Department or branch of government that is responsible for creating domestic policies concerning the collection of taxes is
B. Internal Revenue Service (IRS)
Step-by-step explanation:
The Internal Revenue Service is responsible for all the revenue and ta related discussions and law formation in the country and is the highest authority on such matters.
The IRS is a department of government that is responsible for creating domestic policies concerning the collection of taxes.
It is also the one that is responsible for the actual collection of taxes and doing crackdowns on those who do not pay their taxes to the Federal Government.