Across 76 different phone lines for the Taxpayer Advocate Service’s regional offices, only two were answered by a human being, and 18 went to a full voicemail inbox or had no service at all, the Treasury Inspector General for Tax Administration said in a report last month.
Operating different lines for each office is a fragmented approach to what should be a coordinated, consolidated effort. Taxpayers may need help from a local advocate, but they don’t necessarily need to make first contact through a local number. The potential infrastructure overhead outweighs any benefits of a familiar area code.
Streamlining TAS communications into a central phone line and voicemail inbox could enhance efficiency and service delivery. TAS already doesn’t meet the expectation that callers will reach a live representative when dialing their local number, so leaning into a voicemail-first system wouldn’t hurt.
By implementing a system that transcribes voicemails and automatically directs issues to the appropriate local advocate, TAS could reduce regional variability and allow for text message inquiries. This would help ensure taxpayer issues are addressed promptly and consistently.
Such an approach would also facilitate creation of nationwide information campaigns, simplifying taxpayers’ guidance-seeking process by promoting one contact number for all inquiries.
As the IRS moves toward providing more services to taxpayers, customer service will become a core competency. Taxpayers must be able to use support systems and receive timely assistance. A single point of contact that employs technology to route requests efficiently would help people make the right choices quickly.
Reducing chokepoints such as outdated, outmoded, and overburdened local TAS contact numbers is essential. Instead of navigating a phone tree or website directory to find their local TAS contact, taxpayers should have it as easy as: “Got questions? Call 1-800-IRS-ADVO today.”
—Andrew Leahey
Welcome to the Week in Insights for Bloomberg Tax’s latest analysis and news commentary. This week, experts analyzed the IRS’s final regulations on “Killer B” transactions, the vacant tax assistant attorney general position in the Justice Department, the US corporate tax rate, and more.
The Exchange—It’s where great ideas on tax and accounting intersect.
—Curated by Daniel Xu
Insights
King & Spalding’s Rod Rosenstein calls for a new tax assistant attorney general in the Justice Department, saying the long-empty position has been detrimental for taxpayers.
Columbia University’s Joseph Stiglitz, and American University’s Ignacio González and Juan Montecino, say raising the corporate tax rate to 28% could raise $1.35 trillion in 10 years.
Forvis Mazars’ Jason Sullivan and Buchanan’s Philip Hirschfeld examine a new IRS rule involving foreign corporations, noting that ambiguous foreign subsidiary language needs more clarification.
Kramer Levin’s Michael Dell, Daniel Ketani, and Samantha Alman examine the impact of SEC v. Jarkesy on the PCAOB, saying new restrictions on in-house tribunals may apply to board proceedings.
Vinson & Elkins’ Sean Moran, Lauren Collins, and Jorge Medina examine new Treasury guidance for using bonus energy credits as many questions remain about manufacturer and supplier qualifications.
Cannabis accounting experts Abraham Finberg and Simon Menkes say firms may be able to challenge some IRS interpretations of tax code Section 471(c) following the Loper Bright decision.
Crowe’s Sivakumar Saravan considers Singapore’s expanded new transfer pricing measures, saying that good compliance records are essential to avoid penalties.
Columnist Corner
Technically Speaking design by Jonathan Hurtarte/Bloomberg Tax
A proposed voluntary audit program for retailers “would foster a cooperative and less adversarial relationship between tax administrations and businesses,” but more states would need to join the initiative to maximize its effectiveness, Andrew Leahey says in his latest Technically Speaking column.
Providing a voluntary review and certification process for point-of-sale software systems and highlighting successful outcomes in participating states would encourage other states to sign on, Andrew writes. Read More
News Roundup
IRS, Treasury Propose Dual Consolidated Loss Regulations
The IRS issued proposed regulations dictating how rules preventing US companies from using their losses twice will interact with the 15% global minimum tax. Read More
Australia Appeals PepsiCo Royalty Tax Case to Highest Court
Australia is appealing to the country’s highest court a lower court ruling favoring PepsiCo Inc. in a high-stakes royalties tax case. Read More
VP Pick Tim Walz Enacted Progressive Tax Reforms in Minnesota
Minnesota Gov. Tim Walz isn’t generally regarded as a tax policy guy, but tax analysts and lawmakers say Vice President Kamala Harris’s new running mate has supervised the most dramatic shift toward progressive tax policy of any state in the country. Read More
IRS Hiring Spree Creates Headaches for State Tax Agencies
State tax agencies face another challenge in their ongoing efforts to fill a growing number of job openings for auditors: The IRS keeps poaching their talent. Read More
Tax Management International Journal
Patrick Beattie presents an overview of the Dutch tax system, how nonresident corporations are taxed, and the economic activity of Dutch companies in the US (by state).
Tax Management Memorandum
A looming 50% decrease in the amount of assets an estate can transfer tax free has created urgency for wealthy families to see about transferring valuable assets—including private company stock—to heirs by the end of 2025, Hanson Bridgett’s Eric Clarke says.
When a client asks what amounts a given estate plan might cost or save, and a reliable approximation would require some complex math, you don’t have to say “Let me get back to you on that,” Milbank’s Amy Albert and Austin Bramwell say.
Career Moves
Mir Masud-Elias joined Arnold & Porter’s tax and tax-exempt practices as counsel, resident in Washington.
Alex Farr joined Paul Hastings as a global tax partner in Dallas.
Kenneth Cohen joined Bressler, Amery & Ross as principal in the tax and trust and estates practice groups.
Steven Feenstra joined Nixon Peabody as counsel in the community development finance practice in Washington.
If you’re changing jobs or being promoted, email your submission to TaxMoves@bloombergindustry.com for consideration.
