IRS Misplaces 2,300 Computers

by Mike Godfrey, Tax-News.com, Washington

11 January 2002

The US Internal Revenue Service has been slammed by Senate Finance Committee member, Chuck Grassley, for losing 2,300 laptop computers and 6 firearms.

Senator Grassley, who requested a Treasury Inspector General for Tax Administration (TIGTA) report into IRS inventory, condemned the findings as 'shocking', and in a letter to the Federal Office of Management and Budget, wrote that the loss of the computers: 'highlights for me what I believe is the trend at the IRS: historical poor management of money and personnel that justifies the administration scrutinizing the recent unquestioned budget increases given to the IRS year-in and year-out.'

He also pointed to the possible release of confidential taxpayer information as a serious concern, observing that: 'Because of the lack of information it is unknown to what extent,if any, taxpayer information may be inappropriately released.'

However, the IRS have denied that any confidential information has been compromised, putting the 'loss' of the computers down to accounting errors. Speaking to US news organisation, NewsFactor, IRS spokeswoman Nancy Mathis explained: 'We think most are just accounting issues. We think we'll eventually account for almost all of them.'

However, the question posed by Senator Grassley in his letter remains- famed as one of the most vicious and tenacious tax authorities in the world, would the IRS accept such a non-answer from a deliquent taxpayer?

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