ADDING A PERIOD TO AN EXISTING INSTALLMENT AGREEMENT

NSTPForm 9465, IRS Forms

ADDING A PERIOD TO AN EXISTING INSTALLMENT AGREEMENT

ADDING A PERIOD TO AN EXISTING INSTALLMENT AGREEMENT Did you know with the February 2017 revision to the Form 9465 (Installment Agreement Request) you can now add a liability for a new tax period to an existing installment agreement? You may use Form 9465, Installment Agreement Request, to request to add the liability for a new tax period to an existing installment agreement.  Per the Instructions for Form 9465, include in the total amount on line 7 all balances that you owe even if they are included in an existing installment agreement. Ensure the proposed monthly payment amount on line 10 represents the total for all your liabilities. -Line 7: Enter the total amount you owe as shown on your tax return(s) (or notice(s)). Include in this total amount all balances that you owe even if they are included in an existing installment agreement. Enter the total amount you owe as shown on your tax return(s) (or notice(s)). Include in this total amount all balances that you owe even if they are included in an existing installment agreement. Note. Electronic filing of Form 9465 isn’t available if the amount you owe is greater than $50,000. If you don’t agree to … Read More

UPDATE TO INTERNAL REVENUE MANUAL FURTHER EXPLAINS PRIVATE DEBT COLLECTION PROGRAM

NSTPCollection Agencies

INTERNAL REVENUE MANUAL FURTHER EXPLAINS PRIVATE DEBT COLLECTION PROGRAM

UPDATE TO INTERNAL REVENUE MANUAL FURTHER EXPLAINS PRIVATE DEBT COLLECTION PROGRAM Internal Revenue Manual Procedural Update: Private Debt Collection (PDC) Changes (Apr. 5, 2017) In an update to the Internal Revenue Manual (IRM), IRS has provided additional information regarding its new program under which certain overdue taxpayer accounts are being assigned to private collection agencies (PCAs). The Fixing America’s Surface Transportation (FAST) Act (P.L. 114-94, signed into law on December  4, 2015) added new Code Sec. 6306(c) which provides, “notwithstanding any other provision of law, IRS shall enter into one more qualified tax collection contracts for the collection of all outstanding inactive tax receivables”. A tax receivable means any outstanding assessment which IRS includes in potentially collectible inventory. An inactive tax receivable means any tax receivable if: At any time after assessment, IRS removes the receivable from the active inventory for lack of resources or inability to locate the taxpayer; More than 1/3 of the period of the applicable statute of limitation has lapsed, and the receivable has not been assigned for collection to any IRS employee; or In the case of a receivable which has been assigned for collection, more than 365 days have passed without interaction with the taxpayer or … Read More

TAX EXEMPT RETURNS DUE MAY 15TH

NSTPTax Exempt and Government Entities Division

TAX EXEMPT RETURNS DUE MAY 15th

TAX EXEMPT RETURNS DUE MAY 15TH Information returns for tax-exempt organizations are due on the 15th day of the fifth month after the close of the tax year. Since many organizations use the calendar year as their tax year, which means that May 15 is the deadline for those organizations to file their 2016 returns in 2017. If you need more time to file, you can request an extension. There is no extension available for the form 990-N (e-Postcard) but there is also no penalty if you file the form 990-N late. While there may be no taxes due (unless the organization has unrelated business income tax – UBIT) the penalties can be significant for late filed returns without a valid extension. The first extension, for three months, is automatic however the second extension must include a reasonable explanation for the extension and is subject to approval by the IRS. A regular filing requirement used to only apply to organizations which brought in a lot of donations or held significant assets. That changed, however, with the Pension Protection Act of 2006 which made it mandatory for most tax-exempt organizations to file an annual information return or notice with the IRS regardless of how much … Read More

REP. JOHN LEWIS (D-GEORGIA) MOVES TO END PRIVATE DEBT COLLECTION

NSTPCollection Agencies, Congress

REP. JOHN LEWIS (D-GEORGIA) MOVES TO END PRIVATE DEBT COLLECTION The Internal Revenue Service’s third attempt to bring in overdue tax money by using private debt collectors has been in place for less than a month, but some House members are already trying to halt it. Opponents of the program question not only the collection system’s costs and efficiency. They also worry that the use of private bill collectors will make it easier for crooks to create even more tax scams. The use of private collection agencies is not an initiative promoted by the IRS, but a Congressional mandate that was included in the DRIVE Act of 2015. This bill included a provision which required the hiring of private debt collectors as a way of raising funds to cover the cost of the transportation bill. Rep. John Lewis (D-Georgia) on April 26 introduced the Taxpayer Protection Act of 2017. The first section of the measure, officially H.R. 2171, is titled “Protection of Taxpayers from Abusive Tax Collection Practices.” Original cosponsors, all Democrats, are Reps. Suzan K. DelBene of Washington, Earl Blumenauer of Oregon and Danny K. Davis of Illinois. Lewis, the ranking Democrat on the House Ways and Means Oversight … Read More

IRS IMPERSONATION TELEPHONE SCAMS

NSTPData Theft, Fraud, Identity Theft, Internal Revenue Service (IRS), Scams

IRS-IMPERSONATION TELEPHONE SCAMS

IRS IMPERSONATION TELEPHONE SCAMS A taxpayer went to the TIGTA website to report an IRS-Impersonation Telephone call, but the site required them to enter their SSN and date of birth. They did not fall for the scam; they just wanted to report information on the caller. The TIGTA IRS Impersonation Scam Reporting form now requires the victim’s SSN and date of birth. Alternatively, the information can be sent to  phishing@irs.gov without the SSN and date of birth.  Please use the ‘IRS Phone Scam’ in the subject line of the email. This information can be found at Report Phishing and Online Scams. If you do receive a phone call from someone representing themselves to be from the IRS ask for their name, badge number and callback number. The IRS has set up a phone number, 800-366-4484, that can be used to verify if the person is with the IRS. WHAT TO DO IF YOU RECEIVE A SUSPICIOUS IRS-RELATED COMMUNICATION IF THEN You receive an email claiming to be from the IRS that contains a request for personal information, taxes associated with a large investment, inheritance or lottery. Don’t reply. Don’t open any attachments. They can contain malicious code that may infect your computer … Read More

NEW WAGE VERIFICATION PROCESS HOLDS PROMISE BUT IRS FACED IMPLEMENTATION CHALLENGES

NSTPInternal Revenue Service (IRS), Wage verification

NEW WAGE VERIFICATION PROCESS HOLDS PROMISE BUT IRS FACED IMPLEMENTATION CHALLENGES At a hearing to discuss the 2017 tax filing season before the House Ways and Means Oversight Subcommittee, Jessica Lucas-Judy, acting director of strategic issues at the Government Accountability Office, presented a GAO Report on the challenges of the new W-2 verification process. The new authentication procedure was mandated by the PATH Act of 2015 and was rolled out for the first time this tax season in an effort to discourage identity theft and refund fraud. The PATH Act changed the deadline for employers filing W-2 forms with the Social Security Administration to January 31, giving the IRS extra time to verify the wage and withholding information reported on tax returns before issuing refunds. The IRS calls the process “W-2 systemic verification.”  What GAO Found To help combat identify theft refund fraud and improper payments, in 2017 the Internal Revenue Service (IRS) implemented provisions of the Protecting Americans from Tax Hikes Act of 2015 (the Act). Consistent with GAO’s prior reporting, the Act advanced the deadline for employers filing Form W-2, Wage and Tax Statement (W-2) with the Social Security Administration to January 31, allowing IRS to verify information reported … Read More