Tom Hebert

Sen. Klobuchar's "Aggressive" Antitrust Plot Crushes American Innovation

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Posted by Katie McAuliffe, Tom Hebert on Thursday, January 28th, 2021, 1:59 PM PERMALINK

Yesterday, Senator Amy Klobuchar (D-Minn.) praised the Department of Justice and the States Attorneys General for the Antitrust cases that they have brought against so-called “Big Tech” companies. 

However, Klobuchar does not want to let the Federal Trade Commission, DOJ and State AGs do their jobs and due diligence in the courts. Rather, Klobuchar wants to take this moment to increase political power over favored and disfavored companies by changing antitrust law.

Klobuchar calls for “aggressive and effective” antitrust enforcers, which means that she wants the FTC and DOJ staffed with bureaucrats armed and ready to carry out her interventionist, anticompetitive antitrust vision. 

Klobuchar said multiple times that the courts would be too slow to achieve her objectives of breaking up successful American companies that the left dislikes. She wants to use legislation to nullify the basic, longstanding principle of antitrust law that the consumer's welfare comes first.

Instead of focusing on harm to consumers and protecting the competitive process, Klobuchar would reorient antitrust law to make the size of any company the enemy. Big companies, no matter how much they benefit consumers or compete fairly with rival firms, would be in Klobuchar’s crosshairs. 

Klobuchar’s plan is to harness Republican anger at certain Tech companies over limitations on speech and de-platforming of individuals and services to create broad, sweeping legislation that would reshape the entire economy and affect more than the technology sector. She has publicly stated that this will be a stepping stone to regulate other industries as well such as pharmaceuticals, retail, agriculture and manufacturing.

Rather than focusing on benefits to Americans such as solving food deserts, increasing transportation opportunities, enhancing logistics, lowering prices, safe delivery of essential items during COVID, increasing access to services, developing a COVID vaccine in record time, and increasing access to flexible job opportunities; she repeatedly puts the emphasis on protecting competitors regardless of their objective success in the marketplace. 

The consumer welfare standard, which maximizes consumer benefits instead of protecting individual competitors in the market, has undergirded antitrust law for over four decades. Antitrust law under the consumer welfare standard is designed to benefit consumers and strengthen the competitive process, not to protect individual companies from being out-competed by other firms. 

The consumer welfare standard’s objective rule-of-law approach to antitrust enforcement ensures a level playing field for American companies and a robust competitive process with limited political involvement. 

Klobuchar’s radical approach to antitrust would reshape the American economy, discourage American innovation, and harm our competitive advantage on the world stage. 

Photo Credit: Gage Skidmore


ATR Opposes The Raise the Wage Act

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Posted by Tom Hebert on Tuesday, January 26th, 2021, 3:00 PM PERMALINK

Democrats have reintroduced the “Raise the Wage Act,” legislation that would raise the federal minimum wage to $15/hour by 2025, more than doubling the current wage of $7.25/hour. 

If implemented, this legislation would eliminate millions of jobs, kill thousands of small businesses, and worsen the economic damage that COVID-19 has inflicted on the American economy. ATR opposes this legislation and urges Congress to reject the Raise the Wage Act. 

While a $15 federal minimum wage would be a disaster in normal times, the impact during a global pandemic would be another slap in the face to businesses all across the country. Small businesses with thin margins would be forced to raise prices which will inevitably drive consumers elsewhere, leading to further losses of revenue and layoffs. Businesses that temporarily closed during the pandemic may not reopen in the face of a $15 minimum wage. 

American workers would continue to lose their jobs if the Raise the Wage Act becomes law. In 2019, the nonpartisan Congressional Budget Office estimated that a nationwide $15 minimum wage would cost at least 1.3 million American jobs, and could cost as many as 3.7 million at the high end. 

A $15 minimum wage would especially harm low-skilled, younger, less educated workers. A recent literature review from the National Bureau of Economic Research analyzed minimum wage studies and found that the preponderance of evidence suggests that a higher minimum wage has a negative effect on low-skill employment. 

The authors of the review are clear as crystal: "....minimum wages reduce low-skilled employment. It is incumbent on anyone arguing that research supports the opposite conclusion to explain why most of the studies are wrong."  

The Raise the Wage Act also ends the tipped minimum wage, an absurd proposal considering 10,000 restaurants have closed their doors in the last three months alone. Imposing a 600 percent minimum wage increase on an already struggling industry in the middle a recession would only lead to more closures. If the left is successful, one in three tipped workers could lose their job. 

