National Taxpayer Advocate Raises Concerns Over Funding Allocation.
The Internal Revenue Service (IRS) is a much-maligned agency that has long faced criticism for its poor customer service. However, there are recent reports that the agency is starting to improve, particularly when it comes to answering phone calls. This is welcome news for tax payers who have struggled to get in touch with the IRS in the past.
According to a recent report, the IRS has hired thousands of new customer service representatives, and this has made a significant difference in the agency’s ability to answer phone calls. Tax preparers and consumers alike have reported shorter wait times when calling the IRS for assistance. This is a marked improvement from past years when reaching the IRS by phone was next to impossible.
Despite these improvements, serious service problems still persist at the IRS. Many tax preparers have reported that it can take months to get paper returns processed and resolved. In some cases, the IRS has outdated technology that makes it difficult to protect tax payer data and ensure the most modern and robust security.
In a 150-page report, the IRS detailed its plans to use the $79.6 billion approved by Congress and President Joe Biden last year for agency improvements. The National Tax payer Advocate, Erin Collins, is concerned that only 10% of IRS funds will improve tax payer services. To avoid depletion of new funds, she believes the IRS needs more funding to address long-standing service problems.
Collins also questions whether there is enough funding allocated to modernize what she calls “the agency’s antiquated IT (tech) systems.” Developing a plan and successfully implementing it are two different things, and the IRS must find a way to upgrade its technology to provide better customer service.
The IRS needs to address persistent technical problems despite making progress in answering calls and improving customer service. Expert guidance is crucial for tax payers and professionals despite cautious Trust towards the agency’s improvement plans. If you need help navigating the tax code, we encourage you to seek out trained and experienced tax specialists by posting your project and signing up here. Licensed tax professionals can expand their practice by joining IfindTaxPro marketplace to connect with clients and colleagues. Get started by registering here.