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Shulman, IRS Officials Heading to Congressional Firing Line This Week

Douglas Graham/CQ Roll Call
Miller testified before the House Ways and Means Committee on May 17.

Current and former IRS officials will face a barrage of questions this week as they testify before Congress about the agency’s scrutiny of conservative groups applying for tax-exempt status.

Although the Ways and Means Committee subjected the outgoing leader of the IRS, Steven Miller, to intense questioning on May 17, committee hearings this week could be even more intense, as lawmakers dig deeper into the details of the controversy that has embroiled the revenue-collecting agency.

Miller, who last week blamed the IRS’s targeting of conservative organizations on poor management and “foolish mistakes” by low-level employees, will face skeptical lawmakers again Tuesday, this time at the Senate Finance Committee. Former IRS Commissioner Douglas Shulman, who led the agency when most of the actions in question took place, will make his first public appearance at the hearing.

Shulman, appointed by President George W. Bush to a five-year term that expired last year, will testify Wednesday before the House Oversight and Government Reform Committee. Joining him will be Neil S. Wolin, the deputy secretary of the Treasury Department, and Lois Lerner, the director of the IRS Exempt Organizations division, who may bring more knowledge of what the IRS did than the other officials the committees have chosen to interview publicly.

A report by the Treasury Inspector General for Tax Administration issued last week found the IRS had singled out conservative groups applying for tax-exempt status and subjected them to unusually intrusive questioning.

Although the hearings will provide lawmakers an opportunity to express their anger and make headlines, there may be more substantial developments behind the scenes.

On Monday, Senate Finance Chairman Max Baucus, D-Mont., and the top Finance Republican, Orrin G. Hatch of Utah, sent the IRS a list of 41 questions, covering every aspect of the controversy, that they said needed to be answered in writing by the end of the month.

“Targeting applicants for tax-exempt status using political labels threatens to undermine the public’s trust in the IRS,” the senators wrote. “Lack of candor in advising the Senate of this practice is equally troubling.”

Perhaps the most uncomfortable of the many questions that current and former IRS officials will face will be whether they misled or lied to Congress — a criminal act that is punishable by up to five years in jail.

Lawmakers are looking into several different occasions when IRS officials, including Miller and Shulman, were asked about complaints from conservative groups and answers that offered less than forthcoming answers. Confronted with earlier testimony on May 17, Miller said he had truthfully “answered questions as they were asked of me.”

That drew withering criticism from lawmakers.

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