IRS Commissioner Admits Massive Remote Working to Rep. Estes

WASHINGTON – Today during a Ways and Means hearing, IRS Commissioner Daniel Werfel admitted that staffing at the IRS is about 50% in-person and 50% remote after Rep. Estes questioned him about issues with the Information Return Intake System (IRIS), lack of customer service and staffing levels following the end of COVID-19.

Talking about a recent issue faced by Lubbers Cars in Cheney, Rep. Estes said, "The Lubbers controller called the IRIS help desk multiple times and couldn’t get through. You said earlier you’ve hired 5,000 new call agents to help with that." He then asked, "Have all IRS mployees returned to the office for five-day workweeks since COVID? I know the GAO issued a report this fall that high percentages of offices across all agencies, not just the IRS, had not returned to the office, and what are you going to do or what are you doing to help make sure that taxpayers who are trying to do the right thing can get through to work with your agents and other employees?"

Commissioner Werfel responded to Rep. Estes about the GAO standard, and also said, "Everyone's working – it's 50% on-site versus 50% working in some remote location."

Rep. Estes followed up by saying, "So how can somebody in a remote location be handling these tax returns? That just seems to me that it's not doing the job that needs to be done to help service American constituents."


Watch video of Rep. Estes' remarks here.

Full Remarks
Thank you, Mr. Chairman, and thank you to Commissioner Werfel for joining us today.

We’re 60 days out from Tax Day 2024. The Kansans I represent are working through their tax season tasks, whether it’s preparing to file individual income taxes or filing business forms. The fact is, everyone has to interact with the IRS, and the agency really should have a customer-focused prerogative that puts the American people first, and not their own interests within the agency.

I’m also concerned, like my colleagues, about some of the inflammatory accusations that certain groups of Americans are automatically considered to be tax cheats.

My career prior to running for office was looking at how do we provide good customer service – how do we make business operations more efficient. And unfortunately, it seems like a lot of the D.C. bureaucracies focus more on how to make things easier to push paper or work from Johnny’s desk to Sally’s desk instead of focusing on how to be more efficient and meet the needs of American taxpayers, and any constituents, and provide that quality, timely service.

Mr. Werfel, I’m sure this doesn’t surprise you, but my office in Wichita receives calls each year from constituents who have issues with the IRS.

Just this month I received a letter from a small car dealership in Cheney, Kansas, that faced issues E-filing their 1099-NECs by the January 31 deadline through the Information Return Intake System, or the IRIS. Mr. Chairman, I’d like to submit this letter from Lubbers Cars for the record.

The controller at Lubbers Cars told my office that while they started in the middle of the month, the E-filing IRIS portal continued to crash, causing major delays and pushing them right up to the deadline.

But the situation was not unique to Lubbers Cars – who assured me they have top-of-the-line high-speed internet. They reached out to the Kansas Automobile Dealers Association who informed them this was a widespread issue.

Lubbers tried the portal at multiple times during the workday and evening with no avail. Their CPA indicated they were receiving calls as well. Finally, around 6 a.m. on January 31 – the deadline – they successfully were able to submit their required 1099-NECs.

Mr. Werfel, as you know, the next deadline is March 31. Are you aware of these issues with the IRIS portal, and what are you doing to make sure this critical tool is ready for the upcoming heavy usage as more small businesses file now that you have this money to have these upgraded systems?

Commissioner response.

The Lubbers controller called the IRIS help desk multiple times and couldn’t get through. You said earlier you’ve hired 5,000 new call agents to help with that. So this letter is just less than two weeks ago. Have all IRS employees returned to the office for five-day workweeks since COVID? I know the GAO issued a report this fall that high percentages of offices across all agencies, not just the IRS, had not returned to the office, and what are you going to do or what are you doing to help make sure that taxpayers who are trying to do the right thing can get through to work with your agents and other employees?

Commissioner response.

Sorry to interrupt, but what is that, before I run out of time, what is that governmental standard for the IRS for the number of employees to be in the office working? So 60% of the employees come into the office?

Commissioner response.

So how can somebody in a remote location be handling these tax returns? That just seems to me that it's not doing the job that needs to be done to help service American constituents.

Commissioner response.

Thank you, and my time’s run out.

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