Treasury Inspector General for Tax Administration (TIGTA) (www.treas.gov/tigta) was established under the IRS Restructuring and Reform Act
of 1998 to provide independent oversight of Service activities.
How can the IRS ensure the independence of Appeals (as mandated by IRS Restructuring and Reform Act
of 1998) while intimating that valuation disputes--which are inherently factual--can be resolved in a formulary, cookie-cutter manner?
8, 2003 updates the procedures for submitting and processing OICs, reflecting tax law changes made by the 1998 IRS Restructuring and Reform Act
Congress passed the IRS Restructuring and Reform Act
of 1998 in response to frustration with the Internal Revenue Service's (IRS) inability to effectively carry out its mission.
Galvanized by a 1997 report by the National Commission on Restructuring the IRS titled A Vision for a New IRS, Congress passed the IRS Restructuring and Reform Act
of 1998 (RRA).
This new and improved 56-page report provides 32 statistical tables grouped for the first time under the new organizational structure mandated by the IRS Restructuring and Reform Act
Designed to assist in IRS dispute matters, the book covers the IRS Restructuring and Reform Act
of 1998, Taxpayer Bill of Rights issues, and new procedures, such as the separate liability election for innocent spouses arid due process collection hearings.
In 1988, Congress passed the first such bill, entitled the Omnibus Taxpayer Bill of Rights (TBOR).(8) Among its other provisions, TBOR strengthened the authority of the taxpayer ombudsman, the precursor to the Taxpayer Advocate.(9) In July 1996, President Clinton signed the second major bill, known as the Taxpayer Bill of Rights (TBOR2).(10) TBOR2 improved a number of procedural rights of taxpayers in dealing with the IRS.(11) In addition, this bill established the national taxpayer advocate (NTA).(12) The final major bill, the 1998 IRS Restructuring and Reform Act
(1998 Act),(13) includes a new Taxpayer Bill of Rights (TBOR3)(14) that strengthens the NTA and enables the advocate to bring about substantial reform within the IRS.(15)
The National Society of Accountants is pleased to testify before the Ways and Means Subcommittee on Oversight and offers this statement concerning the IRS Restructuring and Reform Act
of 1998, the 1999 tax filing season, and the Fiscal Year 2000 Budget for the Internal Revenue Service.
TEI acknowledged that the IRS's positions on the 21 issues may ultimately be sustained, but said that "until the issues are adjudicated by a court, the IRS's interpretation of the law is entitled to no more deference than that of the taxpayer." Hence, TEI said, the announcement threatens to fundamentally change the balance between Examination, Appeals, and taxpayers and to deprive taxpayers of a right conferred by Congress in the IRS Restructuring and Reform Act
In a number of decisions last year, the Tax Court explained its expanded ability to review requests for innocent spouse relief under IRC section 6015, which was enacted by section 3201 of the IRS Restructuring and Reform Act
of 1998 and amended by section 4002(c) of the Tax and Trade Relief Extension Act of 1998.
l(h) lookthrough provisions, which were added by the Taxpayer Relief Act of 1997, Section 311 (a), and amended by the IRS Restructuring and Reform Act
of 1998, Section 5001(a) (1).