Government-mandated lockdowns in response to the pandemic have caused immense damage to the economy. Over 60 percent of business closures during the pandemic are now permanent. Nancy Pelosi’s $600-per-week unemployment payments discouraged Americans from going back to work, as 68 percent of Americans got paid more on unemployment than in the workplace. A drastic minimum wage hike would only make this bleak situation worse. 

Ultimately, raising the wage to $15/hour would harm businesses and workers all across the country and exacerbate the economic damage caused by COVID-19. Congress should reject the Raise the Wage Act.

Photo Credit: Shelly Provost


Biden Pick Marty Walsh is Big Labor’s Top Choice To Lead DOL

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Posted by Tom Hebert on Monday, January 18th, 2021, 3:35 PM PERMALINK

President-elect Joe Biden has chosen Boston Mayor Marty Walsh to run the Department of Labor (DOL). As the first union member set to lead DOL in nearly 50 years, Walsh is the latest confirmation that the Biden administration will be a wholly-owned subsidiary of union bosses and Big Labor. 

Throughout his campaign, Biden pledged to deliver for Big Labor’s anti-freelancer and anti-worker freedom priorities. On the day before the presidential election, Biden promised a group of union workers in Pennsylvania that he’d be the “most pro-union president you’ve ever seen.” 

Biden’s pick has been praised by AFL-CIO union boss Richard Trumka, who said that Walsh “...will be an exceptional labor secretary for the same reason he was an outstanding mayor: he carried the tools. As a longtime union member, Walsh knows that collective bargaining is essential...”

Biden has even promised to bring Trumka with him in the Oval Office, saying “if I’m in the Oval Office, guess who’s going to be there with me? Unions, labor, you. Rich, the bad news for you is there’s no getting away from me...because I’ll be coming for you.”

Installing one of Trumka’s top allies at DOL to execute Big Labor’s agenda would be the perfect way to achieve Biden’s promise. 

Biden has repeatedly endorsed the job-killing PRO Act, which would ban Right to Work Laws that protect 166 million workers in 27 states, more than half the U.S. population. Right to Work laws allow workers the freedom of employment without forced membership in a union or forced payment to a union boss.

Biden has explicitly called for the end of Right to Work, saying: "We should change the federal law [so] that there is no Right to Work allowed anywhere in the country. For real. Not a joke. Not a joke."

Biden’s real motivation for invalidating Right to Work laws is simple enough – Big Labor is one of Biden’s biggest backers, and unions have collectively spent hundreds of millions of dollars to get Biden elected. Forcing American workers to pay union dues that almost uniformly support Democrat candidates, whether they want to or not, is a clear return on that investment.  

The PRO Act would also dismantle the gig economy by implementing California’s “ABC” test to determine whether or not a worker is an employee or an independent contractor. The ABC test, codified under California’s disastrous AB5 law, makes it harder for employers to hire independent contractors but easier for unions to unionize workers. 

Thanks to AB5, countless freelancers and independent contractors have fled California to participate in the gig economy in other states. 

ATR has collected 655 testimonials from Californians that detail how AB5 has pummeled freelancers and independent contractors. For example:

"I lost the career and relationship I was building with a content writing company." [Link]

"AB5 is why I had to pack my very ill husband with stage 4 cancer and autistic son and leave the state. There is no way I can take care of our family and work a 'traditional' type job." [Link]

"I'm a certified court interpreter. I've been very happily freelancing for 15 years. I can choose which agencies to work with, and work as much or as little as I want to spend time with my 3-year-old. AB5 is destroying my wonderful work/life combo." [Link]

If the PRO Act is implemented, expect these sad stories to come from all fifty states. 

While Walsh may not yet be a household name, the radical agenda he and Biden supports has been crushing worker freedom and independent contractors for years. If Walsh is confirmed, workers will be once again forced to join unions and pay union dues whether they want to or not, and freelancers all across the country will see their livelihoods destroyed with the stroke of a pen. 

The Senate should reject Walsh’s nomination.

Photo Credit: Matt Bargar


Biden's $15 Minimum Wage Could Kill 3.7 Million American Jobs

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Posted by Tom Hebert on Friday, January 15th, 2021, 11:30 AM PERMALINK

President-elect Joe Biden has announced a $1.9 trillion COVID relief plan, a liberal wishlist of wasteful spending proposals that would do little to fight the pandemic and could prolong the economic downturn. 

