This bill significantly enhances the information provided in Internal Revenue Service (IRS) notices regarding mathematical or clerical errors. It mandates that these notices describe the error in comprehensive, plain language , specifying the type, relevant tax code section, nature, and exact line on the return. Furthermore, the notices must include an itemized computation of all direct or incidental adjustments to the return, covering various financial aspects like adjusted gross income, taxable income, deductions, and credits, and must prominently display the deadline for requesting an abatement. The legislation also requires the IRS to send clear, itemized notices upon granting an abatement. These provisions will apply to notices sent 12 months after the bill's enactment, and the Secretary of the Treasury must establish procedures for taxpayers to request abatements through various channels within 180 days. Additionally, a pilot program will be implemented to test sending error notices via certified or registered mail with e-signature confirmation, with a report to Congress on its effectiveness in improving taxpayer response.
This bill significantly enhances the information provided in Internal Revenue Service (IRS) notices regarding mathematical or clerical errors. It mandates that these notices describe the error in comprehensive, plain language , specifying the type, relevant tax code section, nature, and exact line on the return. Furthermore, the notices must include an itemized computation of all direct or incidental adjustments to the return, covering various financial aspects like adjusted gross income, taxable income, deductions, and credits, and must prominently display the deadline for requesting an abatement. The legislation also requires the IRS to send clear, itemized notices upon granting an abatement. These provisions will apply to notices sent 12 months after the bill's enactment, and the Secretary of the Treasury must establish procedures for taxpayers to request abatements through various channels within 180 days. Additionally, a pilot program will be implemented to test sending error notices via certified or registered mail with e-signature confirmation, with a report to Congress on its effectiveness in improving taxpayer response.