they didn't pay irs so irs comes back and goes after the home of proven, the beauty shop. this is the kind of, when we say small business, it's the really main street strip multi-business. and i put in legislation that requires irs to do more but they haven't. they just haven't followed my laws. it's even become an issue with the national taxpayer advocate. the irs does not comply with the law regarding victims of payroll service provider failure. could you help me out with his? >> yes. the requirement is a very thoughtful sensible point is that we should come every time a tax preparer an intermediary payroll provider makes any change in the residence, we should actually notify the constituents that they're payroll provider has moved. we also again within the concerns of personnel, are trying battle in this area but across the board whenever anyone misses and decimated taxpaying, rather than waiting until the end of the year we will try to more affirmatively reach out and identify when payments are not made on a quarterly basis of that we can catch these problems earlier.

they paid the company, they didn't pave the irs so the irs comes back and goes after home-improvement and beauty shop, the small-business really mean streak business and i put in legislation that requires irs to more but they happened. it is even an issue with the national taxpayer advocate for number 21. the irs does not comply with the law regarding victims of payroll service provider failure. >> the requirement is a sensible one that we should every time a tax preparer and intermediary payroll provider makes any change in residence we should notify the constituents that their payroll provider has moved. and trying not only in this area but across the board whenever anyone misses and estimated tax payments rather than waiting until the end of the year we try to more affirmatively reach out and identify when payments are not made by a quarterly basis, and known there was a problem until well after the end of the year. we are trying to do with limited resources is to the extent we can identify quarterly payments of employee taxes. >> that is the solution but can i ask you to look at t

the irs is only offering 54 offers in compromise. they paid the company, who do not pay irs. so the irs comes back after the small businesses. it is that really main street strip mall type business. and i put in legislation that requires the irs to do more, but they have not. they just have not followed by laws and it even has become an issue with the national taxpayer advocate, and for msp number 21. the irs did not comply with the law regarding service provider failure. can you help me out with this? >> the requirement, a thoughtful, sensible one, is that every time a tax preparer makes any change in their residence, we should actually notify the constituents that their payroll provider has moved. within the constraints of personnel, we are trying not only in this area but across the board, when any one misses an estimated tax payment from around the waiting until the end of the your, we are going to try to reach out and identify with payments are not beat on a quarterly basis so we can catch these problems earlier. there was no one who knew there was a problem until after

i think that is something that the irs can do as well. the irs has been putting out youtube. i will take any television interview put in front of me. not because i am a him because i believe in my heart, if we protect one taxpayer from having these horrific stories, that is a good day for us. i am so happy about this hearing because this will also help get the word out. when you get those calls, please hang up the telephone. we are really try to work with that viewer. senator ericson: i hope that mr. cartwright will be as aggressive on tax fraud as with other things. i noticed in your testimony that a member of the medical team at fort benning had stolen the identification of a number of soldiers and tax fraud was perpetrated against them. did you coordinate with the department of defense, that they need to watch out? ms. -- ms. ciraolo: thank you for that question. i joined the department two months ago so i was not involved in those types of discussions. i don't have that information with me today, but i can certainly report back on what efforts were made by the department

you will see it's not from the irs.le again reaching out to try and get information from you that will allow them to still your identity. there are unscrupulous tax preparers, we said if anyone says just sign a blank form and i will take care of it, you should go find another tax we. it's an ongoing issue, this year our filters things to our expenditures of some of the constrained resources on approved data theft are catching more refunds at the door. more people are getting letters from us questioning their 1040 filing who didn't file yet. i told him the good news is that means we stopped the refund at the door, not paid the refund, and haven't contended your account without false information. we will continue, it's a major issue for us. we get millions of attacks on the system every year. thus far, knock on wood, we have been able to defend against those. it's one of my concerns about funding constraints, that we could become even more secure with more funding in those areas. but it is a high priority and we will cont

she endured more than three years of inaction from the irs.3 after becoming a poster child for alleged irs abuse, her groups were finally granted tax exempt status. but during that long wait the irs kept her occupied in other ways. aside from the tax exempt business. >> right. >> you had more run-ins with the irs. tell us about that. >> the irs showed up to audit our business. and we'd never been audited before so here again you think maybe i just drew the short straw. and we went through the audit. those audits of our businesses led to personal audits. >> in fact, it suddenly seemed the government was interested in every aspect of engelbrecht's life. in 2010 they made a surprise visit to her group king street patriots to ask a series of questions. >> it was a domestic terrorism unit. and they wanted information on somebody that attended one of our meetings. >> you think the fbi thought you were involved with terrorists? >> i don't know what they thought. >> did they ever offer you an explanation as to why they were asking all these questions?

