The House Appropriations Committee has approved a $17 billion spending bill last week that seeks reduced fiscal 2014 budgets at the General Services Administration and the Internal Revenue Service, Federal News Radio reported Thursday.
Jack Moore writes the proposed funding is $3 billion less than the current fiscal year’s level and $6 billion less than the Senate’s spending plan.
The House bill seeks to slash IRS budget by 24 percent and withhold funding until the agency carries out recommendations to improve its tax exemption review.
Nani Coloretti, Treasury’s assistant secretary for management, said in a blog post the cuts would mean “fewer critical resources to detect and prevent tax fraud.”
She added that “with fewer IRS staff to complete audits, conservative estimates put the resulting revenue loss from the proposed reduction in enforcement capacity at $12 billion per year.”
Federal News Radio reports the House measure allocates $7.5 billion for the GSA, $2.4 billion less than the agency’s requested budget.
GSA head Dan Tangherlini wrote in a blog post the proposal would force the agency to “default on leases; close facilities; or even, in some extreme cases, breach our contracts, which would result in lessors charging higher leases for federal agencies.”