NSA Tax Practitioner Bill of Rights

NSA Protects the Rights of Tax Practitioners

NSA Tax Practitioner Bill of Rights

Proposed $838 million cut in IRS funding drives new initiative

In the wake of a proposed $838 million cut in funding for the IRS, NSA has issued a Tax Practitioners Bill of RightsNSA hopes this Bill of Rights will establish timely enactment of tax laws and regulations and reasonable levels of IRS service for tax practitioners, who file 60 percent of the tax returns received by the IRS each year. The U.S. House of Representatives Appropriations Committee Financial Services and General Government Subcommittee voted June 11 to cut the IRS budget by $838 million (7.7 percent), continuing a multi-year decline in IRS funding. 

“The tax system is breaking down, and these funding cuts mandated by Congress are a big part of the problem,” said NSA Past President Marilyn Niwao, a CPA and attorney. “IRS customer service is at an all-time low, and tax practitioners cannot get timely responses from the IRS for questions we pose on behalf of our clients because the IRS cannot afford the staff it needs to answer the phones.”

NSA Executive Vice President John Ams added, “The IRS also needs to change its procedures and respect the needs of taxpayers and tax practitioners. For example, the IRS has scheduled computer maintenance and downtime in the few days before returns are due. This has nothing to do with funding – it has to do with common sense.” NSA tax practitioners have also complained that IRS agents want to meet with them during March and April. Ams said, “Everyone, including IRS agents, knows that returns are due on April 15, so why not schedule something in May or June instead? Again, a lack of common sense.”

The IRS already has a Taxpayer Bill of Rights, but NSA officials note that this does not address the many challenges that tax practitioners face when preparing returns for the 60 percent of U.S. taxpayers who hire them. Niwao stated that among the provisions in the IRS Taxpayer Bill of Rights are the right to be informed, the right to quality IRS service, and the right to not pay more than the correct amount of tax.

“These so-called ‘rights’ are meaningless if a taxpayer’s representative cannot get the information needed from the IRS because Congress has not appropriated sufficient funds to allow the agency to function properly,” Niwao said. “The continuing slowdown in IRS customer service due to ongoing budget cuts affects hundreds of millions of taxpayers who are voters and constituents in every state and Congressional district in the nation,” Ams explained. “What’s even worse is that the budget cuts actually cost the nation billions of dollars in lost tax revenue because the IRS doesn’t have the resources to enforce the tax law. This is the epitome of being penny-wise and pound-foolish.”