2016 tax season will be a long one

Christian A. Montgomery - Attorney at Law
The 2016 tax season is now here! Hurray! This tax season will actually be longer than recent tax seasons. IRS personal income tax returns can be filed beginning January 19, 2016. Thanks to the Emancipation Day holiday in Washington, D.C., filing your IRS income tax return can be procrastinated to at least April 18, 2016.
 
This is the time of the year where you will see news coverage of various taxing entities on how easy it is to file your tax returns, how easy it will be for you to have your questions answered, and how easy it is set up payment plans if you owe a tax debt… It has already started with the IRS recently announcing that it has more people staffing their phone lines this year.
 
However, the National Taxpayer Advocate is skeptical of the ease and accessibility of the IRS for the public. In her recently released annual report to congress, National Taxpayer Advocate Nina E. Olson expressed concern that the IRS may be on the verge of dramatically scaling back telephone and face-to-face services. So who should we believe?
 
We have seen the IRS updating their website and referring taxpayers to their website resources as an alternative to telephoning and meeting in-person with the IRS. The Taxpayer Advocate is also concerned about the details of the IRS Future State plan.
 
Since 2014, the IRS has invested substantial resources to develop a Future State plan, which has involved significant participation by virtually all IRS business units and the engagement of management consultants, at a cost of several million dollars. To date, the IRS has chosen not to make the plan public.
 
Olsen’s report expressed particular concern about IRS intentions to substantially reduce telephone and face-to-face interaction with taxpayers. The IRS appears to presume taxpayer interactions with the IRS through online accounts will address a high percentage of taxpayer needs as well as expanding the role of tax return preparers and tax software companies in providing taxpayer assistance.
 
We have already seen this on the IRS website with new resources to help the public locate and select a tax preparer. As a tax attorney, I’m sure there will be some benefit to me because the IRS will not be available to answer even basic tax questions. However, the concerning issue, and the concern expressed in the report is that the IRS is creating a “Pay to Play” tax system where only taxpayers who can afford to pay for tax advice will receive personal service. Since the tax season is a bit longer this year, we will see if the IRS truly has more resources dedicated to in-person interactions for this tax season. Or, if the additional resources for this season are just the beginning of the Future State plan.
 
Christian Montgomery is a West Sacramento resident and a tax attorney at Montgomery & Wetenkamp, Tax Relief Attorneys, located in Sacramento and Modesto. For more information regarding tax matters contact Montgomery & Wetenkamp at (916) 452-7033 or online at www.mwattorneys.com. This article is not intended as legal advice, and cannot be relied upon for any purpose without the services of a qualified professional.




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