Taxation & Estate Planning

IRS by the numbers

By howardlevy

IRS enforced collection activity continues to heat up.  Compromise settlements are down by 70% while bad debt accounts continue to accumulate.  Here are the numbers:

1.     779,000 taxpayer accounts were assigned to the IRS collection queue.

2.     The number of offers in compromises accepted by the IRS declined by 70% from 2001 (38,643) to 2007 (11,618).

3.     40% of withdrawn and rejected offers in compromise are ultimately written off as uncollectible.   

4.     The number of IRS levies against wages and bank accounts increased from just over 500,000 in 2000 to 3.7 million in 2007.

5.     The number of IRS seizures against property like real estate, automobiles and business equipment increased from 74 in 2000 to 676 in 2007.  

Source:  Annual Report of the IRS Taxpayer Advocate Service

Full post as published by IRS and the Law on July 11, 2008 (boomark / email).