If you owe money to the IRS or failed to file your tax return, eventually you can expect to receive contact regarding your unfulfilled obligations. Taxpayers are typically contacted either through the Automated Collection System (ACS) or by a local Revenue Agent. The type of contact the taxpayer receives typically depends on the amount and nature of the outstanding taxes owed.
What to Know About the IRS Automated Collection System and Unpaid Tax Debt
If you were contacted by an ACS agent, it is important to understand more about how this system works. For starters, you should know that:
- The purpose of the ACS is to allow the IRS to contact taxpayers by telephone in order to collect unpaid taxes.
- In many cases, contact by an agent working within the ACS is the first direct contact the taxpayer will have with the IRS.
- The Automated Collection System is used to collect balances that are owed by taxpayers or in cases where a taxpayer has not filed a tax return when due. The system is used only when the IRS believes that telephone contact is necessary in order to reach resolution on the unpaid debt or unfiled return.
- Automated Call Distributors within the ACS are used to handle the scheduling and follow-ups for all incoming and outgoing calls. They are also used to issue tax levies and maintain IRS correspondence.
- If a taxpayer receives an IRS notice requesting that the taxpayer file a delinquent tax return or pay the tax debt that is owed, this notice is typically issued by the ACS.
After receiving contact from the IRS about a tax issue, it is important to respond in the proper manner. Doing so can improve your chances of reaching a quick and satisfactory resolution of your tax problem. We encourage you to get started on this process today by reviewing our free guide, The Ultimate Survival Guide for IRS Problems.