IR-2008-85, July 2, 2008

WASHINGTON — The Internal Revenue Service is now accepting applications for the first-ever Volunteer Income Tax Assistance (VITA) matching grant program. The application period for 2009 is from July 1 through Sept. 2, 2008.

The Community VITA grant program is the first of its kind at the IRS. In December 2007, Congress appropriated funds to the IRS to establish and administer a one-year matching grant program in consultation with the Taxpayer Advocate Service.

The VITA program offers free tax help for low-to-moderate income individuals for tax return preparation.

Under the grant program, the IRS will award matching grants to extend services to underserved populations and hard-to-reach areas, both urban and non-urban. The grants will also be used to increase the capacity to file returns electronically and enhance training of volunteers at VITA sites.

The establishment of the grant will enable the IRS to offer funding to assist organizations in sustaining the VITA program.

Who Can Apply

Applicants must be any one of the following:

IR-2008-86, July 3, 2008

WASHINGTON — The Internal Revenue Service’s Tax Talk Today program returns on Tuesday, July 8, 2008 at 2 p.m. with a Web cast on “Retirement Plan Pitfalls.”

Few issues are as important to the owner of a business and its employees as the proper administration of its retirement plans. Ensuring that the retirement plan is in good running order keeps the promise made in setting up the plan.

Attend this program to learn how to use the IRS Fix-It Guides to identify and correct frequently encountered errors the IRS sees in retirement plans. These correction programs help retirement plans operate within the law and protect participant benefits.
And they provide real incentives to identify and correct mistakes sooner rather than later. In addition, the IRS will provide tips on how these mistakes can be avoided in the future.

Moderated by Les Witmer, the show’s panel of experts includes Avaneesh Bhagat, IRS, Program Coordinator, Employee Plans Voluntary Compliance; Dan Morgan, Partner Dickstein Shapiro, LLP; Thomas G. Schendt, Partner, Alston & Bird LLP; and Monika Templeman, IRS, Director, Employee Plans Examination.

Tax Talk Today is a Web cast aimed at educating tax and payroll professionals on the most current and complex tax issues. Tax professionals are encouraged to watch and submit questions.

Viewers can register online to access the Web cast at no charge. Tax professionals in need of continuing education credits are eligible to receive one CPE credit by viewing the May 13 Web cast.

Archived shows are available on the site also.

Notes:

IR-2008-87, July 8, 2008

WASHINGTON — National Taxpayer Advocate Nina E. Olson today delivered a report to Congress that identifies the priority issues the Office of the Taxpayer Advocate will address in the coming fiscal year. Among the key areas of focus will be improving IRS procedures to protect victims of tax-related identity theft and expanding outreach and education to individuals who have lost their homes to foreclosure concerning the “cancellation of debt” tax consequences they face.

The report notes that July 22, 2008, will mark the 10th anniversary of the enactment of the IRS Restructuring and Reform Act of 1998, which created the Office of the Taxpayer Advocate in its current form and added significant taxpayer rights protections. Olson praised the legislation, saying:  “From my perspective as the National Taxpayer Advocate, I see daily how much taxpayers benefit from RRA 98.”

The Advocate’s report, which is required by law, sets out the objectives of the Office of the Taxpayer Advocate for the upcoming fiscal year and provides substantive analysis of issues as well as statistical information.  Among the areas the report identifies for particular emphasis in FY 2009 are the following:

IR-2008-88, July 10, 2008

WASHINGTON — The Internal Revenue Service cautions taxpayers to be on the lookout for a new wave of scams using the IRS name in identity theft e-mails, or phishing, that have circulated during the last two months.

In May and June alone, taxpayers reported almost 700 separate phishing incidents to the IRS. In 2008 so far, taxpayers have reported about 1,600 phishing incidents to the IRS.

“Taxpayers should take steps to keep their personal information out of the hands of identity thieves,” said IRS Commissioner Doug Shulman. “That includes not falling for any of the phony e-mails or faxes now in circulation pretending to come from the IRS.”

The most common scams involve tax refunds and, this year, economic stimulus payments.