so, is the irs by the way, your name is one of my favorite ones -- is the irs doing enough to resolve cases of identity theft in a timely matter? is a four to five year waiting. acceptable? mr. camus: in my personal view no because i am a criminal investigator and i know how horrific that type of experience is for an individual. but i can tie you that the irs has made great strides trying to be better, faster, and more responsive to the victims. one of the things that have put in place is in identity theft victim. -- theft victim pin. in the future years, the use that pin number, and that helps validate their identity. my observation, from reading the audit reports that the audit staff has done, is that they are making great strides. senator: what would you say is the status now obsolete who finds himself in a situation like senator? what would be the reasonable. of time? mr. camus: my understanding is that it would be much better than it was in 2010, 2011 and 2012. whether or not it is up to par -- senator: four to five years was her expense. what is the average? a year? mr. camus: y

misconduct by i e irs employees, ensuring irs employees are safe and irs facilities data and infrastructure are secure and not impeded by threats of violence and protecting the irs against external attempts to corrupt tax administration will continue to take priority. >> thank you nor allowing me to share your views. i'm happy to take your questions. >> i will try to be brief if i might. >>> mr. george, ti fwrks ta identified security taxpayer data as the number one management challenge facing the irs. what are your key concerns and the adequacy and how responsive has the irs been to your recommendations to bolster systems and what would you recommend they make your top priority in terms of responding to this concern. >> they have been responsive, senator. the new commissioner and i have had a long-term relationship, miening we've worked together in various capacities. he listens to the concerns that we provide. i think it's very important to note that they are under attack on a daily bay sisz hundreds of times. forcue gnatly, we have not detekted any breeches to the tax system that would u

by former irs commissioner douglas. that was a 2011 estimate. so we have a lot to discuss today. ways that we can improve the functioning and operation of the irs, its responsiveness and engagement, ways that we can prove the functioning of the treasury department. the fiscal 2016 forecast is not encouraging as budgetary restraints remain in place. and i look forward to hearing secretary lew and commissioner koskinen's perspectives on delivering top-notch service to taxpayers. i look forward to working with you chairman boseman and having an open exchange as our hearings progress. thank you. >> thank you, senator coons. now we look forward to secretary lew's commission. >> thank you. it's a pleasure to be here to discuss the treasury's budget. as we meet here today our economy and our country have made considerable progress that we can all take pride in. by almost every metric from job creation, economic growth and deficit reduction to manufacturing, exports and energy independence, america has come a long way. the fact

but that's not a case between us and the irs. the irs is not a party to that. >> no it's not. which is in part why i directed my question to the chairman and not to you. but if you would like us to have this conversation, i will ask you, do you understand why congress wants those e-mails? can you understand as a trained attorney why we might want access to all the documents? >> i can understand that. my understanding was that the white house some time ago certified there were no lois lerner e-mails. and treasury gave you all of their lois lerner e-mails. >> well, then what are they claiming privilege -- >> we'll come back and we'll have more occasions, i think this is my sixth appearance before this committee. i look forward to the seventh. we'll talk about it. i'll be delighted to give you an update, and i'll be delighted if the inspector general can ever complete his work, it's now going after six months, to produce those e-mails because then all of us will learn what was in them. i have been totally supportive of the i.g. my view really is, if there are e-mails that can be

we don't have the impediments of the irs in that regard. and then a filer can check if there return has been accepted to be it you go to the tax website and fill out the authentication issue, and then you can find out whether or not it has been filed. we always remind people to please check to see if your return has been filed, and if you had not filed it and it has been please take this number and call it. senator warner: again, the disproportionate amount of fraud is at the federal level instead of the state level? mr. valentine: i would agree, it is just a matter of finding the funding -- mr. alley: i would agree, it is just a matter of finding the funding and getting together. senator warner: i know my time is up mr. chairman, but when we look at $5.8 billion in fraud, "the washington post" said we have seen a 37 times increase in fraudulent claims, we need to have that resource to fight that, and we need to have an administrative change or a legislative change by the iris to inform people that they know if there is identity theft, and