Notably, the Biden plan pushes a $15 minimum wage, a harmful proposal that could kill as many as 3.7 million American jobs and has failed on the state level time and time again. 

Biden’s $15 minimum wage would substantially raise the cost of labor at a time when businesses are already struggling to pay their employees and keep the lights on. Small businesses with thin margins will be forced to pass the costs on to consumers that will inevitably take their business elsewhere, leading to a further loss of revenue and layoffs. Businesses that have been shuttered temporarily may decide not to reopen at all in the face of a $15 minimum wage. 

While this drastic increase in labor costs would be a bad idea in normal times, the impact would be even worse during a pandemic that has ravaged American small businesses. Yelp data shows that 60 percent of business closures from the pandemic are now permanent. 

Government policies are directly responsible for inflicting much of this economic damage. Government-mandated lockdowns forced hundreds of thousands of businesses to close their doors and kicked millions of Americans out of work. In areas where some businesses were allowed to reopen under onerous government restrictions, Nancy Pelosi’s $600-per-week unemployment expansion discouraged Americans from going back to work, as 68 percent of Americans got paid more on unemployment than in the workplace. 

A $15 minimum wage would lead to further job losses for Americans. In 2019, the nonpartisan Congressional Budget Office estimated that a nationwide $15 minimum wage would cost at least 1.3 million American jobs, and could cost as many as 3.7 million at the high end. Another study shows that a $15 minimum wage would disproportionately impact women and shut out young, low-skilled workers attempting to enter the workforce for the first time. 

The Biden plan also ends the tipped minimum wage, an absurd proposal considering 10,000 restaurants have closed their doors in the last three months alone. Imposing a 600 percent minimum wage increase on an already struggling industry in the middle a recession would only lead to more closures. If Biden is successful, one in three tipped workers would lose their job. 

A $15 minimum wage has repeatedly failed at the state level. When Seattle implemented a $15 minimum wage, thousands of jobs were lost, while other workers saw a reduction in hours worked. New York City’s minimum wage increase forced 75 percent of restaurants to cut employee hours, and nearly 50 percent to eliminate jobs entirely. 

Ultimately, Biden’s plan to raise the minimum wage to $15 an hour will kill millions of American jobs and cause thousands of additional small businesses to permanently close their doors. This is the last thing American workers and small businesses need as the economy attempts to recover from the COVID-19 pandemic. Congress should reject this harmful proposal wherever it appears.

Photo Credit: jlhervás


ATR Applauds DOL Final Rule Clarifying Independent Contractor Status

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Posted by Tom Hebert on Thursday, January 7th, 2021, 5:00 PM PERMALINK

The U.S. Department of Labor has released a final rule clarifying the difference between an independent contractor and a traditional employee under the Fair Standards Labor Act (FSLA). After implementation, this rule will protect freelancers by providing much-needed clarity and flexibility for American workers and businesses alike.

“This rule brings long-needed clarity for American workers and employers,” said U.S. Secretary of Labor Eugene Scalia. “Sharpening the test to determine who is an independent contractor under the Fair Labor Standards Act makes it easier to identify employees covered by the Act, while recognizing and respecting the entrepreneurial spirit of workers who choose to pursue the freedom associated with being an independent contractor.”

The rule includes several criteria designed to clarify whether or not a worker has independent contractor status. First, the rule contains an “economic reality” test to determine whether an individual works for himself or herself (as an independent contractor) or an employer (as an employee). 

Next, the rule identifies two “core factors” that help determine an individual’s status as an independent contractor or employee. The first is the nature and degree of control that the individual has over the work itself, such as the ability to set a schedule, choose assignments, or work with little or no supervision. The second is the opportunity for profit or loss based on the individual’s investment or initiative. 

In situations where the two core factors do not point to the same worker classification, the rule contains three additional guidelines to help determine an individual’s status, which are:

  • The amount of skill required to do the work 

  • The depth of working relationship between the individual and potential employer

  • Whether or not the work is part of an “integrated unit of production,” i.e. if an individual works in a situation roughly equivalent to a production line. 

By clarifying the tests that determine whether or not an individual is an independent contractor or employee, this rule will simplify compliance for American businesses, reduce worker misclassification, and increase flexibility for American workers. ATR supports this rule.

