Body Cameras, Cyber Challenge, Recruitment: IRS-CI News
As the Internal Revenue Service (IRS) continues to allocate $60 billion in new funding from the Inflation Reduction Act (IRA) and prepares for the start of the 2024 tax season, the tax agency is making some changes to its criminal investigation units.
Starting this fiscal year (FY 2024), IRS special agents will wear body cameras during planned operations. This complies with President Biden’s executive order on advancing effective and accountable policing.
“We think that the transparency that that will create will further instill confidence from the public in the actions that we take,” said IRS deputy chief of the Criminal Investigation unit Guy Ficco as reported by Bloomberg Government.
This comes as IRS Commissioner Danny Werfel defended the arming of IRS criminal investigators in dangerous circumstances, an issue that congressional Republicans have expressed concern about.
At a recent conference hosted by the American Institute of CPAs (AICPA), Commissioner Werfel noted that IRS investigators are sometimes put in situations that can involve organized crime, human trafficking, and drug trafficking.
“As long as that means we’re placing IRS criminal investigators into dangerous situations in order to be a part of that disruption of those criminal enterprises, they need to be armed in those situations,” said Commissioner Werfel as reported by Bloomberg Government.
The commissioner’s comments come as House Republicans approved an amendment to the financial services appropriations bill that would require the IRS to report on its weapons inventory. A separate amendment to cut all funding for IRS firearms and ammunition failed.
Confronting Cyber Challenges
Meanwhile, plans to open a new IRS center focusing on cryptocurrency and cybercrimes using some of the funding from the IRA are moving ahead. The Advanced Collaboration and Data Center (ACDC) will open in spring of 2024 in Northern Virginia.
And the Joint Chiefs of Global Tax Enforcement (J5), an organization committed to fighting transnational tax crimes through increased collaboration, recently met in Ottawa to share best practices and participate in an event known as “The Cyber Challenge.”
Tax enforcement experts from the U.S., Canada, U.K., Australia, and the Netherlands worked together in a challenge that focused on data mining and financial reporting related to crypto assets and technology-enabled financial threats.
“These ‘Challenges’ have been incredibly fruitful for the J5 over the years, giving us sophisticated cases with large dollar amounts that affect multiple jurisdictions,” said Chief Jim Lee of IRS-CI.
New Hire and Potential Future Hires
And on the recruiting front, IRS-CI hired financial crimes executive Lauren Kohr to lead IRS-CI’s public private partnerships program. Kohr previously held risk management positions at financial services firms.
“I look forward to bringing the dedication I have for partnerships, industry presentations and LE training to IRS Criminal Investigation,” wrote Kohr on LinkedIn.
IRS special agents also spoke to accounting and criminal justice students during a visit to Trine University in Indiana. The IRS Citizen Academy provided a simulation of a day in the life of an IRS special agent as well as various activities and learning opportunities, including forensic accounting and document analysis. Students even worked on cases involving identify theft and document fraud.
“It was a new experience to expand my horizon and understanding of how the IRS, and specifically the IRS Criminal Investigative division, handles and apprehends criminals who are committing tax and currency crimes, said criminal justice major Bryce Hufford.
IRS Commissioner Werfel says the IRS is seeking to hire 20,000 new employees in FY24, with an emphasis on bolstering enforcement ranks, according to Federal News Network.