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Your Taxpayer's Bill of Rights
Larry Denton
1. All IRS employees are required to explain and protect your rights as a taxpayer throughout your contact with the IRS. Consequently, the IRS will not disclose to anyone the information you give them, except as authorized by law. You have the right to know why the IRS is asking you for information, how they will use it, and what happens if you do not provide requested information.
2. You have the right to be treated in a fair and courteous manner. If you believe that an IRS employee has not treated you in a professional, fair, and courteous manner, you should tell that employee's supervisor. If the supervisor's response is not satisfactory, you should write to your IRS District Director or Service Center Director.
3. In all tax situations you or your representative is allowed to be present. A representative must be a person allowed to practice before the IRS, such as an attorney, certified public accountant, or enrolled agent. If you are in an interview and ask to consult with such a person, then the IRS must stop and reschedule the interview in most cases.
4. You can have someone accompany you at an interview. You may make sound recordings of any meetings with any IRS examination, appeal, or collection personnel, provided you tell them in writing 10 days before the meeting.
5. You are responsible for paying only the correct amount of tax due under the lawno more, no less. If you cannot pay all of your tax when it is due, you may be able to make monthly installment payments.
6. The National Taxpayer Advocate's Problem Resolution Program can help you if you have tried unsuccessfully to resolve a problem with the IRS. Your local Taxpayer Advocate can offer you special help if you have a significant hardship as a result of a tax problem. For more information, call toll-free 18777774778 (1800829 4059 for TTY/TDD users) or write to the Taxpayer Advocate at the IRS office that last contacted you.
7. If you disagree with the IRS about the amount of your tax liability or certain collection actions, you have the right to ask the Appeals Office to review your case. You may also ask a court to review your case.
8. The IRS will waive penalties when allowed by law if you can show you acted reasonably and in good faith or relied on the incorrect advice of an IRS employee. The IRS will waive interest that is the result of certain errors or delays caused by an IRS employee.
9. The IRS accepts most taxpayer's returns as filed. If they inquire about your return or select it for examination, it does not suggest that you are dishonest. The inquiry or examination, often referred to as an audit, may or may not result in more tax. The IRS may close your case without change; or, you may receive a refund. The process of selecting a return for examination (audit) usually begins in one of two ways. First, the IRS uses computer programs to identify returns that may have incorrect amounts. These programs may be based on information returns, such as Forms 1099 and W2, on studies of past examinations, or on certain issues identified by compliance projects. Second, the IRS uses information from outside sources that indicates that a return may have incorrect amounts. These sources may include newspapers, public records, and individuals. If the IRS determines that the information is accurate and reliable, they may use it to select a return for examination.
10. Appeals--If you do not agree with the examiner's proposed changes after an audit you can appeal them to the Appeals Office of IRS. Most differences can be settled without expensive and time-consuming court trials. Your appeal rights are explained in detail in both Publication 5, Appeal Rights and Preparation of Protests for Unagreed Cases, and Publication 556, Examination of Returns, Appeal Rights, and Claims for Refund.
If you do not wish to use the Appeals Office or disagree with its findings, you may be able to take your case to the U.S. Tax Court, U.S. Court of Federal Claims, or the U.S. District Court where you live. If you take your case to court, the IRS will have the burden of proving certain facts if you kept adequate records to show your tax liability, cooperated with the IRS, and meet certain other conditions. If the court agrees with you on most issues in your case, and finds that our position was largely unjustified, you may be able to recover some of your administrative and litigation costs. You will not be eligible to recover these costs unless you tried to resolve your case administratively, including going through the appeals system, and you gave us the information necessary to resolve the case.
11. The IRS Publication 594, entitled "The IRS Collection Process", explains your rights and responsibilities regarding payment of federal taxes. It describes: what to do when you owe taxes; what to do if you get a tax bill; and what to do if you think your bill is wrong. It also covers making installment payments, delaying collection action, and submitting an offer in compromise.
12. You may file a claim for refund if you think you paid too much tax. You must generally file the claim within 3 years from the date you filed your original return or 2 years from the date you paid the tax, whichever is later. The law generally provides for interest on your refund if it is not paid within 45 days of the date you filed your return or claim for refund. Publication 556, Examination of Returns, Appeal Rights, and Claims for Refund, has more information on refunds.
For your assistance the IRS provides a great deal of free information. The following are sources for forms, publications, and additional information:
Tax Questions: 1-800-829-1040 (1-800-829-4059 for TTY/TDD users)
Forms and Publications: 1-800-829-3676 (1-800-829-4059 for TTY/TDD users)
Internet: www.irs.ustreas.gov
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