Photo Credit: The White House


Norquist Discusses Biden Tax Hikes, Pelosi's $3T Spending Defeat on "Mornings with Maria"

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Posted by Tom Hebert on Wednesday, December 23rd, 2020, 1:39 PM PERMALINK

ATR president Grover Norquist this morning appeared on Maria Bartiromo’s Mornings with Maria on Fox Business. 

Norquist discussed the new Coronavirus bill, the prospect of re-opening negotiations on the end of year package, Biden’s tax hikes, and the threat of Biden weaponizing the IRS on conservative groups. 

On Republicans stopping the Pelosi $3 trillion spending plan:

“The big win was...we did not get stuck paying the bill for corrupt cities and failed governors. There is not the bailout for New York City, San Francisco, and Illinois. The Republicans in the Senate, under Mitch McConnell, stopped that from happening. That was a big, big, win. They also took the $3.3 trillion that Nancy Pelosi wanted and took it down dramatically. There are tax cuts in what passed. The Trump people have gotten rid of six of Obamacare’s taxes that hit the middle class. The one they got rid of in this particular package was one that ten million families were hit with higher taxes because Obama made it more difficult, under Obamacare, to deduct very high healthcare costs...that will not happen again because of this bill. There are a series of good tax cuts, a number of tax cuts were made permanent. On the spending, it was a fraction of what Nancy Pelosi wanted.” 

On re-opening the end of year package:

“We got better than one could possibly imagine given that Nancy Pelosi had the veto… Re-opening this package doesn’t mean it’s going to get better. Democrats still have the House of Representatives, they can stop anything they want to. The President is now saying ‘I’m not happy with all this spending.’ I’m not either. ” 

On Biden’s tax hikes:

“Looking forward to Biden, he wants to double the capital gains tax...he wants to have a carbon tax, an energy tax on all Americans, which of course hits the middle class. He wants to hit those 5 million Americans who were damaged by the Obamacare penalty tax – he wants to bring that back, Trump brought it to zero. I think Trump should look at the successes he’s had and talk about those, because Biden threatens them all." 

On if Biden will weaponize the IRS against conservative groups: 

“Sadly, yes...During Obama, they killed the Tea Party movement by not letting them incorporate...which is what normal political movements do. That’s why the Tea Party movement fragmented, it was destroyed by the IRS as a political movement. Yes sadly, but if they can’t change laws, the damage that Biden would do is temporary.”

Photo Credit: Gage Skidmore


Dem Congressman Vows Blacklist of New Yorkers That Oppose Blue State Tax Subsidy

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Posted by Tom Hebert on Tuesday, December 15th, 2020, 2:27 PM PERMALINK

Congressman Tom Suozzi (D-N.Y.) has announced that he will publish a blacklist of New Yorkers that he believes has betrayed the state by donating candidates that support the Tax Cuts and Jobs Act’s (TCJA) cap on state and local tax deductions. 

Suozzi’s list will contain the names of businesses and individuals that oppose repealing the TCJA’s $10,000 cap on state and local tax (SALT) deductions. Republican lawmakers largely support the cap, so Suozzi’s list would presumably include any New Yorker who has donated to almost any Republican candidate or member of Congress. 

Make no mistake about it – Suozzi’s list is nothing more than an attempt to name and shame New Yorkers that oppose a tax deduction that overwhelmingly benefits high-tax blue states and does little to nothing for middle class families across the country.

“No New Yorker should contribute to a politician who is undermining our state,” Suozzi said in a blatant attempt to intimidate New Yorkers who are not on board with his scheme. “They are funding our own demise.” 

This is yet another escalation of rhetoric against conservatives from the left. New York Governor Andrew Cuomo previously said that the cap amounted to an “economic civil war."

In reality, blue state lawmakers like Suozzi and Cuomo who have consistently pushed for higher taxes on their constituents are the problem, not lawmakers who support a cap on SALT deductions. 

Before the TCJA, taxpayers could deduct an unlimited amount of state and local taxes from their federal tax returns. This created a two-tiered system that overwhelmingly benefited high-tax blue states. Most Americans claimed $0 in state and local taxes because they took the standard deduction. 

This system created a de facto subsidy for blue states, allowing state lawmakers to raise taxes on their constituents while relying on the unlimited SALT deduction to hide the true cost of the tax hikes. While liberals like Suozzi claim that the cap on SALT deduction amounts to “double taxation,” they ignore the fact that the fiscal strain on their constituents comes from unnecessarily high state and local taxes, not the SALT cap. 

