03/29/2018

IRS Revamp Bill Introduced in House

The draft bill includes dozens of prescriptions to “fix” the IRS

Two lawmakers on the House Ways and Means Oversight Subcommittee released draft legislation this week to overhaul Internal Revenue Service (IRS) operations and modernize the agency’s information technology, infrastructure and services.

Oversight Subcommittee Chairman Lynn Jenkins (R-KS) and Ranking Member John Lewis (D-GA) said the draft bill is the result of dozens of hearings and roundtable discussions with IRS stakeholders over the past three years.

Jenkins said this week that the tax law enacted by Congress last year “was only half of our promise.”

“Our attention must now turn to modernizing the IRS and improving the taxpayer experience,” Jenkins said. “As a CPA, I know from experience the IRS can be very frustrating to deal with. The IRS reform bill we are releasing today will be a giant step forward in improving the taxpayer experience.”

The draft bill includes dozens of prescriptions to “fix” the IRS, including adopting a new process for resolving tax disputes; revamping the IRS’s customer service strategy; enhancing cybersecurity and identity theft prevention; and developing new, secure online portals for taxpayers and their preparers to improve the agency’s ability to assist taxpayers with their filings. The bill would not eliminate the controversial private debt collection program, which allows the IRS to use private companies to collect unpaid taxes. But it does seek to protect low-income taxpayers from being harassed by debt collectors, Lewis said.

“Unfortunately, the bill does not repeal the private debt collection program but it makes good progress in protecting low and middle-income taxpayers from harassment and abuse,” Lewis said. “We produced a serious, thoughtful bill that puts the taxpayer first.”

This article was provided to OSAE by the Power of A and ASAE's Inroads.