the committee on Thursday, Cole sent an email to two of the IRS agents investigating Hunter Biden on September 22, 2021, and detailed what he had learned from a CNN producer.
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<ul>
<li>Producer is aware of a witness who was recently interviewed by our agents and FBI in Delaware. Witness told producer that he was under the impression that they were wrapping things up and just had a few basic questions to “put a bow on the investigation.”</li>
<li>Producer has an email from Hunter saying he expected all of this &#8220;stuff&#8221; to go away when his dad becomes president.</li>
<li>Producer said he is aware that a plea deal has been offered to Hunter but Hunter is not willing to accept it.</li>
</ul>
The committee did not say when the email from Hunter Biden had been sent, nor was it clear how CNN obtained it.

Joe Biden, Hunter Biden

IRS Agent: CNN Has Hunter Biden Text Claiming Worries Would ‘Go Away’ Once Dad Was President

IRS Agent: CNN Has Hunter Biden Text Claiming Worries Would 'Go Away' Once Dad Was President

Executive

Hunter Biden

Impeachment

Joe Biden

Whistleblowers

After news broke that President Biden’s son Hunter had <a href="https://www.dailywire.com/news/hunter-biden-sues-irs-over-whistleblower-leaks" target="_blank" rel="noopener">filed a lawsuit</a> against the IRS, IRS Supervisory Special Agent Gary Shapley’s legal team issued a statement condemning the action.
Biden filed the lawsuit claiming that IRS agents Gary Shapley and Joseph Ziegler revealed confidential information about his taxes in public interviews and statements.
“This suit against the IRS is just another frivolous smear by Biden family attorneys trying to turn people’s attention away from Hunter Biden’s own legal problems and intimidate any current and future whistleblowers,” the attorneys for Shapley <a href="https://www.newsweek.com/hunter-biden-sues-irs-faces-backlash-1827848" target="_blank" rel="noopener">wrote</a>.
“The federal judge in Delaware who oversaw the aborted plea deal shot down similar claims against the whistleblowers after they exposed the secret backroom deal between Hunter Biden and the Department of Justice,” they continued, referring to Federal District Court Judge Maryellen Noreika, who put a plea deal between Hunter Biden’s lawyers and the Department of Justice on hold after expressing her concern about the extent of immunity being offered to Hunter Biden.
“Neither IRS SSA Gary Shapley nor his attorneys have ever released any confidential taxpayer information except through whistleblower disclosures authorized by statute. Once Congress released that testimony, like every American citizen, he has a right to discuss that public information,” they <a href="https://www.cbsnews.com/news/hunter-biden-irs-lawsuit-alleging-privacy-violations/" target="_blank" rel="noopener">asserted</a>.
Shapley and Joseph Ziegler spoke before Congress to expose what they said was a double standard in the way the IRS and Department of Justice had handled the investigation into Hunter Biden. The whistleblowers said they were blocked from pursuing lines of questioning that had the potential of implicating Joe Biden, adding that Hunter Biden was given favorable treatment, Including warnings ahead of certain investigative actions.
“This assault on Mr. Biden’s rights involved the public disclosure of his confidential tax information during more than 20 nationally televised and non-congressionally sanctioned interviews and numerous public statements,” the lawsuit says, according to <a href="https://www.washingtonpost.com/national-security/2023/09/18/hunter-biden-lawsuit-irs/" target="_blank" rel="noopener">The Washington Post</a>.
The whistleblower made “detailed allegations regarding the specific tax years under investigation, the amounts of deductions, the nature of those deductions, and allegations of liability regarding specific tax years and the amount thereof, that could only be known to them based on a review of the physical tax returns themselves,” the lawsuit says.
<a href="https://www.dailywire.com/news/hunter-biden-sues-irs-over-whistleblower-leaks" target="_blank" rel="noopener">Related: Hunter Biden Sues IRS Over Whistleblower Leaks</a>
Tim Pearce contributed to this article.