i'm happy to show the committee about the irs graphic -- irs scam. warning signs, how the irs will contact you. by phone? no. by e-mail question might know. by phone question mark yes. -- by phone? yes. we need to get that into the hands of the general public. >> that is the point i would like to make. i would like to make a point that one of my problems and if we don't have a game plan to get the consumer information out there, and that has been said by a number of you we have a department that was created call the consumer financial protection bureau which is in the business of protecting consumers. it would seem like the secretary of treasury with contact and this would be a perfect way to take their story and solicitation to try and help people who are victims of business fraud and protected from tax fraud as well. i think that is something that treasury could do. >> yes, sir mr. isaacson. we had touched base with the bureau and we will include them. a majority of our focus has really been with the federal trade commission and irs. the irs has be

, by former irs commissioner -- that was a 2011 after.we have a lot to discuss today ways we can improve the functioning and operation of the irs and the responsiveness and engagement the ways we can pretty functioning and operation of the treasury department. the fiscal 2016 funding -- and i look for during secretary lew and commissioner koskinen's perspective on what's required to deliver top notch service to taxpayers and the for sure laws with integrity and fairness. i look forward to working with you chairman and having an open change by just as our hearings progress. thank you. >> thanks senator. thank you senator coons. now we turn to secretary lew and look forward to his testimony. >> thank you chairman boozman, ranking member coons, members of the committee. it's a pleasure to be here to discuss the treasury's budget. as we meet here today our economy and our country have made considerable progress that we can all take pride in. aisles every metric from job creation, economic growth and deficit reduction to manufacturing export e

the irs scam widespread in the valley and in my home area of northeastern pennsylvania, the irs home scam reaching more of northeastern pennsylvania. a lot of what you of heard and a lot of what you had direct experience with trying to stop. i would start with the assistant attorney general cerello. i'm interested in your assessment. i was in the eastern side of our state months ago with the district attorney, john adams. mr. adams was walking through some of the basic challenges and he emphasized among other things that the perpetrators were first highly organized and two often reside in jurisdictions far from the victims and beyond the reach of local authorities and even pointed to perpetrators residing in foreign countries. that is among the many challenges that much of your testimonies pointed to. i don't want to be estimate stick because i do what to get to the part of your testimony we talk about what has been happening with the justice department and the success you have had, but there is a sense because of the scope and gravity that we are not winning. and from a national per

the irs scandal over targeting conservatives blown wide open, the irs now under investigation for criminal misconduct. >> so when the chairman asks the important question is there potentially criminal activity here your answer was -- >> there is potential criminal activity. gerri: also, it's the lawsuit that has pet owners talking. purina sued over claims its dog food is a killer. >>> and electric cars just became an even worse deal for consumers. we'll tell you why. all that and more coming up on the willis report where consumers are our business. ♪ ♪ gerri: the push to increase credit card security in the u.s. taking a lot longer than expected with mass credit card hackings at high levels, the industry has an october deadline to get microchip-enabled credit cards into the hands of all consumers. but new data today suggests that companies are not on track to meet that deadline. joining me now to discuss this and more is our power panel, credit expert john alz heymer, peter morici and personal finance expert vera gibbons. john, doesn't look like october 2015 is going to happen, my friend.

both for the irs and state tax commissions. thank you chairman and ranking member wyden. >> finally, i welcome ellen clem. she serves as a director of consumer education and outreach at the attorney general's office working to protect oregon residents from financial scams including the scams and schemes we are working on today. we welcome you here and look forward to taking your testimony. >> thank you, senator hatch and ranking member wyden. every day i hear stories from oregonians about a wide variety of frauds and scams. these stories have focused exclusively on the irs impostor scam. that is because as senator wyden mentioned, in 2014, this scam topped oregon's list of consumer complaints. last year we received more than 1300, twice the number as the next highest category. what is worse, the victims reported losses more than $75,000. we know from testimony presented today that is the tip of the iceberg. that is why i hear today to tell you the story of two victims and to talk about what the oregon attorney general is doing

