Senator Ron Wyden (D-Ore.) dropped a political grenade on Tuesday during a Senate Finance Committee hearing, revealing he has recordings of business associates linked to former Rep. Billy Long — Donald Trump’s pick to lead the IRS — bragging that Long promised them special treatment. “I have the tapes,” Wyden declared.
Wyden, the top Democrat on the committee, said the recordings include tax credit promoters claiming Long gave them his word — at Trump’s inauguration — that he would push favorable rulings once in office.
“Our staff investigators have on tape now, tax promoters saying you met with them at the inauguration and promised [them] a favorable private letter ruling,” Wyden said during the hearing.
Long, who made a career selling tax credits during the pandemic stimulus boom, sat mostly silent as the accusation landed at the end of the hearing. He wasn’t given a chance to respond in full but did defend his past work, particularly with controversial “tribal” tax credits — credits Democrats say don’t actually exist.
“My only involvement in this matter … was to connect interested friends of mine … just friends, if they had any interest,” Long said.
But Wyden didn’t stop there. He said another recording captured a top executive at White River Energy — a company that paid Long $65,000 — claiming he expected help from Long in pushing the same questionable tax credits.
“We also have on tape the White River CFO, who gave you the thousands of dollars, that he expects favorable treatment of these fake tribal tax credits,” Wyden said.
Long insisted he didn’t have direct dealings with White River, saying, “I never talked to anybody at White River. I don’t even know anybody at White River.” Instead, he claimed he worked “through” Capitol Edge Strategies and didn’t even know which Native American tribe was supposedly involved.
Senate Democrats aren’t buying it. They released a statement detailing how White River sold bogus tax credits to investors, then allegedly reassured those buyers that Long had “friends” at the IRS who could protect them.
After those tax credits were exposed as fake, the money started flowing. “Shortly thereafter, in mid-January, the folks down at White River decided it was time to whip out their checkbooks and start donating to Congressman Long’s long-dormant Senate campaign,” the statement read. “More than $165,000 poured into the campaign coffers, the vast majority of it from tribal tax credit promoters, including people at White River.”
Democrats say this is a textbook conflict of interest. “You have a blatant conflict of interest here, having received payment for marketing [tax credits],” said Sen. Tina Smith (D-Minn.).
White River Energy has not answered questions about its financial ties to Long.
Republicans, meanwhile, rallied behind Trump’s nominee.
“What he will do is bring a fresh and much-needed perspective to the IRS,” said Sen. Marsha Blackburn (R-Tenn.), praising Long’s background as a small business owner and auctioneer.
The scandal comes as the IRS stands at a major turning point. After years of leadership turnover, political interference, and controversial layoffs during Trump’s term, the Biden administration attempted to revive the agency with a massive $80 billion modernization push — much of which Republicans are now trying to roll back.
Still, for Wyden, the issue is clear: Trump’s nominee has serious ethical baggage — and he’s got the receipts.
