National Taxpayer Advocate Urges Congress To Re-Direct Additional Funds

National Taxpayer Advocate Urges Congress To Re-Direct Additional Funds

In the latest NTA BLOG, National Taxpayer Advocate Erin M. Collins urges Congress to increase funding for IRS taxpayer services and business systems/IT modernization to better meet taxpayer needs.

In the blog, the National Taxpayer Advocate notes that the Inflation Reduction Act passed last August provided the IRS with $80 billion in additional funding over the next ten years, but only 10 percent of the funding was directed toward taxpayer services and IT modernization. Ninety percent was directed toward enforcement and operations support.

“The top tax administration priority now should be to improve taxpayer service, particularly after the struggles of the last few years, and to do that, the IRS needs more funding in the Taxpayer Services and Business Systems Modernization accounts,” Collins writes.

The blog outlines four alternative ways Congress can ensure the IRS receives enough funding to effectively serve taxpayers, and it provides concrete examples of how poor customer service and antiquated technology has led to problems.

Collins emphasizes that improving service and technology can help the IRS save money on enforcement.

Collins says, “The most efficient way to improve compliance is by encouraging and helping taxpayers to do the right thing on the front end. That is much cheaper and more effective than trying to audit our way out of the tax gap one taxpayer at a time on the back end.”

Please visit the NTA BLOG to read more details about the National Taxpayer’s call to Congress to meet taxpayer needs and support an effective, fair, and equitable tax administration. We encourage you to share this important information with your audience.

National Taxpayer Advocate

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