IRS Updates on Strategic Operating Plan Milestones

IRS UpdatesWinding out what will surely be the most effective years of the Internal Revenue Service (IRS), the agency recently updated on key milestones in its operating plan.

 

With the change in administration, it is likely the IRS may have reduced operating capacity, and curtailed enforcement objections moving forward. Before those impending changes, though, the IRS recently posted its progress on key initiatives, including addressing tax crime, improving service, and making operational improvements. Just some of those updates include:

  • IRS: Criminal Investigation (CI): Each year, the IRS:(CI) collaborates with other governmental units to identify and curtail organized crime, financial and tax crime, and drug trafficking. This year was no different, and IRS:CI continued to play a successful role in these operations. IRS:CI secured court orders totaling $1.7 billion in restitution to U.S. taxpayers, seized criminal holdings worth $1.2 billion, and identified more than $9.1 billion in fraudulent activity, including tax fraud.
  • Whistleblower activity: The IRS continues to use information from whistleblowers to identify and assist in both civil matters and IRS criminal tax investigations. The IRS reports that it paid $123.5 million to individuals who assisted in IRS efforts to collect $474.7 million. The types of cases on which whistleblowers stepped up this year include fraudulent or overstated tax deductions, abusive tax and international transactions, under- or over-reported income, and questionable offshore tax holdings.
  • Digital First Initiative: The Digital First Initiative is the signature project of the IRS to expand and improve taxpayer services. Features offered this year included the expansion of an online self-service account feature called “Business Tax Account.” With the inclusion of C-corporations in the initiative, the IRS is now serving more businesses through their online accounts.  Authorized business users, C- and S-Corp representatives can pay federal tax deposits, pay balances, and review returns, transcripts, and account information online.
  • Professional Tax Accounts: In its Digital First program, the IRS has built-in services for tax professionals. Tax professionals can review client information and provide services to the IRS on their behalf. Some of the new capabilities offered to tax professionals include a chatbot to assist in troubleshooting issues, live chat with an IRS representative, review and revision of client payment plans, and options to make same-day payments on behalf of authorized clients.

 

This is just a glimpse of the progress made by the IRS on its current operational plan this year. As strategies and priorities of the agency change in the coming months—we will keep you posted.

 

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Robert J. Fedor, Esq., LLC helps you respond strategically to goals to build and nurture wealth as well as respond to allegations of tax fraud, or tax crime. Serving domestic and international clients from offices in Cleveland, and Chicago, call 440-250-9709 or contact us today.

 

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