On Jan. 6, 2016, National Taxpayer Advocate Nina Olson released her 2015 Annual Report to Congress. She expressed deep concerns that the IRS continues to replace traditional employee-to-taxpayer dialogue with online self-help options and third-party interactions. The report states that the IRS’s future plans may redefine tax administration into a pay-to-play class system, where only the most non-compliant or resourceful taxpayers will receive personal attention.
Olson also cautioned the IRS that granting unregulated preparers access to an online taxpayer account system could create security risks and harm taxpayers. She recommends that the online system be restricted to those preparers who are subject to Circular 230 oversight.
With President Obama recently signing into law legislation that codified the provisions of the Taxpayer Bill of Rights, Olson says it’s time for the IRS to fully incorporate taxpayer rights into everything it does. She said: “For the IRS to do its job well, it must start from the perspective of what government is about – namely, it is of the people, by the people, and for the people. The government is funded by taxes paid by the people. Therefore, the future state vision of the IRS needs to be designed around the needs of the people.”
This report is chock-full of concerning data. Read more: