The Latest from the IRS

Monday, December 7, 2015
The IRS has just released its 2015 Annual Report. The annual report includes recommendations on a variety of tax administration issues.  The advisory group to the IRS, known as IRSAC, oversees the process and provides a forum for the IRS Commissioner, as well as IRS executives and public representatives to review and discuss the most pressing tax administration issues based on the annual report.

The IRSAC is made up of volunteer who provide their personal feedback and suggestions about tax issues that may be a priority for taxpayers. They really become the spokesperson for taxpayers. IRS Advisory Council members represent the taxpayer’s ideas of standards and practices that are necessary for IRS-related activities and for tax professionals. They provide constructive and valuable feedback about IRS policies, programs, and procedures, both new and existing as well. .

This year, IRSAC provided different recommendations to the IRS about many different issues that the taxpayers may be concerned about.  Some of most pressing topics that were discussed at the public forum include:

1.     The IRS does not have the funding it needs in order to function in an effective and efficient manner.  This compromises the guidance and assistance that is available to taxpayers, which many times, is not adequate. Funding for enforcement of the tax code is also lacking which minimizes the integrity of the U.S. tax system.

2.     The IRSAC is concerned about the identity authentication system of certain tax forms, specifically the Tax Form 1040 series.

3.     The IRSAC is concerned about the third-party payer arrangements for employment-related taxes.

The IRSAC also showed concern about regulation of tax practice and penalties related to international information related to taxes. The annual report provides information compiled by the IRS for taxpayers and the public at large to be informed about what the IRS is focusing its efforts and resources on.

The report had identified that the IRS faces reduced funding levels in the last three years which caused a decrease in the number of IRS staff who are available to provide necessary services to taxpayers. However, as the resources are depleted, the IRS’s responsibilities have expanded. The good news is that the total amount of tax money has increased. The tax return filings is steady at this time.

The Strategic Tax Lawyers, LLP are a firm of California Tax Attorneys and we are also Intent to Levy attorney and Tax Relief attorneys who specialize in all aspects of the tax code, especially federal tax liens.  Our firm has years of experience dealing with the IRS about tax-related issues.  To get a free consultation, call the Strategic Tax Lawyers at (800) 669-4775 for assistance you with your tax-related matters.