2013 IRS Report-Increased Collection over Last Decade

The 2013 IRS Update courtesy of Robert Mackenzie at Arnstein and Lehr LLP was released this January. This report covers the most recent IRS (2011) statistics on topics related to tax resolution issues.  I was especially intrigued by the report’s statistics and information over the previous decade including yearly comparisons of IRS levies, tax liens and IRS seizures from years 2001 – 2011. Here is an example of how these collection enforcement actions have changed over a 10 year period:

IRS Levies

  • 2001 there were 674,080
  • 2011 there were 3,748,884 – a difference of 3,074,804-Over 5 times more IRS levies over a ten year period

IRS Liens

  • 2001 there were 426,166
  • 2011 there were 1,042,230 – a difference of 616,064-Roughly 2 ½ times more IRS liens over a 10 year period

IRS Seizures

  • 2001 there were 234
  • 2011 there were 776 – a difference of 542-Nearly 2 ½ times more IRS seizures over a 10 year period

Criminal Investigations grew as well over a ten years.

Tax and Tax Related Cases

  • In 2001 there were 964
  • In 2011 there were 1622 – a difference of 658-Over 1 ½ times more criminal tax cases over 10 years

Average Sentence of Tax and Tax Related Cases

  • In 2011 it was 18 months
  • In 2011 it was 25 months – Sentences increased nearly 1 1/2 times in 10 years

Much of the information provided in The 2013 IRS Update supported the recent National Taxpayer Advocate Nina Olson’s Annual Report to Congress. In the report, Olson strongly suggests the tax administration focus on tax reform highlighting three main areas where the IRS can improve its practices: tax reform of complex tax code, IRS funding, tax-related identity theft.

It’s clear from the previous statistics, the IRS has been increasing its collection efforts over the last ten years to collect back taxes from taxpayers with IRS debt. If you are facing an IRS levy, a tax lien or have been threatened with an IRS seizure, you need to take care of your IRS tax issues – because if you wait, matters will only get worse and more expensive over time. It’s a bad tax strategy.

The best strategy is to contact an expert tax attorney or Certified Tax Resolution Specialist immediately to help you unravel this mess. They can do this by helping you by file an IRS collection appeal to remove your tax lien, especially if there’s a levy. They can also help to negotiate a suitable IRS Payment Plan that gets you back on track and helps to resolves IRS problems for good.

More Tax Help, IRS News and Tax Relief Tips:

  1. IRS May Report Tax Debt to Credit Bureaus
  2. Finding Tax Help for IRS Tax Debt
  3. Proposed Law Could Revoke Passport for Tax Debt
  4. Tax Help for Taxpayers who Missed April Deadline
  5. New Offer in Compromise Policies Bring Tax Relief

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One Response to “2013 IRS Report-Increased Collection over Last Decade”

  1. TaxMan Episode-Client Success Tax Audit Case Says:

    [...] the economy they have stepped up collection and are going after assets like never before. (See this previous post for some [...]

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