Tax Rebate or Ed McMahon calling:
dailynews.yahoo.com
Tuesday June 19 4:36 PM ET
Senator Says IRS Tax Rebate Letter
Political
By Donna Smith
WASHINGTON (Reuters) - New York Democratic Sen. Charles
Schumer (news - bio - voting record) on Tuesday accused the White
House of using the Internal Revenue Service (news - web sites) for
political gain by notifying taxpayers about a tax rebate in a letter that
reads like a sweepstakes announcement.
The tax rebate, up to $300 for individuals and $600 per married couple,
was included in the $1.3 trillion tax cut signed into law earlier this month.
The law calls for a lump sum payment this year and the IRS plans to
send taxpayers a letter announcing the refund and explaining how much
they can expect.
``The mailing is both political and unnecessary,'' Schumer told reporters.
``It announces that taxpayers will receive a rebate check in the mail. It's
a little silly to go to the expense of sending out more than 90 million
letters to give a two week heads up on the checks going out in the mail.''
He said the separate mailing would cost taxpayers at least $21 million
and urged the administration to scrap the letter, which he said strikes a
partisan tone that could undermine the agency's independence and
credibility.
The IRS letter said, ``We are pleased to inform you that the United
States Congress passed and President Bush (news - web sites) signed
into law the Economic Growth and Tax Relief Reconciliation Act of
2001, which provides long-term tax relief for all Americans who pay
income taxes.
'SWEEPSTAKES' RHETORIC
``The new tax law provides immediate tax relief in 2001 and long term
tax relief for the years to come,'' the letter says. It goes on to explain
that the taxpayer need take no additional steps and that the check will
be mailed.
The IRS expects to begin mailing the checks in July in a process officials
said will take about three months.
``This letter sounds more like it came from Ed McMahon than President
Bush,'' Schumer quipped referring to the television personality who
promotes a sweepstakes. ``Have you read IRS tax forms. Do you think
the same guy who wrote your 1040 wrote this?''
The White House defended the letter saying it was necessary in order to
avoid confusion among taxpayers. Spokesman Ari Fleischer (news -
web sites) said the IRS would be flooded with telephone calls if millions
of taxpayers suddenly received unexplained checks.
``So the IRS is sending out the notice as part of their routine
communications, and properly so,'' Fleischer said. ``It's a good way to
manage the reaction the public would give if 100 million unexplained
checks simply arrived.''
He said the White House had talked to the IRS about the letter and
signed off on the wording.
Congressional Republicans are anxious to get political credit for pushing
the tax cut, the largest in two decades, through Congress over the
objections of many Democrats.
In a letter to their colleagues this week, House Majority Leader Dick
Armey of Texas and House Republican Conference Chairman J.C.
Watts of Oklahoma urged them to remind voters of the tax cut.
``The tax refunds, which go in the mail next month, are a major
accomplishment,'' they wrote. ``We urge you to go to your constituents
through town hall meetings, constituent letters, columns in you local
newspapers and other ways. We have a lot of work to do at home in
order to claim credit for this historic initiative.''
Information about tax rebate checks is available at the IRS Internet site
at irs.gov. |
