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Sen. Mike Crapo, R-Idaho, unpacks the Trump team’s bold economic agenda on “Kudlow.”
President-elect Trump The nominee for Treasury secretary told senators during his confirmation hearing on Thursday that he will seek to crack down on tax cheats, rich or not.
Scott Bessantthe CEO of Key Square Group that Trump nominated to serve as Treasury Secretary testified before the Senate Finance Committee and was pressed on whether he would work to step up audits of wealthy taxpayers. If confirmed, Bessent would lead the Treasury Department, of which the Internal Revenue Service (IRS) is a sub-agency.
Sen. Ron Wyden, D-Ore., ranking member of the Senate Finance Committee, noted that while technological developments such as artificial intelligence (AI) can help with tax oversight, the agency will need resources it says it has lacked in the past and, as a result, has stymied previous efforts to step up audits of wealthy taxpayers.
“What you’ve seen because we don’t have the resources to go after wealthy tax cheats, the people who use the Earned Income Tax Credit or something like that, they’re the ones who get the audits and the like,” he said. Wyden. “And I want to see, in that position, someone who is committed to making sure that we’re going to have the resources to go after the wealthy tax cheats who have this kind of unique system.”
Scott Bessent testifies during his Senate Finance Committee confirmation hearing in Washington, DC, on Thursday. (Tom Williams/CQ-Roll Call, Inc via / Getty Images)
“And I would acknowledge your point that it’s certainly going to be a challenge in the coming years in terms of AI and other technologies, but we’re still going to need resources,” Wyden added.
“If confirmed, I will get back to you with a plan to increase the collections,” Bessent replied.
That prompted Wyden to follow up by asking, “Where rich tax cheats?”
“You seem to think the rich cheat more, but I think across the income spectrum,” Bessent said.
“You’re saying that the rich have this special cache, but if there’s some big mother thread out there, then to figure out how to crack it, either through AI or other means, I’ll promise to get back to you. .”
HORSER SECRETARY NOMINEE SCOTT BESSENT’S “3-3-3” PLAN: WHAT YOU NEED TO KNOW
Scott Bessent, founder and CEO of Key Square Group LP, is seen during an interview in Washington, DC on June 7, 2024. (Stefani Reynolds/Bloomberg via Getty Images/Getty Images)
Wyden noted that Trump’s IRS Commissioner since his first term he testified that the agency needed additional multi-year funding because it was “overwhelmed when it came to auditing wealthy individuals and large corporations.”
“The view that I’ve expressed today is not just what I’m offering, but a former Trump appointee specifically said that the agency was over resourced. You’ve indicated that the discussion will continue, it’s an important issue. one,” Wyden told Bessent.