neil: in the meantime, the irs singing the budget lose. is singing your is next. ♪ at mfs, we believe in the power of active management. every day, our teams collaborate around the world to actively uncover, discuss and debate investment opportunities. which leads to better decisions for our clients. it's a uniquely collaborative approach you won't find anywhere else. put our global active management expertise to work for you. mfs. there is no expertise without collaboration. the . neil: talk about taxing and the irs complaining we have already heard how the agency has been whining about budget cut that have compromised its ability, but now the treasury is saying that those same cuts are going to create even more for you. they may not be able to get refunds out as fast were administered as part of the health care law that is their responsibility as well. is it me or is the government more concerned about its own tax headaches than your tax headaches and burdens in your rules to which you have to comply but you better fill out for tax forms

it is territory for the irs. give you a definitive vat -- answer but we are reporting out information in the very near future. >> the tax gap estimated at 450 billion is 17% on compliance rate which is striking witter your views of the adequacy of the strategy to narrow that down what needs to be dealt with to attack this sword deal with it with the declining resources available? >> the figure that is a virus produced is understating the problem. we believe the international aspect is not included in that figure. with those recommendations and we would continue to make his third-party reporting. there is the few figures and i beg your indulgence that according to the irs there is such a high correlation between tax compliance is a third party information reporting in withholding of taxes, the irs estimates individuals whose wages are subject to withholding report 99% of wages. they are estimated to report 60% of their income and with those self-employed individuals there reported to show just 19 percent of bin, s

the irs is lying.and unless there is another game-changing event, my fear is we'll see year upon year of meetings and no real action. i feel we've crossed into new terrain now. now that this is criminal we need a plan. >> do you think that's going to put pressure now on those who have been avoiding some type of outside special prosecutor in this process or another outside body to look at what's going on? obviously congress is on this. but now learning that maybe their own subpoenas were ignored or rebuffed. where do we go from here? >> we took to the federal court last year the hope that through our lawsuit the courts would allow for us to bring in an independent forensic data scientist team. and that was denied because of the time. the irs told the courts that there were no e-mails. there is no honor among thieves, and it's very difficult to ascertain what in fact, would be the catalyzing event to get this into the hands of an independent prosecutor. shannon, personally, i'm tired of waiting. for five

the irs is warning of a major phone scam that is costing taxpayers millions of dollars. janine de la vega is joining us live thousand. you're at an irs office in san jose and found out that hundreds of thousands of people have been hit by this scam. >> reporter: the irs says more than 366,000 people have been targeted for this scam. it happened to one of our producers parents. some people are posting about it on social media. and it usually starts with a phony phone call. >> reporter: there are tons of videos from youtube that victims have recorded of the fake irs agents calling, claiming taxes weren't paid correctly and more money is owed. the con artists threatens arrest or in some cases deportation if they don't pay. the thieves can manipulate caller id to appear as if they are calling from an irs phone number. federal officials warn real irsing as contact by mail and never demand payment by debt card, credit card, or wire transfer. another scam during this tax season is identity theft. that was a topic during a senate hearing. >> tax preparation software has become t

we do not let the irs. we believe preventing the irs from rewriting health care laws is the right thing to do for our family, and our country. this is why we are here. what the irs has done isn't fair. it isn't right. and, it is a legal. -- it is not legal. we will hope the rule -- the court rules to protect our choice and the laws that govern our nation. thank you. >> where in virginia did they live? >> i argued on behalf of the plaintiffs. i believe our case is very compelling. i am confident the court will recognize the merits of our statutory interpretation and not let the irs rewrite the plain language of the statute. >> were you concerned about justice kennedy's question? >> justice kagan and i had a candid exchange of viewpoint. at the end i am sure i persuaded her. i would remind you that there are nine justices. >> many people have talked about rewriting the law as a whole. >> across -- i very much want them to read the statute as a whole, because that reinforces our point, principally, the point t

