Tax Lawyers Will Write Tax Laws
Posted: Sat Mar 10, 2007 9:18 pm
I.R.S. Letting Tax Lawyers Write Rules
The Internal Revenue Service is asking tax lawyers and accountants who create tax shelters and exploit loopholes to take the lead in writing some of its new tax rules.
The pilot project represents a further expansion of the increasingly common federal government practice of asking outsiders to do more of its work, prompting academics and other critics to complain that the government is going too far.
They worry that having private lawyers and accountants draft tax rules could allow them to subtly skew them in favor of their clients.
“It’s not the fox guarding the hen house; it’s the fox designing the hen house,” said Paul C. Light, a professor of political science at New York University, who studies the federal work force.
...John D. Graham, the official appointed by President Bush to streamline the federal rule-making process and give private interests a greater voice, said even he was surprised by the I.R.S. plan.
...It is common for special interests of all types to be closely involved in drafting legislation and shaping rule making.
But in recent years there has been a quickening pace of moves to outsource the actual work of regulation, hiring contractors to write the rules. Now the I.R.S. is proposing that outside experts do it at no charge, opening up the possibility that some firms providing the draft would be working on behalf of an individual, business or association seeking to plant a favorable nuance in a rule.
See the rest here.
The Internal Revenue Service is asking tax lawyers and accountants who create tax shelters and exploit loopholes to take the lead in writing some of its new tax rules.
The pilot project represents a further expansion of the increasingly common federal government practice of asking outsiders to do more of its work, prompting academics and other critics to complain that the government is going too far.
They worry that having private lawyers and accountants draft tax rules could allow them to subtly skew them in favor of their clients.
“It’s not the fox guarding the hen house; it’s the fox designing the hen house,” said Paul C. Light, a professor of political science at New York University, who studies the federal work force.
...John D. Graham, the official appointed by President Bush to streamline the federal rule-making process and give private interests a greater voice, said even he was surprised by the I.R.S. plan.
...It is common for special interests of all types to be closely involved in drafting legislation and shaping rule making.
But in recent years there has been a quickening pace of moves to outsource the actual work of regulation, hiring contractors to write the rules. Now the I.R.S. is proposing that outside experts do it at no charge, opening up the possibility that some firms providing the draft would be working on behalf of an individual, business or association seeking to plant a favorable nuance in a rule.
See the rest here.