Hearing with IRS Whistleblowers About the Biden Criminal Investigation

‘Smear’: IRS Whistleblower Responds To Hunter Biden Lawsuit Targeting Him

IRS Whistleblower Responds To Hunter Biden Lawsuit Targeting Him

<a href="https://www.dailywire.com/topic/hunter-biden" target="_blank" rel="noopener">Hunter Biden</a> sued the <a href="https://www.dailywire.com/topic/internal-revenue-service-irs" target="_blank" rel="noopener">IRS</a> on Monday over alleged violations of his privacy when agents went to Congress with details of the agency’s investigation into Biden’s taxes.
Biden is under pressure from federal investigators and prosecutors and has adopted an adversarial stance since a plea deal fell apart in July. The first son’s approach to federal officials mirrors his stance toward Republicans accusing him of engaging in corrupt overseas business dealings.
Biden’s lawsuit targets the IRS, alleging that two whistleblowers who made claims of misconduct leaked sensitive information about his taxes to Congress. The lawsuit claims the leaks violated federal tax laws and Biden’s right to privacy, according to <a href="https://www.washingtonpost.com/national-security/2023/09/18/hunter-biden-lawsuit-irs/" target="_blank" rel="noopener">The Washington Post</a>.
Biden “has no fewer or lesser rights than any other American citizen, and no government agency or government agent has free reign to violate his rights simply because of who he is,” the lawsuit says.
IRS agents Gary Shapley and Joseph Ziegler went to Congress to expose what they said was a double standard in the way the IRS and Department of Justice had handled the investigation into Biden’s tax affairs and purchase of a firearm. The whistleblowers said they were blocked from pursuing lines of questioning that had the potential of implicating Biden’s father, President Joe Biden. They also said Hunter was given favorable treatment, such as unnecessary warnings ahead of certain investigative actions.
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The lawsuit claims that the whistleblowers revealed certain information to Congress that could only be gained from viewing Hunter’s personal tax information.
“This assault on Mr. Biden’s rights involved the public disclosure of his confidential tax information during more than 20 nationally televised and non-congressionally sanctioned interviews and numerous public statements,” the lawsuit says, according to the Post.
The whistleblower made “detailed allegations regarding the specific tax years under investigation, the amounts of deductions, the nature of those deductions, and allegations of liability regarding specific tax years and the amount thereof, that could only be known to them based on a review of the physical tax returns themselves,” the lawsuit says.
A plea agreement Hunter’s legal team negotiated with Delaware U.S. Attorney David Weiss, before Weiss was named special counsel, fell apart after the judge in the case began asking about the limits on immunity granted by a diversion agreement on a gun charge. The failed deal would have included Hunter pleading guilty to two misdemeanor tax charges.

