New Tax Law Could Be Trouble for the IRS

New Tax Law Could Be Trouble for the IRS

REUTERS/Lucas Jackson

Tax reform is hard. Implementing the tax changes likely to be signed into law this month won’t exactly be a walk in the park either.

A top IRS official warned late last week that the IRS will face “a heavy lift” in enacting the coming tax changes for 2018, according to Law360.

“Tax reform for us to implement is going to be really challenging,” Kirsten Wielobob, IRS deputy commissioner for services and enforcement, said. “The budget situation doesn't really show strong signs of changing. We are down resources across the agency. We also have systems limitations, because of our aged hardware. This bill is interesting because of the magnitude of the changes as well.”

Wielobob said that passage of the Tax Cuts and Jobs Act would likely require the IRS to create new withholding tables very quickly and make changes to some 800 different forms and publications. The agency is also likely to see a surge in customer service questions.