IRS Says Spending Items Were Needed or Now Banned

The IRS also notes that many of the spending items the agency has been criticized for date back several years. IRS policies have been overhauled in these areas. For example, the 2013 TIGTA report on decorative items covers Fiscal Years 2010 and 2011. The IRS agreed years ago these were not appropriate expenditures and banned spending on such items.

Additional information:

From March 3, 2015 Testimony, Commissioner John Koskinen before the SENATE APPROPRIATIONS COMMITTEE/SUBCOMMITTEE ON FINANCIAL SERVICES AND GENERAL:

" Additionally, in an effort to promote more efficient use of the Federal Government's real estate assets and to generate savings, in 2012 the agency began a sweeping office space and rent reduction initiative. We estimate that these measures have reduced rent costs by more than $47 million each year and reduced total IRS office space by more than 1.8 million square feet."

"We will continue our efforts to find savings and efficiencies wherever we can. For example, we continue to evaluate our space needs, and under the processes we now have in place, each time a lease comes up for renewal we carefully consider whether to renew it. In fact, a few weeks ago the agency cancelled a lease in New York City, which will save us about $4.5 million in FY 2015, and $15 million over the life of that lease. We will continue to review all upcoming real estate transactions to make sure we are as cost effective as possible."