Hunter Biden Sues IRS Over Whistleblower Leaks

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Delaware

Department of Justice

Lawsuit

House Republicans announced on Tuesday an inquiry into the treatment of Internal Revenue Service (IRS) <a href="https://www.dailywire.com/topic/whistleblower" target="_blank" rel="noopener">whistleblowers</a> who raised concerns about the criminal investigation of <a href="https://www.dailywire.com/topic/hunter-biden" target="_blank" rel="noopener">Hunter Biden</a>, the son of the president, being <a href="https://www.dailywire.com/news/plurality-of-americans-lack-confidence-in-dojs-hunter-biden-inquiry-poll" target="_blank" rel="noopener">slow-walked by top officials</a> in a way that could have precluded serious charges.
A trio of committee chairmen sent <a href="https://judiciary.house.gov/sites/evo-subsites/republicans-judiciary.house.gov/files/evo-media-document/2023-09-12-jdj-js-jc-to-garland-re-defense-atty-obstruction.pdf" target="_blank" rel="noopener">a letter</a> to Attorney General Merrick Garland demanding records that could reveal communications between the <a href="https://www.dailywire.com/topic/department-of-justice" target="_blank" rel="noopener">Department of Justice</a> (DOJ) and Biden&#8217;s legal team by September 25, the latest in a wave of missives seeking information about the conduct of the probe.
They cited a letter that attorney Abbe Lowell sent to Ways and Means Chairman Jason Smith (R-MO) in late June &#8220;asserting without evidence&#8221; that IRS agents <a href="https://www.dailywire.com/news/ex-fbi-agent-says-irs-whistleblower-was-right-bidens-were-tipped-off-during-investigation" target="_blank" rel="noopener">Gary Shapley and Joseph Ziegler</a> had violated federal law with their whistleblower disclosures. Also mentioned by the GOP chairmen was a <a href="https://www.nytimes.com/2023/08/19/us/politics/inside-hunter-biden-plea-deal.html" target="_blank" rel="noopener">New York Times report</a> that said Biden&#8217;s legal team telling the DOJ that the whistleblowers broke the law and should be prosecuted.
&#8220;Hunter Biden&#8217;s legal team is engaged in a brazen effort to intimidate and harass the brave Internal Revenue Service (IRS) whistleblowers who exposed numerous apparent irregularities in the Department&#8217;s investigation of Hunter Biden,&#8221; the letter said.
The GOP chairmen also defended the whistleblowers, saying they &#8220;followed the appropriate process by raising their genuine concerns about how the Department conducted its investigation into Mr. Biden.&#8221;
After Congress received testimony from the whistleblowers earlier this year, the DOJ and Biden&#8217;s legal team settled this summer on a plea agreement involving tax evasion and gun charges emerged that could have kept the first son out of prison. But the agreement — <a href="https://www.dailywire.com/episode/ep-1774-hunter-s-sweetheart-plea-deal-and-the-continuing-biden-coverup3" target="_blank" rel="noopener">dubbed a &#8220;sweetheart plea deal&#8221;</a> by Republicans — fell apart under scrutiny by a judge who raised concerns about an immunity clause.
The DOJ indicated last week that special counsel David Weiss intends to <a href="https://www.dailywire.com/news/breaking-special-counsel-david-weiss-to-indict-hunter-biden-filing-says" target="_blank" rel="noopener">seek an indictment</a> against Biden on gun charges by the end of the month, while Biden&#8217;s attorney Lowell <a href="https://www.nytimes.com/2023/09/06/us/politics/hunter-biden-indictment-gun-charges.html" target="_blank" rel="noopener">argued</a> in a statement that a pre-trial diversion agreement &#8220;remains valid and prevents any additional charges from being filed.&#8221;
Smith was joined by Oversight Chairman James Comer (R-KY) and Judiciary Chairman Jim Jordan (R-OH) in signing the new letter to Garland. House Speaker <a href="https://www.dailywire.com/topic/kevin-mccarthy" target="_blank" rel="noopener">Kevin McCarthy</a> (R-CA) <a href="https://www.dailywire.com/news/mccarthy-announces-formal-impeachment-inquiry-against-biden" target="_blank" rel="noopener">announced</a> earlier on Tuesday that the three committee leaders would work together in spearheading an impeachment inquiry against Hunter&#8217;s father, President <a href="https://www.dailywire.com/topic/joe-biden" target="_blank" rel="noopener">Joe Biden</a>, which could embroil the entire Biden family.
The Daily Wire reached out to the DOJ and Lowell&#8217;s firm seeking comment on the new letter.

GOP Investigators Probe Alleged Effort By Hunter Biden’s Lawyers To Punish IRS Whistleblowers

GOP Investigators Probe Alleged Effort By Hunter Biden's Lawyers To Punish IRS Whistleblowers

