Thursday January 12, 2023 – The Taxpayer Advocate Service (TAS) is an independent organization within the Internal Revenue Service (IRS) that helps taxpayers resolve problems with the agency. Each year, by law, the TAS releases a report to Congress highlighting the most serious problems encountered by taxpayers. The report, known as the National Taxpayer Advocate’s (NTA) report, identifies systemic issues that impede taxpayers’ ability to exercise their rights and recommends solutions to those problems.
The 2022 National Taxpayer Advocate report identified ranked the ten most serious problems encountered by taxpayers:
- Processing Delays
- Complexity of the Tax Code
- IRS Hiring & Training
- Telephone & In-Person Service
- Online Access for Taxpayers and Tax Professionals.
- E-File & Free File
- IRS Transparency
- Return Preparer Oversight
- Overseas Taxpayers
The biggest issue identified in the report is Processing Delays. That finding isn’t news to any taxpayer. The processing delay has been reported since last year.
The recently replaced IRS Commissioner, Charles Rettig told a Congressional hearing last March the backlog would be cleared by the end of 2022.
In the just released report the National Taxpayer Advocate, Erin Collins, wrote to Congress, saying ““We have begun to see the light at the end of the tunnel, I am just not sure how much further we have to travel before we see sunlight.”
So, the IRS did not clear the backlog by the end of 2022, despite the additional funding to do so. The additional funding BEFORE the additional $80 billon.
Attorney Steven A. Leahy looks at the Number one problem according to this report – Processing Delays – on Today’s Tax Talk.