The I.R.S. has suffered from tight budgets for decades, as Republicans sought to starve the agency. It received more than $1 billion in additional funding through the American Rescue Plan last year, though, to improve taxpayer services. A 2022 House spending bill that passed this week would give $12.6 billion to the I.R.S., the largest annual budget increase since 2001.
The hiring goals will not necessarily be easy to accomplish, as the nation has been experiencing a labor shortage and many of the I.R.S. jobs pay $15 an hour, making them less competitive than many private sector jobs.
The I.R.S. expects to hold job fairs in Kansas City, Mo.; Austin, Texas; and Ogden, Utah, to beef up its processing centers in those cities. It is also shifting 700 employees to those locations to create “surge teams” to process backlogged returns.
Officials from the Treasury Department, which oversees the I.R.S., said on Thursday that the goal was to have the inventory of old tax returns cleared by next year’s tax season. There are no plans, they said, to delay Tax Day this year beyond April 18.