Yes, Virginia, You Have an Advocate at the IRS

by Reggie Oldak, Senior Counsel,
National Women's Law Center

The Taxpayer Advocate Service (TAS) is an independent organization within the IRS whose mission is to ensure that tax problems not resolved through normal channels are promptly and fairly handled. Each state has a Taxpayer Advocate to assist that state’s taxpayers.

Nina E. Olson, the National Taxpayer Advocate, heads the TAS. Yesterday, she testified before the House Ways and Means Oversight Subcommitee about problems people have in dealing with the IRS. As we approach the April 15th deadline for filing our taxes, you might not be surprised to hear that she said the current IRS telephone service is "inadequate". 

Of special note, however, is that she also said the agency is not doing enough to meet the needs of low-income taxpayers. We know that low-income taxpayers are disproportionately women. Ms. Olson pointed out that low-income taxpayers have other characteristics that not only limit their ability to earn income but also impair their ability to comply with documentation requests in tax disputes. 

They are more likely to be elderly, disabled, and have limited English proficiency than the general population of taxpayers, she said. They tend to be more transitory than the general population. They face transportation and child care challenges. They live in neighborhoods with limited access to banks and thus turn to expensive check-cashing services, loan sharks, or subprime lenders. And they may not have access to remedies that require money. In addition, as we’ve highlighted here before, they are frequently involved in independent contractor versus employee misclassification issues, with, as she says, “a distinct lack of bargaining power on the part of the low-income worker.”

The Taxpayer Advocate Service won’t be able to take the questions you may have as you fill out your tax return. (We provide answers to many frequently asked questions about tax credits for working families here). But, if you have an ongoing issue with the IRS that has not been resolved through standard procedures, or you have suffered, or are about to suffer, a significant hardship as a result of the application of the tax laws, call the Taxpayer Advocate Service’s toll-free line at 1-877-777-4778 or TTY/TDD 1-800-829-4059. For more information, go to www.irs.gov/advocate.