Sunday

Idiotic Republican Outsourcing

This is just classic. The republicans won't even collect taxes even from delinquents. Instead of hiring the revenue agents necessary to pursue people who owe the government money, they plan to turn over thousands of debts to private debt collection agencies.



"The move, an initiative of the Bush administration, represents the first step in a broader plan to outsource the collection of smaller tax debts to private companies over time. Although I.R.S. officials acknowledge that this will be much more expensive than doing it internally, they say that Congress has forced their hand by refusing to let them hire more revenue officers, who could pull in a lot of easy-to-collect money.

The private debt collection program is expected to bring in $1.4 billion over 10 years, with the collection agencies keeping about $330 million of that, or 22 to 24 cents on the dollar.

By hiring more revenue officers, the I.R.S. could collect more than $9 billion each year and spend only $296 million — or about three cents on the dollar. Privatizing government services is often promoted as a way to cut costs. But the government would probably net $1.1 billion from private debt collectors over 10 years, compared with the $87 billion that could be reaped if the agency hired more revenue officers, as Mr. Rossotti had recommended."

And they claim to be the party of fiscal responsibility.

1 comment:

M. Brenner, Esq. said...

You clearly do not know what you are talking about. Do some research (apparently a foreign concept to you) before you post an opinion. By the way, when was the last time you tried a case, boy?