no tenÍa la oportunidad de ir a colegio y la educaciÓn es muy importante.iendo los hechos de cÉsar chÁvez. puedes estar seguro que van a ser doctores, policÍas, bomberos y maestros tambiÉn. >> cÉsar, a ti te tomÓ de la mano y te enseÑÓ a organizar, fue tu maestro. >> yo no sabÍa que estaba haciendo eso, pero me daba consejos todo el dÍa, cuando muriÓ con los consejos me trato de poner en un trabajo que era del federal. me medio mediador federal, nunca pensÉ que podÍa hacer eso y lo terminÉ haciendo. >> tienes que hablar con la gente. >> estamentos con la familia de cÉsar chÁvez en comunidad del valle, no hubo un tiempo que le dijo eran a cÉsar, no te metas en eso, es muy peligroso?. >> no, no le dije porque sabÍa que era lo que Él querÍa, lo apoyÉ, y si lo hubiera dicho no me hubiera vÁlido, Él sabÍa lo que querÍa. >> ¿quÉ pensaba tu mamÁ?. >> no querÍa, porque un tiempo a Él no le tocÓ, un tiempo estÁbamos pescando algodÓn y hubo balazos, cuando Él dijo voy a organizar los campesinos mi mamÁ dijo no, no, pero Él dijo sÍ mamÁ, lo voy a hacer, dame tu bendic

." >> like the irs i father that activists at the doj and the approximate fidc are abusing their power and authority and are going after legal businesses and in effect they're weapon eyesing government to keep their ideological beliefs. >> weapon eyesing the government. strong words from republican congressman shawn duffy, how he describes operation choke point. this is a justice tept program meant to choke out access to banking services to those firms considered high risk for financial fraud. but, mike, you agree with the congress pan that it was used to go after political enemies. >> absolutely david. duffy is 100% correct. this is another abuse of power by our lawless president. if he feels these businesses have ton something wrong they should be put in front of a judge and jury. the president should not be con scripting banks to go after people he doesn't like. >> look at the average americans, the folks that are caught in the middle of all this. play the tape. >> my credit union called me and told me that i had to come in and close my account because i deal with in guns. >> i rece

socio con nosotros y vamos a ir a escuelas, vamos a ir a latino college (nombre en inglÉs) al centroentra ahÍ en este domicilio, algo mÁs que quieras agregar >>> sÍ quiero que la comunidad tenga esa confianza en nuestra oficina que estamos aquÍ para ayudarles, para prevenir y investigar estos flraudes >>> ustedes estarÁ ahÍ >>> sÍ ahi voy a estar y bienvenido >>> gracias por lo que hace por la comunidad >>> gracias >>> muy amable, josuÉ fuentes fiscal del condado de santa clara avisan dones de la importancia de no ser defraudado por los y ahora lo que estÁ pasando en su comunidad aquÍ en quÉ pasa?. ( ♪ mÚsica♪). ♪ (mÚsica) ♪ ♪ (mÚsica) ♪ ♪ (mÚsica) ♪ ♪ (mÚsica) ♪ >>> muy bien para todos los cumpleaÑeros felicidades. ( ♪ mÚsica♪) ♪ (mÚsica) ♪ sub gerencia para el programa tu futuro ahÍ estÁ la informaciÓn me puede seguir en twitter y tambiÉn recojo el periÓdico semanal el observador y apoye a todos en el Área de la bahÍa, gracias por acompaÑarnos nuevamente en su comunidad del valle los dejamos con la mÚsica del trÍo los pancho, buenas tardes. ♪ (mÚsica) ♪ ♪ (mÚsica) ♪ ♪ (mÚsica) ♪ ♪

now, the irs, if it's the real irs, will contact you first by mail not by phone or with a robo call and david, they will never demand immediate payment over the phone. >> good times, as always. mara, thank you. >>> when we come back here tonight, the american astronaut back on solid ground this evening. >>> also the fire ball in schools over america. nasa weighing in tonight. >>> and a question. sweet oral unpate unpatriotic? the foe toll of the newborn in the american flag tonight sparking a heated debate. a humpback calf and mother are almost inseparable. she lifts her calf to its first breath of air, then protects it on the long journey to their feeding grounds. one of the most important things you can do is help the next generation. at pacific life, we offer financial solutions to accomplish just that. ask a financial advisor about pacific life. the power to help you succeed. doing this all day, my feet and legs got really tired. so i got dr. scholl's massaging gel work insoles. they absorb the shock of working on my feet all day. i feel energized! i'm a believer. dr. scholl's massa

