Lawsuit Alleges IRS Concealed Records on ‘Race-Based Tax Audits’
In a recent development, America First Legal (AFL), a conservative legal group founded by Stephen Miller, a former aide to President Donald Trump, has filed a lawsuit against the Internal Revenue Service (IRS) and the U.S. Treasury Department. The lawsuit alleges that the agencies have unlawfully concealed records pertaining to the Biden administration’s plans for race-based tax audits. AFL filed the lawsuit in the U.S. District Court for the District of Columbia to demand compliance with a Freedom of Information Act (FOIA) request that was opened in February.
According to AFL, both the IRS and the Treasury Department have refused to comply with the request and hand over the requested records. AFL accuses the agencies of concealing information and aims to expose the truth, protect the rule of law, and prevent federal tax enforcement from becoming a weapon in the ongoing war against the Constitution and equal rights for all Americans.
The complaint and FOIA request filed by AFL highlight instances where the IRS and Treasury have advanced race-based policies. It references a Treasury advisory board’s recommendation to report on changes implemented to correct disparities in tax audits by March 2024. IRS Commissioner Danny Werfel also mentioned several changes aimed at reducing racial disparities in tax audits. The complaint suggests that the Biden administration is examining the tax system through a racial equity lens.
AFL points to a 2023 executive order by President Biden titled “Further Advancing Racial Equity and Support for Underserved Communities Through the Federal Government.” The order aims to prevent and remedy discrimination, including protecting the public from algorithmic discrimination. AFL claims that despite Congress’s prohibition on the IRS directly collecting taxpayer race and ethnicity data, the agency has worked with other departments to obtain such data.
The lawsuit suggests that the Biden administration wants to alter the IRS’s audit algorithms to target taxpayers based on their race. It raises concerns about the potential influence of the executive order on the IRS’s National Research Program, which randomly selects tax returns for audits.
While the IRS has focused its public announcements on increasing audits targeting wealthy Americans who haven’t filed their tax returns since 2017, it has not mentioned race or ethnicity in that context. IRS Commissioner Werfel emphasized the importance of people fulfilling their civic duty by filing their taxes.
In February, the IRS announced plans to conduct audits on businesses’ private jets and how they are used personally by executives. The agency also reported collecting half a billion dollars in overdue taxes from delinquent millionaires earlier this year.
AFL’s Michael Ding stated that the Biden administration changed tax audit policies to advance its equity agenda, and now its allies are pushing for further changes. He emphasized that no American should worry about being audited based on their race.
As of now, neither the IRS nor the Treasury Department has responded to the lawsuit. The Epoch Times reached out to the Treasury Department for comment but received no response.
In conclusion, America First Legal’s lawsuit against the IRS and Treasury Department alleges that the agencies have concealed records related to race-based tax audits. The lawsuit raises concerns about the Biden administration’s focus on racial equity and its potential impact on tax enforcement. As the lawsuit unfolds, it remains to be seen how the agencies will respond and what information will be revealed.
