Werfel at Ways and means Committee Hearing by United States Congress is licensed under CC.
Today Americans for Tax Reform president Grover Norquist sent the following letter to IRS chief Daniel Werfel calling him out for his illegal actions in his illegal attempt to insulate Democrats from the consequences of their IRS 1099-K paperwork nightmare which they imposed upon American taxpayers.
Dear Commissioner Werfel:
Americans for Tax Reform supports congressional efforts to fully repeal the onerous 1099-K IRS paperwork law passed in 2021, and urges congress to restore the twin thresholds of $20,000 and 200 transactions instead of the current Democrat-imposed lone threshold of $600.
But today, right before the Thanksgiving holiday, you have interfered with congressional action once again.
“Congress writes the laws. You don’t.”
Those are the words of Congresswoman Carol Miller (R – W. Va.) during your Feb. 15 testimony to the Ways and Means Committee.
Congresswoman Miller was holding you accountable for your attempts to write the law yourself, and in so doing, shield Democrats (only Democrats voted to impose the law) from any electoral consequences of their $600 1099-K IRS paperwork law.
Per legislation enacted by congressional Democrats and President Biden, the $600 1099-K IRS paperwork law took effect on Jan. 1, 2023. Yet for three consecutive years the IRS illegally waved a wand and unilaterally declared the law was not in effect.
As even the progressive Tax Policy Center noted: “the agency’s failure to invoke any statutory authority for its decision raises concerns about its commitment to following the law.”
The IRS “delayed” the law for a year on the first two occasions, at the end of 2022 and 2023. This was not legal.
And today, instead of allowing congress to do its job, you have interfered a third time.
These three illegal IRS actions ripped the rug out from under congress. Congress was in the process of permanently solving the problem by statute so that American households and businesses were not buried in confusing and unnecessary IRS paperwork.
But the IRS decided to insert itself, and today you went so far as to suggest completely contrived 1099-k thresholds of $5,000 and $2,500 — amounts found nowhere in law.
Today you also declared the $600 1099-K paperwork nightmare (again, enacted solely by Democrats) will take effect in 2026, which just happens to be a midterm election year when voters may think it was the Republicans who imposed the law.
Note, your illegal wand-waving does not in fact change the law. The Democrat law remains: the official IRS 1099-K threshold is $600, with no transaction quantity threshold.
It is time for the IRS to exercise some humility and let congress do its job. Congress writes the laws, not you.
Sincerely,
Grover Norquist