to appear they were the irs. they sometimes know personal information, insist you owe back taxes and demand money with a prepaid cash card or wire transfer. even one of the treasury department's top officers got a call demanding he paid up. >> supposedly $750. >> or they are going to arrest you? >> correct. >> targeted across every state with more than $15 million stolen. each victim has lost on average $5,000. >> the fraudsters have clearly upped their game and we must do the same. >> this week congress held hearings how to stop it. >> when the money dries up the criminals will go away. >> the irs always sends a letter through mail first and never call. catching these fraudsters will be extremely difficult and may not be able to do it. the only way it will stop is by convincing people to hang up the phone. john. >> adam levin. good to have you with us. >> good to be here antonio. >> gullibility one of the victims very smart victims one was an nfl player had a radio show. these scammers were effective the way the

fake irs agents, yes, there are fake irs agents, conning and thousands and thousands of people, causing taxpayers thousandsdove lars threatening them with jail time. >> what do snoop dogg, jared leto and rapper naz have in common? they invested in into oui new app. what does the app do? it lets investors trade stocks with a attractive twist. we're talking to the cofounder straight ahead. you need to hear about this. the real question that needs to be asked is "what is it that we can do that is impactful?" what the cloud enables is computing to empower cancer researchers. it used to take two weeks to sequence and analyze a genome; with the microsoft cloud we can analyze 100 per day. whatever i can do to help compute a cure for cancer, that's what i'd like to do. bring us your baffling. bring us your audacious. we want your sticky notes, sketchbooks, and scribbles. let's pin 'em to the wall. kick 'em around. kick 'em around, see what happens. because we're in the how-do-i-get-this-startup- off-the-ground business. the taking-your-business- global-business. we're in the problem-solving bus

they want answers about the irs scandal. the irs is told recover those e-mails.using this particular employee, they fail, then they find we have got the hard drive, it is a little scratched and they got full records, a couple miles away in a warehouse some place sun now we do have those e-mails. is that accurate statement of where we are? >> yes. stuart: has anyone looked at those e-mails to see what is in them? >> the inspector general is looking at them but it begs the question how hard did the irs wants to find these e-mails in the first place? they have been sitting in this facility for four years after the hard drive crash? the irs never looked for them. the inspector general learns about it and recover the males in two weeks took two weeks to find them. they have been sitting there and there are thousands of e-mails, the guy looks through the end some of ones they already obtained, the house committee but the inspector general is looking for potential criminal activity. stuart: jim jordan, republican of ohio is on the show 45 minutes ago suggesting there ma

or sent back by the irs. they didn't pay it in full. intuit writes that off as bad debt. >> let me interrupt you for a minute. this is a complicated story. we'll break it down for our viewers. i want to play sound that comes from a conference call with one of the executives at intuit. let's hear that sound now. >> they'll choose whatever they choose. while we're all trying to solve the uber problem of having them be extremely good as noticing a fraudulent return no matter where it comes from, we want the irs to be good enough to notice the abstract patterns and shut it down at the source. not based on whether any one particular vendor has built a better mousetrap than the other. >> adam, to you. you look at this all the time. the irs, of course, is in charge of making sure that tax returns are true. >> right. gerri: and intuit says it's not our job to monitor this. what's your response? >> i think it's everybody's job. every time people don't secure identifying information for people, any time that any corpor

now it is in a function of the irs. it is responsibility of the irs to do that.now here's the other thing going on gerri. gerri: all right. >> let me make this point now. we've got a tax system that was changed more than 4600 times. gerri: you don't have to argue i completely -- taxes are too complicated. you know you make it is an interesting point. maybe we could avoid this fraud all together if there was a flat tax, a one-page tax form that everybody used. if it was super simple would we have these issues? >> no question about a flat tax would help but wouldn't solve the problem because you still have to file a tax return, right? the problem is hacking into the system and falsifying the tax returns. what would solve the problem, gerri, is a eliminating income tax and internal revenue service going to national retail sales tax that would fix the problem. gerri: good luck my friend. you have a long way to go to get there. dan, thank you. >> no question. thanks for having me. >> dan, thank you. before i leave this i just want to mention in case you're tuning in i

have you made any recommendations to the irs as to how to combat the problem? .. now there are ways that, that the irs could address this which we have recommended in the past and that included you know earlier reporting of earnings under, the w2 form. so again, the earlier the irs has information on what people are paid the earlier they can address problems that they ultimately find. but this is in conjunction with the request that the treasury department as well as recommendations that we have made and the irs has made for what is known as correctable error authority. so for example you know once the tax filing season begins, which in effect is the second or third week in january depending on the year people can file their tax return and seek a refund. the irs is not required to receive from the payee the employer or whomever for another three months, sometime in march. that same information on that individual. now, if the individual claims is different amount than what the employer claims that individual could receive more money and then receive a refundable cr

