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Obama fires IRS Acting Commissioner

May 15, 2013

The first head has rolled in the wake of the Internal Revenue Service's mishandling of applications by conservative groups for tax-exempt status.

IRS Acting Commissioner Steven T. Miller was asked to submit his resignation. He did.

Yes, folks, that's how people are fired in Washington, D.C.

President Obama announced Miller's departure in a brief public statement late this afternoon regarding the IRS' overzealous review of Tea Party and similar groups' applications for 510(c)(4) tax-exempt status.

The change at the top of the IRS is necessary, said Obama, because "it's important to institute new leadership that can help restore confidence going forward."

He did not announce who would take Miller's spot as the search for a full-time IRS commissioner continues.

Three point plan to clean up IRS: Obama also reiterated his anger at the IRS' questionable actions.

"I will not tolerate this kind of behavior in any agency, but especially in the IRS given the reach it has in all of our lives," said the president. "The IRS has to operate with absolute integrity."

Obama again called the incident an outrage, but noted that "the good news is it's fixable."

To achieve that fix, he set out a three-point to-do list.

1. Fire the IRS chief. Check.

2. Implement safeguards so that such politicization or any appearance of it never happens again. Obama said he has instructed Treasury Secretary Jacob Lew to follow-up on the TIGTA report and ensure that all its recommendations are put in place.

We can count this one as a partial check, since the IRS already agreed with seven of TIGTA's nine correction points.

3. Finally, and this is the sticky one, Obama said his administration will work with Congress as it performs its IRS oversight role so that "it doesn't smack of politics or political agendas."

That noise you hear is the break pedal being slammed through the floorboard.

I agree with Obama that "it's in everyone's best interest to work together to fix" problems at the IRS.

I don't, however, share his belief that members of Congress — and by members of Congress, I mean the Republicans in the House — are willing to work with this president, even on something as important as making sure our tax collection agency works as it should.

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TO WRAP UP 2026

It’s over! With October’s extended filing deadline behind us, it is now time to focus on year-end moves to reduce your 2026 tax bill. 

You’ll find ways to do just that on the Tax Tips page (see the More Tax Posts drop-down menu at the top of the blog), as well as the separate tax tip pages for each month, notably October through December. If you’re on the Tax Tips page, you’ll find a monthly list at the end of this column. If you’re on another blog page, you can head straight to the October tips; at the bottom of that tips page you’ll find links to all the other 11 months’ collections of tax advice.

Not to spoil what you’ll find in that tax advice, but it does cover such things as tax deductions for charitable donations, investment moves that could reduce tax due, and ways to max out your tax-favored retirement savings. 

Finally, as the year winds down, things get hectic. There are lots of other things to occupy our time, like the much more fun upcoming holidays. But don’t lose sight of taxes, since timing is key. To be of use, most tax moves must be made by the end of the tax year. That’s Thursday, Dec. 31, which also is the last business day of the year. 

So that you don’t miss that final tax year deadline, also keep an eye on the countdown clock below. It will keep you on top of just how much time is left to make important, tax-saving moves. (Note: I’m in the Central Time Zone, so adjust accordingly for where you live.)

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