I Didn’t Believe the IRS Anyway
By Dennis Miller, Miller’s Money Forever
The situation surrounding Lois Lerner’s emails has resurfaced, albeit without her BlackBerry, which has been lost for good. The IRS intentionally destroyed the device back in June 2012, following an inquiry from congressional staff regarding the agency’s targeting of conservative groups. This was confirmed in a recent sworn statement by the Deputy Assistant Chief Counsel at the IRS.
We’ve all encountered people who seem untrustworthy for reasons we cannot pinpoint. Often, these feelings have a solid foundation.
Have you ever received a backhanded compliment? The words may sound nice, but the delivery—body language, tone, or context—reveals their insincerity. You may find yourself thinking, “Does this person really believe I’m that gullible?”
Thus, our instinct to build trust barriers kicks in. If they can lie about this, they can lie about anything.
The IRS saga exemplifies why skepticism is necessary. The emails that Congress sought were, according to the IRS, lost when several hard drives inexplicably crashed. I reached out to my colleague Alex Daley, our resident tech expert, to gauge the likelihood of such a coincidence. Here’s his assessment:
“Anyone who has used a computer knows that hard drives can be unpredictable. Google has conducted extensive studies on their failure rates. The main takeaway is that there’s roughly a 1 in 36 chance a hard drive will fail in a given month. This suggests that, assuming the IRS followed sound data management guidelines—which seems a stretch for an agency that manages an immense amount of personal data—there’s only about a 1 in 78 billion chance that seven hard drives failed simultaneously and lost all their data.
“To put this into perspective: the odds of winning the Florida Lottery are about 1 in 23 million, making it 340 times more improbable than winning a state lottery. The probabilities for Powerball and Mega Millions are roughly 1 in 175 million and 1 in 259 million, respectively.
“However, we might be giving the IRS too much credit. The risk of hard drive failure increases over time, and it’s likely that the IRS, much like other government agencies, isn’t diligent about replacing old equipment. The risks further mount when drives are stored together, as external issues like fire or flooding can wipe them all out at once.”
Initially, negligence seemed the only logical explanation for the vanishing data.
Yet, it appears the missing data was not truly lost. According to Judicial Watch President Tom Fitton:
“Department of Justice lawyers for the IRS informed Judicial Watch on Friday [August 22] that Lois Lerner’s emails—and indeed all government records—are backed up by the federal government as a safeguard against widespread disasters. The Obama administration’s attorneys claimed that searching through this backup system would be too burdensome. They also acknowledged that the Treasury Inspector General for Tax Administration (TIGTA) is investigating this backup protocol….
“No emails from Lois Lerner are actually missing—nor any from other key IRS or government officials whose communications seem to be disappearing at an alarming rate. All the focus on lost hard drives is a diversion.”
This explains why many Americans feel belittled. Does the government genuinely think we are so naïve? Perhaps so. I view it this way: while it’s conceivable that a dog could eat your homework, it remains a dismal excuse that no one takes seriously. It’s no wonder politicians rank low on the trust spectrum.
Whom Can You Trust?
The IRS is an unavoidable presence in our lives. If you reside in the U.S. or are a U.S. citizen living abroad, you cannot sever ties with the agency. However, the bright side is that you can choose to engage with trustworthy individuals for your financial affairs.
One of the most frequent inquiries I receive from readers is about finding reliable brokers or financial advisors. Many come with stories of having to terminate their previous advisor due to a gut feeling that something was off. Perhaps they were steered toward high-risk investments or costly mutual funds. Others sensed a general discomfort without being able to articulate it.
We should expect those managing our money to prioritize our interests above theirs. One reader lamented how paying fees to an advisor who invested in high-fee funds rendered it nearly impossible to achieve his desired growth. He clearly was not receiving the service he deserved and had every right to look for alternatives.
The Female Brain Detects Deception Best
I recently finished reading *The Female Brain* by Dr. Louann Brizendine, who offers substantial scientific evidence supporting the idea of female intuition. Women generally excel in recognizing nonverbal cues and tend to possess more receptors for these signals compared to men.
This insight sheds light on why my youngest daughter recently dismissed an attorney. I was proud of her. She explained, “I grew tired of feeling like I was being talked down to!” When I probed further, she expressed that he perceived her as uninformed and expected her to follow his advice blindly. She was attuned to subtle nuances that would often go unnoticed.
Earlier in my career, I sought guidance from a renowned public speaker who had an extraordinary ability to “read” his audience through nonverbal signals. He recommended I explore *Body Language* by Julius Fast to refine my awareness of these cues.
After reading that book, I delved into related works, including *Kinesics and Context: Essays on Body Motion Communication* by Ray L. Birdwhistell. This helped sharpen my ability to pick up on nonverbal signals, possibly allowing me to trust my instinct about the dubious explanations from the IRS. It has certainly aided in my decision-making when considering business relationships.
An attorney, stockbroker, or financial advisor may possess an impressive track record and all necessary qualifications, yet that’s not sufficient. If someone makes you uneasy for reasons you can’t articulate, heed your instincts. Switching gears and hiring someone new might be cumbersome, but it can save you significant time and stress in the long run.
Sincerely,
Dennis Miller
for Economic Prism
[Editor’s Note: For weekly, straightforward tips on safeguarding your finances and thriving at any age, sign up here to receive my free newsletter, Miller’s Money Weekly, every Thursday. The article I Didn’t Believe the IRS Anyway was first published at millersmoney.com.]