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CBS News
26-06-2025
- Business
- CBS News
Duckworth, other congressional lawmakers want answers from IRS on bills being sent for taxes paid
Congressional lawmakers are calling out the IRS for notices the agency sent out telling taxpayers they didn't pay their taxes — even though those taxpayers did, in fact, do so. CBS News Chicago has reported on this problem, and it turns out we are not the only ones having a hard time getting answers from the IRS. U.S. Sens. Tammy Duckworth and Dick Durbin (D-Illinois) said their offices are also both dealing with delays in responses from the IRS about the issue. Duckworth said cuts made by the Department of Government Efficiency, or DOGE, are to blame. "We are trying to get answers out of the IRS," said Duckworth. Duckworth spoke on behalf of the people from whom CBS News Chicago has been hearing for weeks — from Illinois and across the country — with taxpayers getting bills from the IRS for taxes already paid. For one example, South Dakota couple Laura and Dustin Floyd paid $18,000 on the 2025 tax deadline, so when they got another bill this month for the same amount, even though the money had been taken out of their account in April, they were confused. "It was near-on a panic attack. It was terrifying. I'm still shaky just thinking about it," Laura Floyd said. "You did everything right, you played by the rules, and they come after you saying they lost your money? That you owe the money again? And also you owe fees? That makes for a rough day." Those people then dealt with a runaround when they tried to get a hold of the IRS to fix the problem. "Frankly, it's unacceptable that Illinoisans are receiving erroneous notices that their tax payments are late because of IRS delays," Duckworth said. CBS News Chicago has reported that staffing at the IRS appears to be a part of the problem. The IRS has refused to address CBS News Chicago's questions about job cuts for weeks. But a newly released report by the Taxpayer Advocate Service, or TAS, is revealing — details that 22%, or 9,000, employees who help taxpayers have been cut so far this year. A total of 26%, or around 26,000, are gone agency-wide at the IRS just since January. Duckworth, again, pointed at DOGE. "This is what happens when Elon Musk comes in and fires a bunch of people without looking to see what job they were doing and how vital it is," she said. A smaller staff means longer wait times. The TAS report shows a backlog of nearly 3.5 million individual tax returns — and also reveals an internal issue that could explain why those notices were mailed out in the first place. It turns out the IRS has 60 separate case management systems that do not communicate with each other. "We are going to see the IRS fall further and further behind, and that's not something we can afford as a nation," Duckworth said. This is why Duckworth is sending a letter to newly confirmed IRS commissioner William Long — demanding answers and calling out agency failures. The letter cites CBS News Chicago's reporting. It is signed by Durbin and 12 Democratic Illinois U.S. representatives — Jonathan Jackson, Robin Kelly, Danny Davis, Bill Foster, Jesús "Chuy" García, Delia Ramirez, Raja Krishnamoorthi, Sean Casten, Mike Quigley, Eric Sorensen, Brad Schneider, and Nikki Budzinski. "We're going to push as hard as we can, and we are going to stay on top of this," Duckworth said. CBS News Chicago has been reaching out to the IRS with direct questions and requests for weeks. a spokesperson admitted to processing delays, and said taxpayers should reach out if they don't see payments processed by July 15. The IRS referred questions on staffing to the office National Taxpayer Advocate Erin M. Collins, noting also that the office has issued its mid-year report to Congress. The IRS released this statement: "Processing tax payments is a top priority for the IRS. IRS is timely negotiating checks and payments with financial institutions. There is a delay in processing payments that need additional handling to ensure they post to the taxpayers account correctly. Taxpayers may monitor the status of their payments by viewing the payments activity page in their IRS online account where they will be able to view their payment history as well as pending payments that are being processed. If a taxpayer has checked their online account and does not see the payment processed by July 15th, they may call the number on their notice." There was still no information late Thursday on why the agency hasn't addressed
CBS News
04-06-2025
- Business
- CBS News
IRS electronic payment system delays mean some taxpayers are getting bills for taxes already paid
Some taxpayers who paid their taxes by the April 15 deadlines are getting notices telling them they still owe money, all because of delays with the IRS electronic payment system. Some of the people impacted have also said they've found it impossible to get through to the IRS for help. South Dakota couple Laura and Dustin Floyd paid $18,000 on the 2025 tax deadline, so when they got another bill this week for the same amount, even though the money had been taken out of their account in April, they were confused. "It was near on a panic attack," Laura Floyd said. "It was terrifying. I'm still shaky just thinking about it." The Floyd reached out to CBS News Chicago after seeing a report Tuesday about the IRS notices. "I discovered your story. You were the only ones talking about it," Dustin Floyd said. An IRS agent told a CBS News Chicago producer, who is also impacted by the mistake, that their electronic payment system is experiencing delays in processing money sent in by April 15. They said they should be caught up by June 29 and assured us that penalties and interest would be erased. But why isn't this information being shared directly online? "There really hasn't been any transparency on the issue, no," Dustin Floyd said. The Floyds said it's now impossible to get through over the phone; they said they were on hole for two hours Tuesday only to hear their calls get disconnected. "I called again this morning. Went through the menu options again and the answer this time was 'We're sorry, due to extremely high call volume on the topic you've requested we cannot take your call at this time. Goodbye,'" Laura Floyd said. A Treasury Inspector General for Tax Inspection report published in May reveals that more than 11,000 IRS workers were fired or accepted deferred resignation through March, comprising about 11% of the staff. About 7,000 of those workers were probationary, some of whom may be back on the job by now. CBS News Chicago reached out for clarification and to ask what's going on with the electronic payment system. After two days of emails and phone calls, the IRS said they are working on answers but probably won't have anything Wednesday.
