Filing Season

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Richard J. MorganteCommissioner, WI
Internal Revenue Service2007 Filing Season
Updateand Future Challenges
November 7, 2007
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Filing Season Challenges

• Telephone Excise Tax Refund
• Extender Legislation
• Split Refund Option

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Filing Date Extensions

• Noreaster storm
• Intuit e-file
• Virginia Tech tragedy
• Emancipation Day

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Individual (1040 Series)Electronic Returns
Filed(01/01/07 through 05/26/07 comparable
prior periods)
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Filing Statistics (full year data)

• 139 million individual returns
• 105 million refunds
• 244 billion
• Refunds grew 5
• Direct deposits grew 8

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Automated Calls Answered and Internet Wheres My
Refund?(01/01/07 through 06/02/07 and comparable
prior periods)
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Toll-Free (filing season data)

• 18 million assistor calls answered
• 20 million automated calls answered

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Taxpayer Assistance Centers

• 401 TAC sites
• More than 6 million taxpayers

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Contact Recording

• Accuracy
• Timeliness
• Professionalism

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Volunteer AssistancePartners

• More than 60 National organizations
• More than 325 coalitions
• Thousands of community partners
• Nearly 12,000 free tax prep sites
• More than 2.6 million returns filed

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Volunteer Assistance (filing season data)
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IRS.gov

• Wheres My Refund?
• AMT Assistant
• EITC Assistant (also in Spanish)
• Withholding Calculator

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IRS.gov VisitsPopularity Continues to
Grow(filing season data)
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IRS.gov Almost as popular as
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Other Services and Accomplishments
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Practitioner Priority Service

• 1-866-860-4259
• 8 am to 8 pm local time

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EITC Awareness Day
January 31, 2008
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Electronic Excise Tax Filing

• Accuracy
• Timeliness
• Professionalism

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Compliance Programs

• Automated Underreporter
• Correspondence Examination
• Automated Collection System

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FY 2007 Compliance Closures

• 2 million Underreporter - 1 increase
• 2 million AUR contacts - 4 increase
• 600,000 Examination - 5 increase
• 1 million Collection - 10 increase

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Short Long Term Challenges
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Customer Account Data Engine
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Tax Gap
Measures the extent to which taxpayers do not
file their tax returns and pay the correct tax on
time
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TAX GAP MAP for Tax Year 2001 (in Billions)
Tax Paid Voluntarily Timely 1,767 (Voluntary
Compliance Rate VCR 83.7)
Total Tax Liability 2,112
Gross Tax Gap 345 (Noncompliance Rate NCR
16.3)
Certainty of the Estimates
IRS will continue to collect late payments for
TY01 for years to come. This category includes
tax paid late by taxpayers without IRS
enforcement action. For comparison, 24.3B of
tax was collected solely through enforcement in
FY2001. Updated using Census tabulations No
estimates available
Estimates in Bold Boxes Have Been Updated Based
on Detailed TY01 NRP Results
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TAX GAP MAP for Tax Year 2001 (in Billions)
Tax Paid Voluntarily Timely 1,767 (Voluntary
Compliance Rate VCR 83.7)
Total Tax Liability 2,112
Net Tax Gap (Tax Not Collected) 290
Gross Tax Gap 345 (Noncompliance Rate NCR
16.3)
Certainty of the Estimates
IRS will continue to collect late payments for
TY01 for years to come. This category includes
tax paid late by taxpayers without IRS
enforcement action. For comparison, 24.3B of
tax was collected solely through enforcement in
FY2001. Updated using Census tabulations No
estimates available
Estimates in Bold Boxes Have Been Updated Based
on Detailed TY01 NRP Results
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Service Improvements

• Electronic Interaction Enablement
• Telephone Service Enhancements
• Partner Services
• Outreach and Education
• Marketing and Promotion
• Taxpayer Assistance Centers

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Alternative Minimum Tax
AMT
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Questions and Answers
?