An unlimited SALT cap would be a windfall for the high-tax blue states. A recent report from the nonpartisan Joint Committee on Taxation shows that repealing the SALT cap entirely would cut $40 billion in taxes for millionaires. In total, 94 percent of the tax breaks generated from ending the cap would be enjoyed by taxpayers making more than $200,000 a year. 

The debate over the cap on SALT deductions isn’t even a left versus right issue. Former Obama Council of Economic Advisers Chairman Jason Furman called repealing the cap a “complete waste of money.” Left-wing groups like the Center for American Progress and the Tax Policy Center have also come out against repealing the cap on the grounds that it mainly benefits the wealthy. 

Suozzi is naming and shaming those that disagree with him in an attempt to hide the true cost of tax hikes in blue states like New York. This absurd attempt at electoral intimidation should not go unnoticed by Suozzi’s constituents or taxpayers across the nation.

Photo Credit: longislandwins


Potential COVID-19 Package Should Not Contain Bailouts Or Expanded Unemployment Payments

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Posted by Tom Hebert on Thursday, December 3rd, 2020, 2:45 PM PERMALINK

Lawmakers are in the process of negotiating the details of a new Coronavirus relief package. 

While an agreement has not yet been reached, a recent $908 billion framework released by lawmakers in both parties contains two concerning provisions that should be removed from the final bill. 

First, the current package contains $160 billion in bailout cash for state and local governments. Lawmakers should not use this crisis as an excuse to bail states out for past mistakes unrelated to the pandemic. 

Congress has already provided funding for states and localities to be reimbursed for pandemic-related expenses. The CARES Act created the Coronavirus Relief Fund (CRF), a $150 billion fund to help state and local governments with unplanned pandemic-related expenses like testing, acquiring and distributing personal protective equipment, and payroll expenses for first responders and other essential employees.

Blue state lawmakers want to use new bailout money to shore up their mismanaged pension systems. In 2017, the state pension gap was $1.28 trillion. This means that states would need $1.28 trillion just for their pension systems to break even.

Federal bailouts in times of crisis have historically led to expansions in state spending, creating a moral hazard and disincentivizing decision-makers from being prudent stewards of taxpayer resources. Following a $20 billion federal bailout for state budgets after a market downturn in 2003, state spending rose by 33 percent in the subsequent five years and state debts increased by 20 percent in the following four years.

Second, the framework provides $300-per-week in additional unemployment payments through March. These payments are on top of regular unemployment compensation that displaced workers receive from states. 

Expanding unemployment payments have historically kept Americans out of work. On the heels of the Great Recession, Congress and President Obama expanded unemployment several times, eventually topping out at 99 weeks of payments. 

Analysts from the New York Federal Reserve estimated that the unemployment rate would have been 2.2 percentage points lower in 2011 and 3 percentage points lower in 2010 if Obama’s benefit expansion did not exist. This means that the disincentive to work the benefit expansion created kept approximately 4 million Americans out of a job during the slowest economic recovery in modern history.

Democrats are pushing to revive the Pelosi temporary $600-per-week federal pandemic unemployment compensation (FPUC) benefit. Before the FPUC expired in July, it created a situation in which 68 percent of Americans got paid more on unemployment than in the workplace. 

The subsidy of welfare over work will have lasting impacts on the economy that will only worsen if brought back, either at the $300 or $600 level. A recent study conducted by the Heritage Foundation found that the FPUC will reduce GDP by between $955 billion and $1.49 trillion. 

While workers who have been displaced by the pandemic deserve a safety net, expanding these payments will endanger our economic recovery and discourage Americans from safely reentering the workforce. 

Even if lawmakers reach an agreement in this lame duck session, President-elect Joe Biden has said that  “any package passed in a lame-duck session is lucky to be at best just a start.” If lawmakers fail to hold the line now on wasteful spending, it will empower Democrats to spend trillions of dollars more in 2021. 

As lawmakers continue to hash out the details of a potential new Coronavirus relief package, they should remove the $160 billion in bailout cash and $300-per-week in expanded unemployment payments from the final bill.

Photo Credit: Tim Rawle


Georgia Families and Small Businesses Will Face 55% Top Tax Rate Under Ossoff and Warnock

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Posted by Tom Hebert on Thursday, December 3rd, 2020, 10:45 AM PERMALINK

If Democrat Senate candidates Raphael Warnock and Jon Ossoff win their runoff elections on January 5th 2021, they will rubber stamp the Biden-Harris agenda to raise taxes on families and businesses in Georgia and across the country. 

