The week began on Monday with visits with Erin Collins (National Taxpayer Advocate (TPA)) and her team. The Taxpayer Assistance and Services Act was the first item discussed. This bill was introduced by the Senate Finance Committee Chair and Ranking Member as a bipartisan discussion draft. Each year the Taxpayer Advocate makes recommendations for changes to IRS regulation, and of the 68 items listed in this bill, 40 of them are National Taxpayer Advocate recommendations. Comments were taken on the draft through March, and we are not seeking co-sponsor support for this bill to take traction and pass through the Senate.
Other topics addressed were excessive penalties for inadvertent FBAR errors, gift tax, payments to/from the IRS, the Executive Order stating that the IRS would go paperless by September 2025 and loss of resources within the IRS. There was additional concern that in the current TPA Report to Congress, four of the 10 Most Serious Issues with the IRS had to do with staffing, and that the current administration plans to cut the IRS by 25–40%. When questioned on this, the TPA indicated they were reviewing all workloads and processes to be as efficient as possible.
The TPA also mentioned that she plans to have an international focus section for this year’s Annual Report and asked for input on the biggest issues Americans abroad face with the IRS.
Our next meeting was with Tom Hick, Commissioner of the Election Assistance Program. Our immediate concern was with the SAVE Act and its requirement that in order to register to vote, citizens are required to produce proof of citizenship IN PERSON to their “local election official,” as well as President Trump’s Executive Order, which also requires proof of citizenship to vote. The Commissioner said that he could not discuss the Executive Order due to pending court cases, but indicated that the SAVE Act was currently in the Senate Rules Committee, chaired by Mitch McConnell who is not in favor of the bill. The indication is that it will be difficult to get the bill out of the Committee to the Senate floor for discussion.
He also mentioned the Committee for Safe and Secure Elections, of which he is a member. The Committee consists of a group of cross-partisan experts in election administration and law enforcement who aim to support policies and practices that protect election workers and voters from violence, threats and intimidation. The Committee also works to build relationships and trust between election officials and law enforcement in order to better equip both to prevent and respond to threats and violence against voters and election workers. With all that said, he indicated that he expects there to be continued attacks on voting rights through 2026.
Finally, we met with Michael Gullette (Senior VP–Tax & Accounting) and Joey Connor (VP–Tax Policy) of the American Bankers Association (ABA). We discussed the same topics that we bring up to the ABA every year – Americans without a US address having difficulty obtaining/maintaining banking and financial services within the United States due to banks’ strict interpretation of the Patriot Act’s KYC (Know Your Customer) provision.
It was during this meeting that the information was beginning to trickle out on the Reconciliation Bill issued in the House on Sunday. Joey received information on the pending Remittance Tax on all international transfers originating in the US and the discussion exploded with questions. We made a note to find the section of the bill covering this topic and add it to our agenda for congressional office meetings in the coming days.
On Monday evening we met with representatives of FAWCO sponsor the State Department Federal Credit Union (SDFCU), who had just returned from an international tour visiting consulates and embassies and meeting with the American Women’s Club of Denmark! (Photo above left.)
Friday morning we began at the State Department Consular Services Division, with Elizabeth Gracon and her team. (Elizabeth was a keynote speaker at the Annapolis Conference.) She acknowledged that the trend is not to provide in-person services at the Consulates abroad. She is hopeful that online passport renewal will soon be available for internationals. Domestic reorganization of the department is ongoing, and they have no information yet regarding international divisions. The State Department overall has been on a hiring freeze since January 20, 2025; however, given that Foreign Service training is a one-year program, the effects of this freeze have not yet been felt. Visa processing for FIFA World Cup is a current priority; however, Customs and Border Patrol agents inform visa holders how long they can stay at the point of entry; this is outside of State Department control.
Agencies are being pushed with hard deadlines to implement all Executive Orders. State is working with the Department of Homeland Security on an “E-Verify” website for employment and Real ID verification. The thought is that this could potentially be used for local election officials to verify citizenship.
The last agency meeting was with the Federal Voting Assistance Program (FVAP). We asked about the removal of election/voting reports from their website. They indicated that they are being “scrubbed” for DEI references, and the revised reports will be reposted. Their 2024 Report to Congress is currently in progress and is due September 30, 2025. We brought up concerns about ballots from abroad being caught in customs, and they asked for more specific details so they can address the issue with the USPS. FVAP also indicated that their focus is more on outreach for voters. (Photo above right.)
