[Congressional Record Volume 168, Number 149 (Thursday, September 15, 2022)]
[Senate]
[Pages S4628-S4629]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
Inflation Reduction Act of 2022
Mr. THUNE. Madam President, the August inflation numbers came out
[[Page S4629]]
this week, and they weren't good. Inflation was even higher than
expected. It was very clear that soaring prices are likely to continue
for quite a while, but as usual, it doesn't seem to concern the
Democrats one bit.
The President was asked Tuesday if he was concerned about August's
even-worse-than-expected inflation report.
His answer? ``No, I'm not.''
It was just one more tone-deaf moment for the President and the
Democrats.
On Tuesday, the President and the Democrats gathered at the White
House to congratulate themselves for having passed their so-called
Inflation Reduction Act, a bill that will do nothing--nothing--to
reduce inflation. That is not just my opinion. That was the conclusion
of the nonpartisan Penn Wharton Budget Model and of the Democrat
chairman of the Senate Budget Committee, who referred to the bill as
the ``so-called Inflation Reduction Act'' on the Senate floor while
admitting it would do nothing to solve our Nation's inflation crisis.
But that didn't stop the Democrats from celebrating yesterday. For
most of us, of course, it is difficult to understand what there was to
celebrate. Leaving aside the issue of the 40-year-high inflation, we
already know that the bill will also fall short in another respect--on
deficit reduction.
The Democrats' claims that the bill would provide meaningful deficit
reduction were always somewhat dubious, but even granting the
Democrats' rosiest assumptions, President Biden wiped out any deficit
reduction when he announced his massive student loan giveaway 8 days--8
days--after the Inflation Reduction Act was signed into law.
So no inflation reduction, no deficit reduction. Oh, one other thing:
The Inflation Reduction Act will drive up energy bills for Americans.
So the question is: What was there to celebrate?
Well, for the Democrats, the Inflation Reduction Act marked a chance
to finally push through some of their far-left, Green New Deal
fantasies, things like electric vehicle tax credits to help wealthy
Americans buy electric cars, more than $60 billion--$60 billion--for
``environmental justice priorities,'' including $1.9 billion for things
like identifying gaps in tree canopy coverage, and the list goes on. So
I think the Democrats are pretty satisfied with themselves over finally
jamming through elements of their Green New Deal agenda.
Then, of course, they succeeded in extending increased ObamaCare
subsidies that will push Americans off of private healthcare plans and
into government-run care.
Then--then--there are the tax hikes. The current Democratic leader
once said, ``You don't want to take money out of the economy when the
economy is shrinking,'' like it has in the previous two quarters. But
those days are gone. For the Democrats, raising taxes has become an
article of faith.
And it goes far beyond raising money to help pay for their Big
Government spending. The Democrats believe raising taxes on
corporations and well-off Americans is good in and of itself, even if
those tax hikes have a negative effect on less well-off Americans and
the economy. The tax hikes that the Democrats have included in their
so-called Inflation Reduction Act will, indeed, have a negative effect
on our economy and on the hard-working Americans who help support it.
The Democrats' tax hikes on businesses will result in slower growth,
lower wages, and thousands of fewer jobs, and the Democrats' tax hikes
on conventional energy will result in higher energy prices for working
families.
In addition to raising taxes, the other main way the Inflation
Reduction Act raises revenue is by increasing IRS audits and placing
new burdens on taxpayers.
The Democrats' bill contains a whopping $80 billion in increased
funding for the IRS. That is an increase in funding which represents
six times the annual budget of the IRS today. More than half of those
funds, or $46 billion, are earmarked for increased IRS enforcement.
Just 4 percent is for improving customer service, which should tell you
all you need to know about where the Democrats' real priorities lie.
The bill would provide for the hiring of as many as 87,000 new
employees, which would more than double the current size of the Agency
and make the IRS--make the IRS, if you can believe this--larger than
Customs and Border Protection and the U.S. Coast Guard put together,
combined.
In the lead-up to the passage of the Democrats' bill, the Biden
administration put out a statement declaring that the money for IRS
enforcement would not go to the increased audits of households making
less than $400,000. Because we had reason to doubt that that would be
the case, the Republicans put forward an amendment to the bill to
prevent the IRS from using its new money to audit those Americans.
Every Democrat--every single Democrat--voted against the amendment. So,
I guess, the Democrats are happy to oppose more IRS audits of middle-
class Americans in theory, but they don't want to cut off the
possibility of those audits in practice if they end up needing them to
help fund their Green New Deal spending.
I don't need to tell anyone that the IRS is notorious for mishandling
sensitive taxpayer data. As recently as this month, we learned that the
IRS had inadvertently posted confidential taxpayer data of around
120,000 individuals on its website--private taxpayer information that
was available to the general public.
Then, of course, there was last year's leak, or hack, of confidential
taxpayer information that was shared with the left-leaning ProPublica
and was used to advance a partisan agenda for which, I might add,
neither the IRS nor the Biden administration has provided any
accountability.
Then there was the infamous targeting of conservative groups for
extra scrutiny under the Obama IRS, and the list goes on.
I haven't even discussed the IRS's record of grossly
underperforming--some would say nonexistent--customer service. During
the 2022 tax season, just 10 percent of taxpayers' calls--10 percent of
taxpayers' calls--to the IRS were answered by an IRS employee. What we
need to be doing is holding the IRS accountable, not setting tens of
thousands of new IRS agents loose on taxpayers' accounts.
Earlier this week, I joined my Republican colleagues on the Senate
Finance Committee to introduce legislation to prevent the IRS from
using its new funding to audit American workers or small business
owners earning less than $400,000 per year.
I also introduced a bill this week, along with Senator Collins, to
improve taxpayer service at the IRS. Our legislation, called the
Increase Reliable Services Now Act, would prevent the IRS from hiring
new employees for enforcement until customer service at the IRS had
reached a more acceptable level. It is unacceptable--unacceptable--that
taxpayers have a 1 in 10 chance of receiving assistance when calling
the IRS, and the Agency should not be allowed to increase enforcement
hires until it has achieved at least a basic level of customer service.
So we have 87,000 new employees, which is double--double--the size of
the current IRS workforce, and we have $80 billion, which is six times
the current annual budget of the IRS, with a specific focus: going
after taxpayers in this country to try and get, raise--whatever--more
revenue to fund the Democrats' Big Government fantasies. At the same
time, 1 in 10 taxpayers is getting his calls returned at the IRS.
I will continue to work to increase IRS accountability and prevent
hard-working Americans from being squeezed to fund Democrats' Green New
Deal spending.
Like the $1.9 trillion American Rescue Plan spending spree that came
before it--which, I would add, helped plunge our country into our
current inflation crisis--the Inflation Reduction Act is a bad deal for
the American people, and all of the self-congratulatory White House
parties in the world aren't going to change that basic fundamental
fact.
Americans are experiencing serious economic hardship, and Democrats
are doing nothing to help.
I yield the floor.
The PRESIDING OFFICER (Mr. Markey). The Senator from Iowa.