| Language Aims to Stop TAC Closures. The administration's budget proposed to cut spending on taxpayer services by 1.1 percent, a move criticized by members of Congress, the IRS Oversight Board, and others. A key cost-saving measure is the intended closure of 68 taxpayer assistance centers (TACs) no later than Sept. 30. The subcommittee's spending plan included an administrative provision that would prohibit IRS from closing the TACs until the Treasury Inspector General for Tax Administration submits a report outlining the effect of closing the centers on taxpayers and tax-law compliance. National Treasury Employees Union President Colleen Kelley said in a June 15 statement the subcommittee's demand for the study was a "positive step." In a June 15 statement, Everson defended his agency's decision to close the TACs. "We based our decision on a business model that reflects taxpayer preferences for available-on-demand electronic services and expectations to deliver more service at a lower cost," Everson said in the statement. "The President's FY 2006 budget provides a responsible level of funding to achieve our mission of maintaining a high level of taxpayer service at a lower cost. GAO has also recognized our ability to maintain the high quality of service despite a decreased budget," Everson said in the statement. NTEU represents tens of thousands of IRS employees, including about 90 percent of the workers who will be affected by the TAC closings, Kelley said May 27. |

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