Summary
Makes the IRS use new technology to give taxpayers better online tools, faster help, and more information about their taxes and refunds.
What problem does this solve?
Taxpayers often face long wait times and confusing processes when dealing with the IRS. This bill requires the IRS to create online tools to show wait times, track returns, and allow digital communication.
What does this bill do?
Reference
Text:
Section:
Sec. 2
Header:
Establishment of dashboard to inform taxpayers of backlogs and wait times
Creates a public IRS performance dashboard
Requires the IRS to create a public website showing real-time data on call wait times, the number of callers, and processing backlogs for tax documents.
Reference
Text:
Section:
Sec. 3
Header:
Expansion of electronic access to information about returns and refunds
Expands online tax return and refund tracking
Directs the IRS to provide taxpayers with specific, up-to-date information on a website and mobile app about the status of their tax returns and refunds.
Develops comprehensive online taxpayer accounts
Mandates a website or mobile app where taxpayers can view all their tax documents and IRS notices from the last six years and respond to them electronically.
Authorizes access for tax professionals
Allows taxpayers to give their tax preparers or other representatives permission to access their online account information and submit responses on their behalf.
Promotes callback technology
States that by 2028, the IRS should offer a callback option to any taxpayer whose call is not answered within five minutes.
Reference
Text:
Section:
Sec. 5(f)
Header:
Preventing unauthorized disclosure of return information by persons designated by taxpayers
Establishes a security program for online accounts
Requires the IRS to create a program to investigate any unauthorized use of taxpayer information by representatives and to publish annual reports on its findings.
Who does this affect?
- U.S. Taxpayers
- Tax Professionals
- Internal Revenue Service (IRS)
What is the real world impact?
•
Improves taxpayer services
Aims to fix common problems people have with the IRS, like long phone waits and trouble getting information, by using modern technology.
•
Increases government transparency
Forces the IRS to publicly share data on its performance, such as call wait times and processing backlogs, holding the agency accountable for its service levels.
When does this start?
The bill sets several different deadlines for its requirements to be put into place over several years.
IRS performance dashboard
The public dashboard for wait times and backlogs must be active for periods starting 12 months after the bill becomes law.
Reference
Text:
Section:
Sec. 3
Header:
Expansion of electronic access to information about returns and refunds
Online return and refund tracking
Must be available by January 1 of the first calendar year that starts more than 12 months after the bill becomes law.
Online taxpayer accounts
The full online account system must be available by January 1 of the first calendar year that starts more than 18 months after the bill becomes law.
Callback technology goal
States the sense of Congress that the IRS should offer callbacks for calls unanswered within 5 minutes by calendar year 2028.