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Inflation Reduction Act: IRS Two-Year Report Card

IRS Making Taxpayer Service More Accessible

The IRS has made remarkable strides over the past two years, largely due to the funding from the Inflation Reduction Act. If you're a taxpayer, here’s what you need to know about the improvements that could benefit you.

IRS Website

Digital Interactions Made Easy

One of the most significant changes is the ability for taxpayers to conduct all their interactions with the IRS online. This digital transformation means you can now resolve tax issues, submit documents, and check your account status without the hassle of paper forms or long phone waits.


Enhanced Phone Support

The IRS has expanded its callback option, allowing 97% of callers seeking live assistance to avoid long wait times. In fact, over 11 million taxpayers used this feature this tax season, saving a whopping 3.3 million hours of waiting!


In-Person Assistance for All

Recognizing that some taxpayers prefer face-to-face interaction, the IRS has increased service hours at Taxpayer Assistance Centers (TACs). This year, they added more than 11,000 service hours, making it easier for you to get help when you need it.


Simplifying the Tax Filing Process

The IRS has rolled out a Document Upload Tool, enabling over 94% of taxpayers to submit necessary documents online. This could replace up to 125 million paper documents a year! If you receive an IRS notice, you can now quickly scan and upload your response from your smartphone or computer.


Helping You Claim Your Benefits

The IRS has also taken steps to help taxpayers understand and claim appropriate credits and deductions. For example, reminder letters were sent to over 1.8 million individuals who might be eligible for the Child Tax Credit but hadn’t filed a return.


More Efficient Scanning and Filing

The IRS has upgraded its technology to improve scanning and electronic filing of tax returns. This means quicker processing and faster refunds for you!


Fighting Tax Scams

The agency has ramped up efforts to disrupt scams that target taxpayers. They’ve protected over $1 billion by monitoring suspicious claims, especially for programs like the Employee Retention Credit.


Ensuring Fairness for All Taxpayers

The IRS is focusing on ensuring high-income earners pay their fair share. This involves pursuing those who evade taxes using complex financial strategies. The agency has already collected over $1 billion from high-income taxpayers who had substantial tax debts.


Continued Improvements Ahead

The IRS is committed to enhancing service levels, with more changes on the horizon. This includes modernizing technology and improving communication so that all taxpayers feel supported and informed.


In Summary

Thanks to the Inflation Reduction Act, the IRS is making strides to improve your tax experience. Whether you prefer online interactions or need in-person assistance, the IRS is evolving to meet your needs. Keep an eye out for these changes, and don’t hesitate to reach out if you need help navigating the tax landscape!


For more information or personalized advice, consider consulting a tax professional to ensure you’re making the most of these new resources.

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