The Internal Revenue Service (IRS) boosted taxpayer services through Democrats’ Inflation Reduction Act but still faces processing claims from a coronavirus (COVID-19) pandemic-era tax credit program and is slow to resolve certain identity theft cases, according to an independent watchdog report released Wednesday.
"For the first time since I became the National Taxpayer Advocate in 2020, I can begin this report with good news: The taxpayer experience has noticeably improved," Erin Collins wrote in her 2024 annual report to Congress.
She said "the IRS has made major strides" with the help of the billions of dollars in multiyear funding, though she notes that the "IRS service remains far from perfect."
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