Markup of H.R. 1155, H.R. 997, H.R. 998, H.R. 1152, and H.R. 1156

Benefits Fraud and Improper PaymentsHouse Ways and Means · 2025-02-12 · 119th Congress
The House Ways and Means Committee met to mark up five bipartisan tax administration bills: H.R. Begins at 0:15:09
Transcript
Highlights

Title

Markup of four bipartisan IRS reform bills and UI fraud statute extension

Purpose

The House Ways and Means Committee met to mark up five bipartisan tax administration bills: H.R. 1155 (allowing direct-deposit replacement of stolen tax refund checks), H.R. 997 (independence for National Taxpayer Advocate counsel), H.R. 998 (clearer IRS math-error notices), H.R. 1152 (extending the "mailbox rule" to electronic tax payments), and H.R. 1156 (extending the statute of limitations for pandemic unemployment insurance fraud prosecutions). While the underlying bills drew broad bipartisan support, much of the debate was dominated by Democratic objections to DOGE and Elon Musk's access to Treasury payment systems and taxpayer data, and by disputes over the firing of inspectors general. Begins at0:15:09

Who spoke

Chairman Jason Smith (R-MO)0:15:09: Opened by outlining the five bills as efforts to reduce fraud and improve taxpayer service0:15:09; later argued extending the UI fraud statute of limitations is critical since it expires in 43 days0:19:12, and repeatedly ruled Democratic amendments non-germane1:35:352:07:03.

Ranking Member Richard Neil (D-MA)0:20:42: Praised the four administration bills as bipartisan0:21:13 but pressed Republicans to call Treasury Secretary and DOGE officials before the committee, citing a NYT op-ed by five former treasury secretaries warning of a "constitutional crisis"0:23:44.

Rep. Terri Sewell (D-AL)0:32:49: Co-sponsor of the stolen-checks bill; described a constituent whose replacement checks were repeatedly re-mailed to the same failing address0:33:50.

Rep. Claudia Tenney (Mia?) — actually Rep. Nicole Malliotakis (R-NY)0:28:16: Lead sponsor of the Recovery of Stolen Checks Act; cited 377 stolen-check cases in her district totaling over $5.3 million and roughly 40,000 stolen IRS checks nationally in 20240:29:16.

Tom Barthold, Joint Committee on Taxation Chief of Staff0:35:50: Gave technical walkthroughs of each bill's amendment in the nature of a substitute and revenue estimates, including a negligible revenue effect for H.R. 11550:36:51 and a $33 million revenue loss estimate for H.R. 9982:50:19.

Rep. Lloyd Doggett (D-TX)0:37:21: Questioned Barthold on Section 6103 access and DOGE staffers' access to sensitive taxpayer data, including a 25-year-old staffer's controversial online posts0:38:52; later noted a contractor who leaked taxpayer data ("Littlejohn") is serving a 5-year federal sentence1:14:47.

Rep. Gwen Moore (D-WI)0:41:24: Asked about qualifications/background-check requirements for Treasury employees with data access0:41:54; later raised the impact of frozen USAID/USDA payments on Wisconsin farmers2:52:21.

Rep. David Kustoff (R-TN)0:48:00: Co-sponsor of the stolen-checks bill; cited an 87% increase in mailbox theft from 2019-2022 per USPS data0:48:30 and doubled SAR check-fraud reports 2021-20220:49:00.

Rep. Mike Thompson (D-CA)0:52:03: Called for Musk and Treasury Secretary to testify0:52:03; offered an amendment to H.R. 1155 conditioning effectiveness on Treasury certifying lawful data access1:31:32; later offered a UI-fraud-bill amendment to remove the funding offset5:01:22.

Rep. Brad Schneider (D-IL)0:54:05: Noted last Congress's bill raising Section 6103 penalties to $250,000/10 years0:54:35; co-sponsor of H.R. 998 and H.R. 1152, and offered (then withdrew) an amendment on health data access1:55:03.

Rep. Gwen Moore / Rep. Beth Van Duyne (R-TX)1:00:39: Van Duyne argued no evidence of illegal DOGE access exists and cited DOGE findings like $59 million FEMA spending on migrant hotels1:01:39.

Rep. Danny Davis (D-IL) [0:33:19 / 2:21:32]: Co-lead of H.R. 997 with Fenstra; testified to the need for NTA independent counsel2:21:32; later opposed H.R. 1156 over IG Larry Turner's firing3:39:35.

Rep. Randy Feenstra (R-IA)0:16:40: Lead sponsor of H.R. 997 and H.R. 998; explained NTA's lack of independent counsel2:19:30 and confusing IRS math-error notices2:44:45.

Rep. Linda Sanchez (D-CA)1:22:21: Questioned why "kids" had access to sensitive data1:22:21; later opposed H.R. 1156 citing risk to legitimate UI recipients4:19:58.

