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IRS Announces Increased Enforcement Push in 2017: Form 1099 and 1042-S Filers Need to Watch Out!

Bad news for filers of Forms 1099 and 1042-S. On January 10, 2017 National Taxpayer Advocate Nina Olson announced the IRS is seeking to make enforcement 50% of the IRS budget.

To make matters worse, the portion of the IRS budget devoted to helping answer your tax issues has declined to a paltry six percent! Here are the numbers: the IRS’s current appropriated budget is $11.2 billion with 43 percent allocated to enforcement, while less than six percent is allocated to taxpayer outreach and education activities.  Despite this imbalance, the IRS budget request for FY 2017 sought an increase in enforcement funding of 7.2 percent!

The IRS’s proposal to increase enforcement funding was made against a backdrop in which the agency has been unable to meet basic taxpayer needs. Of particular note, the IRS annually receives more than 100 million telephone calls. Yet among calls routed to its telephone assistors, the IRS was able to answer only 38 percent in FY 2015. What's more the answers received by those lucky few range all over the map depending upon what customer service representative answers the phone. In addition, none of those answer are given in writing.

Meanwhile, subscribers to the TIR Answer Center enjoy access to veteran tax attorneys who provide organizations just like yours with convenient and affordable answers to the Form 1099 questions they have, and in two business days or less!

No other service is currently available that employs actual on-call tax attorneys to accurately & timely answer your compliance questions! What's more, you can ask as many questions as you want to, whenever you want. No more anxiety caused by lost time hunting for the tax compliance answers you need - we provide the answers for you!

Your subscription fee for year-round on-call form 1099/1042-s related support service is tailored to the size of your organization and types of transactions, tax withholding, and reporting.  Please feel free to email us at contactus@taxinformationreporting.com for a subscription fee quote, or simply leave a message using our contact form.

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