Tax Collection Timeline
Many taxpayers face stress and confusion when they face collection and/or enforcement action by the IRS. Below is information regarding the IRS' collection efforts and timeline. The IRS designates taxes assessed and not paid as a "Taxpayer Delinquent Account" ("TDA"). A TDA file can be in one of six IRS steps in their delinquent tax collection cycle:
1. Pre-Assessment: Tax liability is determined but not yet assessed. In pre-assessment, you can pursue an Offer in Compromise, Installment Agreement, and CNC status designation.
2. IRS Service Center: This is the notice stage, whereby a computer generated notice (a statutory notice and demand) is sent to the taxpayer. The last notice sent by the Service Center is an "Intent to Levy" notice.
3. Automated Collection System: ACS is a computer based auto-dialer collection system. Frequently, accounts are placed at the ACS level for up to the 12th month of collection. ACS collectors will seek to discover a delinquent taxpayer's financial profile, including income, expenses, and assets. ACS is an appropriate time to negotiate an Installment Agreement or CNC status.
4. Queue - Accounts that do not get routed to Field Collectors sit in the queue based on probability of collection and collectability.
5. Collection Field - This is the stage when accounts are actively worked by field Revenue Officers. Field Officers will attempt to contact and collect from delinquent taxpayers.
6. Special Procedures - These cases require specialized care, including bankruptcy, foreclosure, litigation, lien releases and other non-traditional efforts.
If you would like to discuss your particular situation, call us anytime at: 1-800-455-6829.