IRS Independent Office of Appeals
Subscribe to IRS Independent Office of Appeals's Posts

IRS Appeals Retains Video Conference Option, Requests Public Input

In 2017, we posted about the IRS Independent Office of Appeals’ (IRS Appeals) implementation of a face-to-face virtual option for taxpayers. Now, IRS Appeals wants suggestions from tax professionals on how to improve and enhance the video conferencing platform.

IRS Appeals offers taxpayers conferences by telephone, video or in person. The COVID-19 pandemic triggered expanded interim guidance that required employees to conduct video conferences when requested by taxpayers. IRS Appeals plans to make updates to the Internal Revenue Manual, including guidelines for conducting video conferences and for using the video conference platform technology, Microsoft Teams.

In April 2022, IRS Appeals acknowledged its large backlog of cases and detailed a multipoint plan to reduce “significant inventory.” As we discussed previously in our post, the plan offered welcome developments, including additional resources, prioritization of docketed casework, faster initial contact with the taxpayer, streamlined case processing, resolution of cases without conferences that were triggered from pandemic miscommunication and reliance on oral statements to resolve cases rather than trials. Improvements to the video conferencing platform can only help to alleviate that backlog further.

Some of the common ideas expressed by taxpayers and tax professionals to date include:

  • The potential for improving the taxpayer experience as taxpayers may be better able to present their cases over video rather than on a phone conference.
  • The critical nature of the IRS Appeals employee’s role in making sure every participant is introduced and participants turn on their cameras.
  • How screensharing allows for a more comprehensive discussion of issues and potentially earlier resolution.
  • Keeping technical requirements to a minimum for taxpayers who find the video conference platform challenging while also ensuring other options (such as teleconferences and in-person conferences) remain available.

Generally, it is up to taxpayers or their representatives to decide how they will meet with IRS Appeals. According to a recent release, the type of conference chosen will not impact IRS Appeals’ substantive decision in a matter. Comments should be sent to AP.taxpayer.experience@irs.gov by November 16, 2022.

Practice Point: IRS Appeals remains one of the most effective ways for taxpayers to resolve disputes with the IRS. With video conferencing here to stay, tax practitioners with ideas for improvements should consider submitting them, as they may not be considered otherwise.

For our prior comments and posts on IRS Appeals, see the links below:




Weekly IRS Roundup October 4 – October 8, 2021

Presented below is our summary of significant Internal Revenue Service (IRS) guidance and relevant tax matters for the week of October 4, 2021 – October 8, 2021. Additionally, for continuing updates on the tax impact of COVID-19, please visit our resource page here.

October 4, 2021: The IRS released a practice unit, providing tax law and audit steps for reviewing a reseller’s uniform capitalization cost computations under section 263A. The practice unit focuses on the simplified production method and does not cover the final section 263A Treasury Regulations that were effective November 20, 2018.

October 4, 2021: The IRS published a news release, announcing 18 self-study seminars available online through the IRS Nationwide Tax Forums. The seminars cover topics such as the gig economy and virtual currency.

October 4, 2021: The IRS published instructions for Form W-8BEN (Certificate of Foreign Status of Beneficial Owner for United States Tax Withholding and Reporting (Individuals)) concerning:

  • Guidance under section 1446(f) (withholding on partnership interest dispositions)
  • New lines 6a and 6b (addressing foreign tax ID number (FTIN) matters)
  • Tax treaty benefits claims (requiring representations)
  • Section 6050Y reporting (covering life insurance contracts and reportable death benefits)
  • Electronic signatures (updated to reflect new guidance)

October 5, 2021: The IRS published a news release, announcing that Free File remains available through October 15 for taxpayers who still need to file their 2020 tax returns. Free File is the IRS’s public-private partnership with tax preparation software industry leaders to provide their brand name products for free.

October 5, 2021: The IRS released a memorandum, expanding the criteria for collection due process cases that qualify for a rapid response appeals process under IRM 8.22.6.2 and related subsections.

