Congress could tax IRS again after debt limit deal

Politics

The debt-limit agreement highlights an overlooked threat to the $80 billion Democrats pushed through last summer for the IRS: That it will become a congressional piggybank.

Nine-and-a-half months after the money was handed over to the agency, lawmakers are taking a quarter of it back, in order to stave off budget cuts to unrelated domestic programs.

Though that’s helped ease the debt hike through Congress, some call it a precedent that could endanger the administration’s ambitious plans for the IRS.