Merrick Garland

Sen. Tim Scott (R-SC) said during the first Republican Party presidential primary debate on Wednesday night that the U.S. can secure the southern border by getting rid of the 87,000 IRS employees funded by the Biden administration and hiring border agents instead.
&#8220;Let&#8217;s fire the 87,000 IRS agents and hire, or double, the number of Border Patrol agents,&#8221; the presidential candidate said. &#8220;I just left Yuma, Arizona, about two weeks ago. The most pressing need of the American people, from a national security standpoint, is our southern border. It has led to the death of 70,000 Americans because of fentanyl.&#8221;
&#8220;Plus, six million illegal crossings since President Biden has taken office, and 200 people on our national security watchlists have been caught at our border,&#8221; he added. &#8220;How many have not been caught at our southern border? If we just spent $10 billion we could finish the wall. For $5 billion more, we could have military-grade technology to surveil our southern border to stop the flow of fentanyl, and save 70,000 Americans a year.&#8221;
The 57-year-old said that would be his top priority and he would finish the border wall.
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After the debate, Scott spoke with Fox News host Sean Hannity about his performance and slammed some of the arguing that took place on the stage during the debate.
&#8220;I felt like I wanted to have a conversation, an adult conversation, about why America can do for anyone what she&#8217;s done for me,&#8221; Scott said. &#8220;We didn&#8217;t spend enough time talking about the challenges we have at our southern border. We didn&#8217;t talk long enough about the challenges that we have with China. It&#8217;s not the strength of China, it&#8217;s the weakness of Biden, that&#8217;s the problem that we face as a nation.&#8221;
&#8220;We need to dig into some of the most important, consequential issues facing the American people, and not have a food fight on the stage,&#8221; he added.
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Presidential Hopefuls Square Off In First GOP Debate

Tim Scott Floats Plan To Secure Border By Defunding Key Biden Initiative

Border Patrol

Elections

Illegal Immigration

Tim Scott

Two things can be true at once: Donald Trump pretty obviously violated classified document statutes. Should he be prosecuted or not? In any normal circumstance, the answer would be, sure — why not? If you commit a crime, you should be prosecuted for the crime.
But here’s the issue: Once James Comey let Hillary Clinton off the hook for crimes, the answer became, no, Trump should not be prosecuted. That’s because if only one side has to play by the rules, then the rules are not rules — they are just a double standard. They are just a weapon.
The notion that it is unprecedented for a president of the United States to engage in borderline criminal activity that violates RICO is not true. In 2014, I advocated for a full-scale use of RICO to target politicians. I said I would prefer widespread use of RICO to go after various criminal enterprises run by politicians. I wrote an entire book titled “The People versus Barack Obama,” in which I suggested that Obama had very likely engaged in, by Fani Willis’ definition, RICO violations.
Take the IRS scandal. In the IRS scandal, Barack Obama and his minions repeatedly said in public it would be amazing if the IRS audited and removed tax exemption from virtually every conservative group in America leading up to the 2010 election. Then they did it. The IRS did it. But Obama claimed he never meant for them to do it. That looks very much like the sort of mafioso activity RICO was meant to stop in the first place.
Now, when I made this argument back in 2014, the entire press that reviewed the book said, “This is crazy. You could never do this. How could you possibly suggest something like this?” And my answer was, “You know what? Perhaps if we finally started holding politicians accountable for their various criminal enterprises, they would stop doing crimes.” But then they ignored Barack Obama’s crimes and ignored Hillary Clinton’s. And now they’re ignoring Hunter and Joe Biden’s. The sort of RICO violations that we are currently talking about with regard to Trump and the election of 2020 would fit the criminal violations committed by Hunter and Joe Biden much better.
<h4><a href="https://www.dailywire.com/episode/ep-1789-they-re-treating-trump-like-a-mobster-member-exclusive" target="_blank" rel="noopener">WATCH: The Ben Shapiro Show</a></h4>
You want to talk about a RICO criminal enterprise? Let’s say you had an actual honest family, not a mafia family, but a regular family. And that family sent a bag man to foreign countries to pick up cash on behalf of every relative of the vice president of the United States while the vice president was presiding over foreign policy in those countries.
Does the plausible deniability there sound like a mafia situation? Joe Biden was calling into Hunter Biden’s business meetings and saying, “How is the weather over there?” Doesn’t that sound exactly like what a mafioso would do? You get the Don on the line and tell the local bartender, “How is the weather down there?” And then everyone knows that if the bartender doesn’t pay off the mafioso, then the place goes up in flames. That looks like a RICO violation.
If you’re discussing RICO violations, you can find RICO violations pretty much anywhere. I’d be sanguine about that if they were even remotely applied evenly, but that has not been the case. The treatment has only been applied to Trump. No one else is getting this sort of treatment. If you want to have a set of rules that applies to everybody evenly, I’m totally for it. But if the rules only apply to Trump, we can all see what you’re doing.
What will end up happening is there will be motivated Republican prosecutors who do bring RICO violations against Joe and Hunter Biden. All there needs to be is a prosecutor with courage in a local jurisdiction to do this with a friendly jury. Once they have made this a one-sided tactic, get ready. We now have a bunch of local DAs all over the country deciding that they want to get their name on the paper. That’s why Fani Willis in Georgia is doing this. It’s why Alvin Bragg of Manhattan is doing this. People want their names in the paper.
You can expect this on all sides now. One of the predictable results is that people who have families, people who have a sense of shame and do not wish to see their lives investigated, are simply going to stay away from politics. The best people will not go into politics. The only people left will be the ones willing to slug it out in court every single day, because that’s what it’s going to take from here on out.
We have now entered the era of mutually assured destruction. And the only way to go back to something resembling normality is to pursue criminal indictment in some sort of state law against Hunter and Joe Biden, in exactly the same way that a local Georgia RICO violation is being pursued against Trump.
I would argue there’s something with regard to the Biden family that looks a lot more like a mafioso family than anything that Trump did.
And that makes Trump’s RICO prosecution utterly wrong.
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Ben Shapiro

