Thursday, March 26, 2009

Republicans don't like IRS sharing info with USDA

Nine Republican members of the House Ag Committee do not like the Administration’s plan to require farmers allow the IRS to verify their income eligibility for farm program payments. The plan is in response to a GAO report which found more than 2,700 farmers who received program payments in the past had exceeded off-farm income limits. The error occurred because the IRS is not allowed to share tax information with USDA. Recently, the two agencies announced a cooperative effort under which the IRS would simply tell the ag department if a producer was not eligible. No actual income numbers would be given. The plan would require producers to sign a waiver allowing the IRS to verify eligibility, if they do not sign, they cannot participate in the program. Ranking member John Lucas and his colleagues sent a letter to Ag Secretary Vilsack objecting to the move saying it is an invasion of privacy and clearly against Congressional intent. Their letter states if the members of the Ag Committee wanted the IRS to disclose farmer tax information they would have put that in the Farm Bill. The Republicans say Congress allowed for a verification of income statement, prepared by a certified public accountant or another third party to be submitted every three years that confirms the producer’s adjusted gross income which makes he or she eligible to receive payment...Brownfield Network

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