Users' questions

What are the rules for third party contact?

What are the rules for third party contact?

Third-party contacts by IRS personnel in connection with determining and collecting tax from taxpayers are governed by disclosure regulations as well as by certain notice and reporting requirements. The IRS has been delegated the responsibility to administer and enforce the Internal Revenue Code.

What does third party contact mean in a restraining order?

If you are the respondent in an Injunction proceeding, or a Petitioner, you need to understand the concept of third-party contact. If you are on the receiving end of an injunction (restraining order) or you have obtained one in your favor, third-party contact will be expressly prohibited by the terms of the Injunction.

When to send notice of intent to contact third party?

The Taxpayer First Act of 2019 (TFA) revised IRC 7602 (c) (1) to require the IRS to provide advance notice of the intent to contact third parties, specify in the notice the time period (not to exceed 1 year) in which contact will be made and send the notice 45 days before the first contact with a third party.

Can a IRS employee make a third party contact?

The IRS employee’s contact with the appraiser does not meet the first element of a third-party contact because the appraiser is treated, for section 7602 (c) purposes only, as an employee of the IRS. For the same reason, however, the appraiser’s call to the industry expert does meet the first element of a third-party contact.

Third-party contacts by IRS personnel in connection with determining and collecting tax from taxpayers are governed by disclosure regulations as well as by certain notice and reporting requirements.

When does IRS intend to make third party contact?

Intend, at the time such notice is issued, to contact third parties (the notice must state this intent) Specify in the notice the time period, not to exceed one year, in which IRS intends to make the third-party contact (s)

When does a third party Contact Notice expire?

If the contact time period established by any notice issued after August 15, 2019 has expired, or is about to expire, and there continues to be an intent to contact third parties a new notice must be issued to update the time period, not to exceed one year, for which a third-party contact may be made.

Who are the stakeholders in the third party contact program?

Primary Stakeholders: All IRS personnel, TIGTA, GAO, and the National Taxpayer Advocate. Program Goals: While it is the IRS’s practice to obtain information relating to a liability or collectibility determination directly from the taxpayer whenever possible, there are situations when IRS employees must contact third parties.