Recommendations to Congress

In 2017 the National Taxpayer Advocate published the inaugural “Purple Book”, a concise summary of 50 legislative recommendations that she believes would strengthen taxpayer rights and improve tax administration. Most of the recommendations have been made in detail in prior reports, but others are presented in this book for the first time. These are offered as an aid to Congress as it considers taxpayer rights and IRS reform legislation in the coming year.

The Annual Report to Congress includes recommendations for new federal tax laws or changes to current ones. The National Taxpayer Advocate (NTA) places a high priority on working with the tax-writing committees in Congress. In addition to submitting legislative proposals in each Annual Report, the NTA meets regularly with members of Congress and their staffs, and testifies at hearings on the problems faced by taxpayers to give Congress an opportunity to receive and consider the taxpayer’s perspective.

The National Taxpayer Advocate Purple Book : A Compilation of Legislative Recommendations to Strengthen Taxpayer Rights and Improve Tax Administration

1.87 MB

TIMING OF REFUNDS: Direct the IRS to Study the Impact of Delaying the Issuance of Refunds to Allow Sufficient Time to Process Information Returns and Perform Document-Matching

262.90 KB

ELECTRONIC MAILBOX RULE: Revise the Mailbox Rule to Include All Time-Sensitive Documents and Payments Electronically Transmitted to the IRS

147.74 KB

EQUITABLE DOCTRINES: Make the Time Limits Bringing Tax Litigation Subject to the Judicial Doctrines of Forfeiture, Waiver, Estoppel, and Equitable Tolling, and Clarify That Dismissal of an Untimely Petition Filed in Response to a Statutory Notice of Deficiency is Not a Decision on the Merits of a Case

187.18 KB

COLLECTION DUE PROCESS (CDP): Amend IRC § 6330 to Allow the Tax Court Jurisdiction to Determine Overpayments

144.85 KB

COLLECTION DUE PROCESS AND INNOCENT SPOUSE NOTICES: Amend IRC §§ 6320, 6330, and 6015 to Require That IRS Notices Sent to Taxpayers Include a Specific Date by Which Taxpayers Must File Their Tax Court Petitions, and Provide That a Petition Filed by Such Specified Date Will Be Treated As Timely

168.33 KB

IRS USER FEES: Prohibit User Fees That Reduce Revenue, Increase Costs, or Erode Taxpayer Rights

171.99 KB

INTERNATIONAL PENALTIES: Provide Uniformity for the Reasonable Cause Exception to Initial and Continuation Penalties for the Failure to File Information Returns Under IRC §§ 6038, 6038A, 6038D, 6677, and 6679

175.75 KB

NATIONAL RESEARCH PROGRAM (NRP) AUDITS: Compensate Taxpayers for “No Change” NRP Audits and Waive Assessment of Tax, Interest, and Penalties Resulting from Such Audits an Untimely Petition Filed in Response to a Statutory Notice of Deficiency is Not a Decision on the Merits of a Case

161.04 KB

VOLUNTARY WITHOLDING AGREEMENTS: Amend Internal Revenue Code (IRC) Section 3402(p) to Allow Voluntary Withholding for Independent Contractors

106.59 KB

CANCELLATION OF STUDENT LOANS: Amend IRC §§ 108(a) and 6050P to Provide That Gross Income Does Not Include, and Creditors Are Not Required to Report, Income from the Cancellation of Certain Student Loans

143.77 KB

VICTIMS OF TERRORIST ATTACKS: Amend IRC § 692 to Grant the President the Authority to Issue a Declaration That an Event Qualifies as a “Specified Terrorist Attack”

136.59 KB