Trump Doesn’t Deserve A RICO Case Unless Biden, Obama, And Hillary Do

Barack Obama

Donald Trump

Georgia

Hillary Clinton

Indictment

Readers Pass

A former <a href="https://www.dailywire.com/topic/fbi" target="_blank" rel="noopener">FBI</a> agent who worked on the investigation into <a href="https://www.dailywire.com/topic/hunter-biden" target="_blank" rel="noopener">Hunter Biden</a> has corroborated a major claim made by whistleblower and IRS supervisory special agent Gary Shapley.
The unnamed retired FBI supervisory special agent testified to the House Committee on Oversight and Accountability in a closed-door session on July 17. The committee <a href="https://oversight.house.gov/release/comer-releases-former-fbi-supervisory-special-agents-transcribed-interview-transcript/" target="_blank" rel="noopener">released</a> the 65-page <a href="https://oversight.house.gov/wp-content/uploads/2023/08/FBI-SSA-Transcribed-Interview-Transcript.pdf" target="_blank" rel="noopener">transcript</a> of that testimony on Monday.
The ex-agent backed up allegations made by Shapley that President Joe Biden’s transition team was tipped off about the FBI&#8217;s intent to interview Hunter. The agent said he was notified the evening before the date of the expected interview – planned to be held on December 8, 2020 – that the Biden transition team had been warned.
“I was refreshed by the testimony of supervisor No. 2, and I believe he’s correct. I believe I – you know, and now getting into the frame of mind, I know I was upset when I learned about it,” the agent told lawmakers.
In addition to the transition team, the Secret Service, which at that time had a detail guarding Hunter, was also warned. The former agent said that, while he believed the Secret Service was going to be told the morning of the interview, warning the Secret Service that the FBI intended to interview Hunter was justifiable.
When asked why he had been upset, the former agent clarified: “I felt it was people that did not need to know about our intent.” The former agent was not able to recall who specifically was told on the Biden transition team.
The former agent said that he and Shapley were later instructed to wait for a phone call from Hunter Biden to conduct the interview, but that phone call never came and the interview never happened.
Two IRS agents who worked with the FBI and Department of Justice (DOJ) to investigate the junior Biden’s finances and overseas business dealings have alleged that politics infected the investigation through the DOJ.
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Shapley and <a href="https://www.dailywire.com/news/whistleblower-x-is-a-gay-democrat-hopes-to-be-good-example-for-lgbtq-people" target="_blank" rel="noopener">Joseph Ziegler</a>, the lead case agent on the Hunter Biden case and a 13-year veteran of the IRS, testified about their concerns to the House Oversight Committee in July.
“I have witnessed the corrosion of ethical standards and the abuse of power that threaten our nation. It is within this context that I have chosen to shed light on these actions and expose those responsible. I recognize that while I was present at the start of this investigation and was closely involved with the investigation for roughly five years —  that I am just a part of the story,” Ziegler <a href="https://www.dailywire.com/news/irs-whistleblower-says-doj-waiting-to-pounce-in-retaliation-over-hunter-biden-investigation" target="_blank" rel="noopener">testified</a> at the time. “My aim is to address systemic problems that have allowed misconduct to flourish. It is not a call for blame but a call for accountability and reform.”