the person that audits the irs.they found 33,000 more emails. >> that's a lot of emails. >> exactly. here's what they did. the irs appeared in front of congress. irs given you all the emails. >> we don't have anymore. >> exactly. or they have been lost. they have been cleated. >> they are gone. >> whatever. so congress then goes back to the inspector general and says is that true? are there any more out there? inspector general get in a car go to -- drive to west virginia. they find all these documents. >> 33,000. >> yes. these emails. >> now we don't know yet guilfoyle, what's in them. right? >> well, no. now we have got to take the time to go through that what what an obstruction of justice and such a delay in hiding. there is also -- they could be held in criminal contempt. >> they are in trouble. >> if you can pinpoint specifically who was held and with specific intent to do so. this is a highly improper. >> all right. so now this has a little momentum now this irs scandal. >> it does. number one missing emails.

government accountability office, the gao, they say that a former irs employee still has access to irsstems after they left the agency due to outdated software, without proper security functions. that's great. so lois lerner is going over ted cruz's returns? so make sure, be nice and flirty next time you are audited. does this surprise you at all? >> well, it seems their security was worse than hillary clinton's e-mail server. this is incredible that -- a mom-and-pop business that had nothing worth stealing would not let a former employee log. in and the irs has got this data worth a fortune on the black market. you can sell it to identity thieves, business rivals, political enemies, and they're just letting people log. in a disgruntled fired employee can log in and sell the data. kennedy: some of the most sensitive data out there. what rivals it is what's on the healthcare.gov website. >> i've written about this before, the irs and the odd place it occupies within our debate. when the patriot act was passed we had over and over again, the government would be spying on book records. i

she was getting nowhere with the irs. after an additional two years of working with her, the irs and the taxpayer advocates office was able to resolve the situation. is the irs doing enough to resolve cases of identity theft and timely manner? is the waiting period sandra experienced acceptable in your. -- in your opinion? >> no, because i'm a criminal investigator and i know how horrific that experience is for an individual. i can to you that the irs has made great strides in trying to be better, faster, and more responsive to victims. one of the things they put in place was in identity theft victim pain that, in future years, they use that pin number to validate their identity. my observation for meeting the audit reports that our staff has done, is that they have made great strides. >> what would you say is the status now somebody who finds themselves in a situation like sandra? what can they expect to be the. of time in which their issue will be resolved? >> my understanding is that it will be better than it was in pr

irs -- >> per year? >> excuse me? >> but you said she will turn 65 in june. >> late june, yes. >> so that takes care of 2015. >> no. right now she is obliged, under the individual mandate, to have insurance. you have to have insurance for 9 months of the year and so as of april 1 -- >> then -- >> she will be subject to the penalty which will be alleviated only by -- >> again, i'll ask the government if they agree with you on that. and then i think for the fourth plaintiff, there's a question whether she would qualify for a hardship exemption from the individual mandate even if she received the tax credit, in which case the tax credits would be irrelevant. >> that's true. again, i'll refer you to the joint appendix at 41. that was the government's argument below. we didn't want to get into a factual dispute about it because we had such clear standing with respect -- >> yeah, but you have to -- >> but you would have to establish the standing, prove the standing. >> well, as -- >> if this gets beyond the op

and a cpa is licensed by the irs and can perfectly well do your tax return. and then some people want to go to a place they know like an hr bloc like a national tax preparation chain. >> i've gone there before. and i've been warned at times because you should be careful that a lot of people at the national tax places don't have a ton of experience and are just there as temporary workers. is that true? >> you should be careful anywhere. really theers is irs is coming to you. first, what is the tax preparation identification number. each person should have one of those. and they will be on yr return. and check out their history. check them without better business bureau. a cpa should be licensed with the state regulators. you should also look at the irs to see if the enrolled agent is licensed there. and just ask also what type of training that they have had, how long they have been doing this. what types of returns they work with. a lot of small business, small business owners, do they work with with a lot of people in your situation? and that is how you can c