Biden has promised to impose $4 trillion in new or higher taxes on the American people. 

Under this plan, Georgia families and individuals will face a top tax rate of 55.09 percent. Georgia small businesses that operate as pass-through entities and pay taxes through the individual code would also face this new top rate. 

The breakdown is below: 

                                    Biden top federal rate:   39.6 percent 

                                    Georgia top rate:            5.75 percent 

                                    Medicare payroll tax:     1.45 percent 

                        Biden new payroll tax:                 6.2 percent

                                    Pease limitation:           1.188 percent

                        Additional Medicare tax:               .9 percent

                                                                        -------------------

                                                                          55.09 percent

Biden would repeal the Republican Tax Cuts and Jobs Act (TCJA), which would raise the top marginal tax rate to 39.6 percent. A typical family of four with annual income of $73,000 will see a $2,000 tax hike. 

Biden has also proposed implementing a new, 12.4 percent payroll tax on Americans earning above $400,000. This tax would be split evenly between employers and employees, resulting in a 6.2 percent tax hike on Americans. This new tax would not be indexed to inflation, meaning it would eventually hit all Americans. 

Additionally, Biden would restore the Pease limitation, a provision that limits a filer’s itemized deduction by 3% of the amount that the filer’s AGI exceeds a certain threshold. The limitation can strip away up to 80% of the value of a taxpayer’s itemized deductions, an effective additional 1.188 percent tax when the top marginal rate is 39.6 percent. Biden would also cap itemized deductions at 28 percent. 

While Ossoff and Warnock would support these tax increases on Georgians, Republican Senators Kelly Loeffler and David Perdue will hold firm against the Biden plan of higher taxes on families and businesses.

Photo Credit: John Ramspott


House Democrats Want $12.1 Billion To Revive Obama-Era IRS

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Posted by Tom Hebert on Wednesday, December 2nd, 2020, 12:30 PM PERMALINK

House Democrats are demanding increased IRS funding. In a letter to Congressional leadership, two dozen Democrats called for $12.1 billion in funding for the IRS including $5.2 billion for “enforcement activities.”

The Democrats argued that strong enforcement actions should be a “priority” for Congress, a goal shared by the incoming Biden administration.

According to Biden Council of Economic Advisers member Jared Bernstein, Biden will seek “significant increases in IRS enforcement and auditing.” This could lead to a return to the era of the Obama IRS which wrongly used its authority to target and harass taxpayers, especially conservative non-profits.

Most notably, the Obama IRS was caught unfairly denying conservative groups non-profit status ahead of the 2012 election. 

According to a Senate Finance Committee report, the process set up by IRS employee Lois Lerner resulted in only one conservative group being granted non-profit status over a three year period.

This was no coincidence. As the report noted, this delay was a result of Lerner’s personal political views:

“...directly resulted in disparate treatment for applicants affiliated with Tea Party and other conservative causes… Lerner showed little concern for conservative applicants, even when members of Congress inquired on their behalf, allowing them to languish in the IRS bureaucracy for as long as two years with little or no action.”

Not only did the IRS allow this to occur but they also allowed evidence to be destroyed. According to documentation released by the House Oversight Committee, backup tapes containing as many as 24,000 Lois Lerner emails were destroyed by an IRS entity officially known as the “Media Management Midnight Unit” located in Martinsburg, West Virginia. These tapes were destroyed via powerful magnets a month after top IRS officials learned that there were gaps in the Lerner email production. 

While this was one of the worst cases of misusing taxpayer dollars, the Obama IRS routinely misused federal funds and failed to do its job.

According to a Treasury Inspector General for Tax Administration (TIGTA) report, the IRS rehired more than 200 employees who were previously employed by the agency, but fired for previous conduct or performance issues between January 2015 and March 2016.

The agency routinely released this private information in FOIA requests where it should have been redacted, lost track of over 1,000 laptops containing sensitive taxpayer information, and destroyed laptops containing similar information. 

The IRS failed to screen 2.2 million tax returns for possible ID theft and illegally gave 57 contracts valued at $18.8 million to 17 corporations, who had outstanding tax debt or a felony conviction.  

Clearly, the agency displayed a clear record of politicization and incompetence.

Ultimately, the House Democrat request for increased IRS funding for “enforcement” is only the tip of the iceberg. Unfortunately for the American taxpayer, Biden is set to bring back all of the incompetence and corruption of the Obama IRS.

Photo Credit: Gage Skidmore


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