Ex-FBI Agent Says IRS Whistleblower Was Right, Bidens Were Tipped Off During Investigation

Washington D.C.

The Internal Revenue Service lost millions of sensitive tax records of individuals and businesses, according to a new watchdog report. 
The Treasury Inspector General for Tax Administration released a <a href="https://www.tigta.gov/sites/default/files/reports/2023-08/2023ier007fr.pdf" target="_blank" rel="noopener">report</a> last week finding that the IRS was not “adequately” safeguarding tax information when shipping it to and from processing centers. The watchdog found that the IRS can&#8217;t locate records that were supposed to be transferred from a facility in California to Kansas City, Missouri, and the agency is also missing thousands more records that were stored in Utah.
“Our review identified that the IRS is not adhering to its own internal guidelines when sending large volumes of sensitive taxpayer information to and from its Tax Processing Centers,” the watchdog report said, adding, “As a result, the IRS is unable to identify, notify, and/or offer protection to taxpayers when sensitive tax information is lost in the mail and at risk for potential identity theft.”
The watchdog said it found seven empty boxes that should have contained around 170 microfilm cartridges at a facility in Ogden, Utah, POLITICO <a href="https://www.politico.com/news/2023/08/10/watchdog-irs-tax-records-00110637" target="_blank" rel="noopener">reported</a>. The cartridges hold up to 2,000 images each, and IRS employees at the facility did not know where they were. The report added that tax records from the 2010 fiscal year were supposed to be transferred from a facility in Fresno, California, to an IRS processing center in Kansas City after the California facility shut down — but the IRS couldn&#8217;t locate those records either. 
“The lack of documentation identifying the specific taxpayers whose tax information is included in a lost package has impacted the IRS’s ability to notify and protect taxpayers,” the report added.
The IRS blamed underfunding for the problem, claiming that it has been forced to place employees responsible for inventories in other jobs, according to POLITICO. The IRS said it is “confident that as the backlog of non-tax documents is processed, the remaining cartridges will be incorporated.”
President Joe Biden’s Inflation Reduction Act passed last year included $80 billion in new funding for the IRS for the next ten years, allowing it to hire additional agents. The additional funding for the IRS was broken into four categories: enforcement, operations support, business system modernization, and taxpayer services, <a href="https://taxfoundation.org/blog/irs-funding-plan-inflation-reduction-act/" target="_blank" rel="noopener">according</a> to the Tax Foundation. The IRS <a href="https://www.irs.gov/pub/irs-pdf/p3744.pdf" target="_blank" rel="noopener">said</a> some of the new funding would specifically go toward “cutting-edge technology, data, and analytics to operate more effectively.” 
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Republicans on Capitol Hill have criticized the IRS for multiple instances of alleged mishandling of sensitive tax information. In 2021, the IRS destroyed 30 million paper tax returns, which “horrified” tax experts. GOP lawmakers also questioned the agency after ProPublica published an expose that included information from thousands of tax returns from wealthy Americans.

IRS Lost Millions Of Sensitive Taxpayer Records: Watchdog

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