October 5, 2021: The IRS released a memorandum concerning interim guidance regarding the IRS Independent Office of Appeals’ steps and procedures for its nationwide pilot program: The Appeals Electronic Case Files Initiative for Large Business & International (LB&I) report generation software (RGS) examination cases. This guidance is applicable to LB&I RGS International Individual Compliance cases only and excludes other large cases such as Tax Equity and Fiscal Responsibility Act of 1982 cases, Bipartisan Budget Act of 2015 cases and Syndicated Conservation Easement cases.

October 5, 2021: The IRS released a memorandum updating procedures where an organization requests a change in a section 501 subsection during the application process by submitting one application form to replace a different application form. The procedures are effective 30 days after issuance of the memorandum and supersedes those in TEGE-07-0421-0010 (April 29, 2021).

October 7, 2021: The IRS published a program letter indicating that, in Fiscal Year 2022, Tax Exempt (TE)/Government Entities (GE) commissioners expect to invest in new resources to expand outreach to the exempt sector as well as increase their enforcement staff.

October 8, 2021: The IRS released its weekly list of written [...]

Continue Reading




Weekly IRS Roundup August 24 – August 28, 2020

Presented below is our summary of significant Internal Revenue Service (IRS) guidance and relevant tax matters for the week of August 24, 2020 – August 28, 2020. Additionally, for continuing updates on the tax impact of COVID-19, please visit our resource page here.

August 24 2020: The IRS published a memorandum concerning guidance to the field on the criteria that should be applied in considering if a request for designation for litigation should be made to the Office of Chief Counsel. The memorandum also provides interim guidance on the requirements of Section 1001 of the Taxpayer First Act (TFA) with respect to the limitation on designation of cases as not eligible for referral to the IRS Independent Office of Appeals.

August 25, 2020: The IRS published a Summer 2020 Statistics of Income Bulletin. The Summer 2020 Bulletin focuses individual income tax shares, 2017; foreign recipients of US income, calendar year 2017; effects of post-filing adjustments on Statistics of Income (SOI) estimates; and implementation of the Tax Cuts and Jobs Act.

August 25, 2020: The IRS published a practice unit focusing on the definition of foreign earned income for purposes of section 911.

August 26, 2020: The IRS published a notice and request for comments on Treasury Decision 8702 concerning certain transfers of domestic stock or securities by US persons to foreign corporations. The regulation relates to certain transfers of stock or securities of domestic corporations pursuant to the corporate organization, reorganization or liquidation provisions of the Internal Revenue Code (Code). Transfers of stock or securities by US persons in tax-free transactions are treated as taxable transactions when the acquirer is a foreign corporation, unless an exception applies under section 367(a). The regulation provides that no US person will qualify for an exception unless the US target company complies with certain reporting requirements. The comments should be received on or before October 26, 2020.

August 26, 2020: The IRS published a notice and request for comments on Treasury Decision 8612 concerning the availability of the gift and estate tax marital deduction when the donee spouse or the surviving spouse is not a US citizen. The regulation provides guidance to individuals or fiduciaries: (1) for making a qualified domestic trust election on the estate tax return of a decedent whose surviving spouse is not a US citizen in order that the estate may obtain the marital deduction; and (2) for filing the annual returns that such an election may require. The comments should be received on or before October 26, 2020.

August 27, 2020: The IRS published an announcement on the opening of the application period for the 2021 Compliance Assurance Process program. The application period runs September 1 to November 13, 2020. The IRS will inform applicants if they’re accepted into the program in February 2021.

August 28, 2020: The IRS published
Continue Reading




Taxpayer First Act: Changes to the IRS Appeals Process

The enactment of the Taxpayer First Act, H.R. 3151 (116th Cong.) (TFA) brings with it several changes to the procedures and operations of the Internal Revenue Service (IRS). The TFA touches on the following subjects:

  • Establishing the IRS Independent Office of Appeals
  • Improving customer service
  • Changes to enforcement
  • Modernization of the Office of the National Taxpayer Advocate and the IRS
  • Cybersecurity and identity protection, technological changes, and expanded use of electronic systems
  • IRS hiring and disclosure changes
  • Provisions relating to exempt organizations
  • Changes to the penalty for failure to file
  • Determination of budgetary effects
  • Other miscellaneous provisions

This post does not discuss each subject, but rather focuses on changes to the IRS Appeals process. (more…)




STAY CONNECTED

TOPICS

ARCHIVES