Finally, steps are being taken down the long path of Internal Revenue Service reform. Leaps need to follow.
By an overwhelming 426-4 vote the House of Representatives Wednesday approved a bill that shifts the burden of proof in tax disputes from taxpayers to the IRS. The measure now goes to the Senate.That's a good start to a process that should have started years ago. Unfortunately, while a much needed improvement, it still doesn't address the major issue regarding the IRS: The basic structure of the federal tax code needs to be changed.
As chronicled by recent congressional hearings, the IRS tax code is so complex even IRS agents, not to mention taxpayers, have a hard time understanding it. That's because the tax code now fills 9,451 pages. It's hardly surprising that polls show Americans have lost confidence in the IRS.
Comparing the IRS to a house, it doesn't need to be remodeled, it needs to be torn down and rebuilt. To Congress' credit, it realizes the current tax code needs to be replaced, not reformed. Representatives are trying to come up with the right blueprint for reconstruction.
Congress needs to remain focused on that objective. Extensive study and debate should focus on how to replace the current tax code.
Utah Rep. Merrill Cook, co-sponsor of the bill passed Wednesday, is looking to have the change take place by the year 2000. Others need to feel that same sense of urgency.
In the meantime, Wednesday's action was a good first step. Until a new tax code comes about, it makes sense to improve the current one.
The House bill would shift the burden of proof in court proceedings from the taxpayer to the IRS, a much-needed change.
It also would create an 11-member board, mostly of private citizens, to oversee the IRS.
The restructuring bill also has provisions for helping the IRS develop a budget and for long-term projects such as upgrading the IRS computer system.
More modifications are expected when the Senate holds its hearings on the bill, likely next year.
As Senate Finance Chairman William V. Roth Jr., R-Del., noted, "While I think it's a good beginning . . . much remains to be done to reform the IRS in a manner that will provide true service to the taxpayer."
Roth's remarks are right on target. Congress needs to heed his advice quickly.