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BREAKING NEWS: A federal appeals court rules 2-1 that subsidies that helped people buy insurance at healthcare.gov are illegal.

WASHINGTON (Reuters) - A U.S. appeals court on Tuesday threw out a federal regulation that implements key subsidies that are vital to President Barack Obama's healthcare overhaul. The U.S. Court of Appeals for the District of Columbia Circuit accepted one of the main legal challenges to the policy by conservatives opposed to an expansion of the federal government. A three-judge panel returned the case to a lower court with instructions to rule in favor of appellants who had sued to overturn t...

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Former IRS chief tells lawmakers "dismayed" by targeting

Former U.S. Internal Revenue Service (IRS) Commissioner Douglas Shulman speaks during an interview with Reuters at his office in Washington
Former U.S. Internal Revenue Service (IRS) Commissioner Douglas Shulman speaks during an interview with Reuters at his office in Washington

WASHINGTON (Reuters) - The former head of the Internal Revenue Service told U.S. lawmakers on Tuesday he was "dismayed" to learn that the tax agency had subjected conservative groups to extra scrutiny under his watch.

At a congressional hearing, former IRS Commissioner Douglas Shulman said he was unaware in June 2011 about the targeting, and only found out the full scope and severity of the activity when a Treasury Department watchdog published its report.

"The full set of facts around these circumstances came out last week ... until that point I did not have a full set of facts," he said.

(Reporting By Kim Dixon; Editing by Doina Chiacu)

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