Thursday, October 19, 2006

Who has the power: IRS or Congress?

The Joint Economic Committee Chairman, Jim Saxton, issued a press release warning the IRS not to issue new regulations which cause online virtual economies to be taxed. This is an esoteric issue to be sure but it is bizarre to have the legislative branch of the government issuing warnings to a regulatory agency. Maybe this ought to be a huge red flag that this agency has too much power!!