Although most of these scams consist of e-mails requesting detailed personal information, the IRS generally does not send e-mails to taxpayers, does not discuss tax account matters with taxpayers in e-mails, and does not request security-related personal information, such as PIN numbers, from taxpayers.

Refund e-Mail Scam

There are several variations of the refund scam, in which an e-mail claiming to come from the IRS falsely informs the recipient that he or she is eligible for a tax refund for a specific amount. The bogus e-mail instructs the recipient to click on a link to access a refund claim form. The form requests personal information that the scammers can use to access the e-mail recipient’s bank or credit card account.

This notification is phony. The IRS does not send unsolicited e-mail about tax account matters to taxpayers.

IR-2008-89, July 14, 2008

WASHINGTON ––The Internal Revenue Service is postponing until Aug. 29 the time to file certain tax returns, to make certain tax payments and to perform time-sensitive acts for storm, flood, and tornado victims in presidential disaster areas in six states, mostly in the Midwest.

Previously, these deadlines varied by state, and the postponement provides people affected by the disasters with additional time.

"Our hearts go out to to the people hit by these disasters," IRS Commissioner Doug Shulman said. “We realize that as people put their lives back together, they need additional time to work on these tax issues."

This announcement will affect counties in Indiana, Iowa, Illinois, Nebraska, West Virginia and Wisconsin that qualify for individual assistance. Affected counties in Missouri previously have been granted relief until Aug. 29.

Notes:

This information was obtained from the IRS.gov website. E-File Magic does not warrant the accuracy of this information and provides it as a convenience to it’s customers. We encourage you to visit http://www.irs.gov/newsroom/article/0,,id=108500,00.html for the most recent copy of this information. Download our Free 1098/1099/5498/W2G Software by Downloading the Free Business E-File Software Here.

Prepared Remarks Before Tax Analysts Conference on RRA '98

IR-2008-90, July 18, 2008

WASHINGTON –– Good morning.  I would like to thank Chris Bergin for the opportunity to be here today to discuss the IRS Restructuring and Reform Act.  I greatly enjoyed my work on the Restructuring Commission, and it is a real pleasure to see here today so many familiar faces from that time – even if we all look a little older. 

Before I get into a discussion of the Act I would like to make one observation about the IRS.  I think we would all agree that, in general, the IRS is viewed as a very efficient and competent tax agency.  In fact, it is the tax agency that other tax agencies around the world aspire to emulate.  But I must tell you how impressed I am with the workforce and the leadership at the IRS.  In my four months on the job, I have seen the incredible dedication and commitment to public service of the people at the IRS.  The IRS workforce is highly motivated and clearly understands its mission. 

Just look at the last few months.  This year, the employees and leaders at the IRS delivered another successful filing season.  They dealt with the late enactment of the AMT patch in a way that minimized delays for taxpayers.  And they still found time to send out more than 112 million stimulus payments totaling about $92 billion. 

I am very proud to be leading an organization of such fine public servants.

Let me turn now to the Restructuring Act.  I want to make some observations about the Act and then talk a little about where I think the IRS needs to go and where I hope to lead it during my time as commissioner. 

IR-2008-91, July 21, 2008

Public Service Announcement: It's Not Too Late To Get Your Stimulus Payment

WASHINGTON — The Internal Revenue Service today reminded qualifying retirees and veterans that it is not too late to file for an economic stimulus payment and announced it will send a second set of information packets to 5.2 million people who may be eligible but who have not yet filed for their stimulus payment.

The packages will contain everything needed by a person who normally does not have a filing requirement but who must file this year in order to receive an economic stimulus payment. There will be instructions, an example Form 1040A return showing the few lines that need to be completed, and a blank Form 1040A. The packages will be mailed over a three-week period starting July 21.

“All it takes is a few simple steps, and the payment can be on its way. It’s not too late to file, but the sooner people file, the faster they’ll receive their money,” said Doug Shulman, IRS Commissioner.

The mailing is part of an IRS summer campaign to reach out to those people who have no requirement to file a tax return but who may be eligible for a stimulus payment of up to $300 ($600 for married filing jointly). For those eligible for a payment for themselves, there also is a $300 per child payment for eligible children younger than 17.

IR-2008-92, July 30, 2008