Rep. Darin LaHood (R-IL)3:02:34: Lead sponsor of H.R. 1152 (mailbox rule) and H.R. 1156; cited $59 million and 90% of taxpayers filing electronically3:03:34, and cited a $59 million DOJ fraud case tied to China3:44:40.

Rep. Suzan DelBene (D-WA)3:04:34: Co-sponsor of H.R. 1152; argued electronic filers are unfairly penalized versus paper filers3:04:34.

Rep. Jimmy Panetta (D-CA)3:09:07: Supported H.R. 1152 as a "no-brainer" fix to filing deadlines3:09:07, while also raising Treasury payment-system privacy concerns3:10:29.

Rep. Greg Murphy (R-NC) [3:57:19 / 4:00:19]: Joked about "Musk Derangement Syndrome"3:57:19; supported H.R. 1156.

Rep. Steven Horsford (D-NV)3:14:22: Offered (then saw ruled non-germane) an amendment to codify the IRS Direct File program, citing $90 million in refunds claimed by 140,000 taxpayers3:14:52.

Rep. Judy Chu (D-CA) [4:54:22 / 0:32:49]: Offered an amendment to H.R. 1156 conditioning the statute extension on reappointing a Senate-confirmed Inspector General4:56:11; later withdrawn.

Rep. Mike Kelly (R-PA) / Rep. Lloyd Smucker (R-PA)3:52:15: Defended DOGE's work, citing Social Security payments allegedly going to 150-year-olds3:53:45.

Rep. Brian Fitzpatrick / Rep. David Kustoff — co-sponsors of H.R. 1152, noted throughout roll calls.

Rep. Bill Pascrell's successor, Rep. John Larson (D-CT)1:17:19: Delivered a poem criticizing "Musketeers" and unchecked Musk access1:17:49.

Rep. Mike Carey (R-OH)4:32:38: Delivered his own poem urging bipartisanship4:33:39.

Rep. Nicole Malliotakis (R-NY)0:28:16: (see above, listed once) also questioned witnesses during floor colloquy.

Rep. Stacey Plaskett (D-VI)4:48:48: Invoked "The Wire" character Bunk Moreland to argue investigators need "soft eyes," criticized narrow fraud focus versus $64 billion in PPP fraud4:51:20.

Rep. Linda Chu Ben (Judy Chu)4:27:05: Defended FEMA workers responding to Altadena/Pasadena fires4:27:35.

Key moments

Doggett pressed JCT's Barthold on whether DOGE staffers—including a 25-year-old with racist online posts and a teenager known as "big balls"—had access to 300 million Social Security numbers; Barthold repeatedly said he had no information0:38:220:38:52.

Democrats' point-of-order appeals on three separate amendments (Thompson's data-certification amendment, Chu's IG-access amendment, and Horsford's on requiring transparency) were each tabled by roughly 24-16/17/18 party-line votes after Rep. Buchanan moved to table1:41:311:51:572:10:37.

Rep. Horsford's amendment to codify the IRS Direct File program, noting $90 million already refunded to 140,000 taxpayers, was ruled non-germane3:15:233:20:27.

Rep. Berger (Doris?) noted Republicans passed a bill last Congress raising Section 6103 penalties from $5,000/5 years to $250,000/10 years, contrasting past "zeal" for taxpayer privacy with silence on the Musk/DOGE breach0:54:350:55:06.

A Washington Post article entered into the record confirmed DOGE staffer Marco Elez was mistakenly given "read write permissions" to Treasury's payment system, per a 9-page BFS affidavit1:10:141:10:45.

Van Duyne countered that GAO testimony found no evidence of illegal DOGE access, and cited DOGE-uncovered spending such as $1.5 million for DEI in Serbia and $59 million for migrant hotels in New York1:01:391:02:40.

Rep. Thompson's amendment to H.R. 1156 to remove a $5 million funding rescission for anti-fraud identity verification tools failed 18-245:12:55.

H.R. 1156 (pandemic UI fraud statute extension) passed committee 24-18 along party lines, with Democrats objecting to the firing of DOL Inspector General Larry Turner and the funding rescission5:17:12.

H.R. 1155, H.R. 997, H.R. 998, and H.R. 1152 all passed unanimously (41-0, 43-0, 43-0, 41-0 respectively)2:18:262:43:453:02:043:30:00.

Rep. Doggett noted the earlier IRS leaker "Littlejohn" is serving a 5-year federal prison sentence, which multiple members cited as evidence prosecution under existing law already occurs1:14:472:01:00.

Metadata

CommitteeHouse Ways and Means
Chamber / CongressHouse · 119th Congress
Date2025-02-12
TypeMarkup
Witnesses
(none listed in event metadata)
Videoyoutube
Transcript589 caption blocks · 39,193 words · 5:18:03 runtime
EventCongress.gov 117893