IRS Gets More Budget Flexibility Alongside Steep Cuts: BGOV Tax

IRS Gets Boosted Budget Transfer Authority

Congress’ cuts to the IRS this week came with a silver lining for its leadership: an ability to shift funding around to stave off cliffs.

The latest change to discretionary spending law locked in the IRS’s budget for the rest of the fiscal year, preventing a long shutdown during tax filing season at the expense of multi-billion-dollar cuts to its long-term mandatory spending.

The same law expanded the tax collection agency’s ability to transfer money between its various funding streams. That allows the IRS to reprogram 5% of the billions set aside for modernization ...