Area 1 Committee Meeting Minutes
March 20, 2007
9:00 AM ET
Teleconference      

Acting Designated Federal Official (DFO)

Committee Members Present

Absentee

TAP Staff

Other Attendees

Welcome/Announcements/Review Agenda
Jason welcomed the committee.

Roll Call (quorum has been met)

Joint Committee Report
N/A

Town Hall Report Out
Jenkins talked about the March 6th Townhall held in New York City at the Brooklyn Borough Hall of Borough President Marty Markowitz. Havey hosted the event. Parra and Ben Chapman and Sonny Kasturi from area 2 were also in attendance. There were about 35 people in attendance.

Subject Matter Expert (SME)/Preparer Pins
Bledsoe introduced himself to the committee. Bledsoe is the manager of the individual marketing services of the Stakeholder Partnership Education Communication Organization.  His primary responsibility is to promote and publicize all electronic services related to e-file. His duties include management of the practitioner personal identification number and are increased in terms of utilization for those programs. Gadon inquired about the Form 8453 self select preparer PIN. Bledsoe informed the committee that when the organization moved away from paper to the electronic realm, the first signature option that was created was the Form 8453 the vehicle by which the taxpayer agreed to the electronic processing of the return. Since then, other signature options have been added and are now called PIN options. So, practitioners as well as taxpayers now have the option to input an electronic PIN as a signature device. Online filers are now the biggest users of the self select pin.  This option allows one to file your return electronically, input a PIN as your signature and retain the PIN and use it in the years to come. Last year, when the practitioner PIN was introduced as an option within the volunteer program, total PIN usage was 44%, the practitioner PIN usage was at 21%. The total PIN usage for this year was 72%. There has been growth in the use of the practitioner PIN. There was a decrease in the use of the self select PIN. There was a reduction in the use of the Form 8453. After the filing season an advertisement goes out to practitioners informing them that electronic filing continues after April 15th and the benefits of using it. Epstein suggests that the IRS push use of the practitioner PIN as the default, then individual private paid practitioners would use it. Bledsoe will mention this to the software expert.

Subcommittee Report-Out/New Issues
Subcommittee 1
Epstein and subcommittee discussed the Goal Star Performance proposal/memo. The subcommittee feels that TAP should recognize the IRS on the issues they handle well. Barry drafted a memorandum that outlined how TAP could recognize proactive, positive action by the IRS. This letter was included in the pre-reads and it is also on TAPSpace. Barry described the process the letter is recommending. The process will also give TAP recognition by other organizations for doing something nice. Jenkins suggested that the memo go to the JC to see if it meets approval. Ferree feels this memo is a great idea and suggested this memo go to the JC as soon as possible.  The committee agreed this memo should go forward.

Regarding the three day rule for transmission of returns prepared by Volunteer Income Tax Assistance (VITA) sites; it is being discussed in the TAP VITA issue committee. The VITA committee feels the rule should not be there and the language should be softened. Regarding the security and confidentiality of tax return information of electronically filed returns; this is still being discussed by the subcommittee (ie. who can disclose, what and when). The Tax Exempt/Government Entities division issue about their toll-free line was also discussed by the subcommittee, the committee received an indication that there was IRS interference but nothing could be done because there was not enough data – the issue is parked for now.

Subcommittee 2
Regarding the response due to IRS on the elevated Schedule D proposal, the subcommittee discussed proposing that page two of that schedule show the carry forward loss amount both for short term and long term losses. Some members of the subcommittee met with Bob Erickson of the IRS on March 16th to discuss. Erickson explained that when the Schedule D was changed in 1992, and this verbiage (which was there previously) was cut out. This proposal was elevated to the IRS and turned down by Ericson initially as well as at this last meeting. Margulies (a member of that subcommittee) feels the committee should not pursue the issue anymore. Another subcommittee meeting will be set up to further discuss this issue. There was a proposal sent as pre-read for this meeting that asks the IRS to allow taxpayers to use online banking to pay the IRS directly. This solution will reduce paper and handling of checks. After discussion by members; it was determined that the issue needed further working in the subcommittee and represented at the April full committee meeting.

Outreach Report-out by Members
Margulies, Hom and Fallacaro did outreach with Congressional Delegations in Boston, MA.

Parra did an interview on Telemundo Television.

Zgoda had an interview on Radio Station WWRL, and had a meeting with the 150 attorneys to discuss TAP.

Issue Committee Update
Time was running out so this was forwarded to the April Meeting.

Other Comments/Questions
Knispel reminded the committee that recruitment for new panel members has started. The new member handbook has been revised and it is on TAPSpace. This will go out to all members once it is printed.

Public Participation
None

Closing/Assessment

• Meeting adjourned 9:58 AM