Alexandria, VA, January 14, 2022 — The National Society of Accountants (NSA) joins industry stakeholders in calling upon the IRS to implement measures to reduce unnecessary burdens to both taxpayers and tax professionals during the 2022 tax filing season.
In the letter sent Friday morning to IRS Commissioner Charles Rettig and Treasury Assistant Secretary of Tax Policy Lily Batchelder, NSA and coalition partners urged the IRS and Treasury to take steps to mitigate the challenges the Coronavirus pandemic has created for taxpayers, tax professionals and the IRS. The coalition noted that many taxpayers and tax professionals continue to struggle to reach the IRS by phone and are subsequently unable to resolve straightforward issues.
The letter cites the Coronavirus pandemic as the cause of an unprecedented number of unprocessed returns as well as numerous mistargeted notices, liens and levies sent from the IRS. The letter advises Treasury and the IRS to take the following steps:
- Discontinue automated compliance actions until the IRS is prepared to devote the necessary resources for a proper and timely resolution of the matter.
- Align requests for account holds with the time it takes the IRS to process any penalty abatement requests.
- Offer a reasonable cause penalty waiver, similar to the procedures of first time abate (FTA) administrative waiver, without affecting the taxpayer’s eligibility for FTA in future tax years.
- Provide taxpayers with targeted relief from both the underpayment of estimated tax penalty and the late payment penalty for the 2020 and 2021 tax year.
In previous correspondence to the IRS, NSA asserted that greater transparency and improved communication from the IRS are necessary to assuage the growing frustrations and fears among tax and accounting professionals regarding the 2022 tax filing season.
Download and read NSA’s letter to the IRS here.
NSA represents members who provide accounting, auditing, tax preparation, financial and estate planning, and management services to thousands of individuals and business clients across the nation. Most members are sole practitioners or partners in small- to medium- size accounting firms. For more information, visit www.nsacct.org.