PRIVATE TAX BILL COLLECTORS ALREADY BREAKING RULES SAYS TIGTA

NSTPTreasury Inspector General for Tax Administration (TIGTA)

There has been general concern that there would be challenges with the third attempt at utilizing private collection agencies (PCAs), however, it was not suspected it would happen so soon. “It” is apparent disregard by some private debt collectors of the rules established in connection with the collection agencies’ latest congressionally mandated foray into federal tax collection. Private collection agencies are approving installment agreements with delinquent taxpayers beyond what the law provides, according to J. Russell George, Treasury Inspector General for Tax Administration (TIGTA). Payment plan limits: There is a statutory limit as to how long an Internal Revenue Service installment loan is available, George told Representatives at a May 23 hearing of the House Appropriations Financial Services and General Government Subcommittee, “and we are finding initially that these debt collectors are not abiding by that.” IGeorge did not provide any additional details to the House panel. But the mere fact that the federal office charged with oversight of the IRS already has concerns about the private tax collectors is seen as, well, concerning. Spotty PCA tax collection history: While George did not offer any details on just how private collection agencies, or PCAs as they typically are referred to … Read More