April 25, 2003

Members in Attendance:

• Charlotte Cassady
• Helen Curol
• Gwen Handelman
• Edward Hanna
• Tim Jarrell
• Owen Oatley
• Buck Paolone
• George Sullivan
• Agnes Tillerson
• Steven Wood
• Carolyn Lewis - DFO

Staff:

• Sallie Chavez - TAP Analyst

Welcome
Committee Chair Edward Hanna welcomed everyone and stated that we received some great suggestions this month.

Roll call
Roll was taken. Quorum was met.

Review of March 21, 2003 Minutes
There was a change in spelling for a committee person's name. After this change is made, these minutes are accepted by consensus.

TAP ISSUES
Committee Chair Ed Hanna said that the Recordkeeping issue has been forwarded to the Joint Committee for their consideration. Committee Member Lassar found that the IRS is proposing changes in the area but not as complete as the committee's changes. Chair congratulates the committee on their hard work on this recommendation.

Committee member Tim Jarrell has suggested that sub-committee chairs issue a report to the entire committee a few days before the actual meeting so that the committee will have the information in advance. This may save time in explaining what is proposed. Then during the meeting the report can be discussed. A discussion about this was held and it was agree, by consensus, that this be done.

Notice Responses Timeframe
Sub-committee Chair Helen Curol had a conference call with her subcommittee and they put together information that they have asked to be sent to the TAP Notice Issue Committee. Analyst Chavez will send this information to all committee members as well as to the Issue Committee. This issue will be put in the "Parking Lot" awaiting a response from the Issue Committee.

W-4
No one from this subcommittee was on the call. No report.

Customer Fairness
Sub-committee chair Sullivan discussed the email that he sent to committee members. Several of the members do not have this email. He will get them the information. His email stated the following:

"As per your request below is a possible recommendation for the panel to consider to send to the Joint Committee. The writing was done by Owen Oatley at my request.

That the Taxpayer Advocacy Panel office contact the National Treasury Employees Union about setting up a process to facilitate communications between the Taxpayer Advocacy Panel and the employees of the Internal Revenue Service. One possibility would be for the employee to give information to the local NTEU Chapter President and then the NTEU Chapter President could then give suggestions for improved taxpayer service or other information to the Taxpayer Advocacy Panel. This could result in the NTEU Chapter President seeing a trend or pattern in suggestions, etc. among various posts of duty. He could then contact the Taxpayer Advocacy Panel about this. This could help the Panel gather information, suggestions, etc. and to recommend Systemic improvements which could result in improved taxpayer service

Ed this is only a rough draft and I am sure my committee is open for any and all suggestion, and if we can reach consensus we could send this to the Joint Committee for their review."

Committee Member Gwen Handelman made the following response:
"Hi All. As Ed requested, I am registering my endorsement of Owen Oatley's proposal of a process to facilitate and encourage communications between IRS employees and the Taxpayer Advocacy Panel (and individual committees) through National Treasury Employees Union chapter presidents. I think the TAP Chair or his designee should work with the NTEU at the national level to agree upon a process. I agree that IRS employees have a wealth of experience and knowledge to share with us, including, for example, what sort of training they feel they need but are not getting, the practical impact on IRS employees of various TAP proposals, etc. The proposal also raises the question of how TAP may better partner with the NTEU in addition to IRS program managers. For example, it might be beneficial to include NTEU reps in at least some of the discussions that various committees have with W&I and SB/SE program owners, ask NTEU reps to participate in committee meetings and perhaps make presentations to committees. Either we could add a suggestion about exploring further partnering with NTEU to Owen's proposal (if he agrees) or I offer it as a separate proposal/inquiry to forward to the Joint Committee."

Sub-committee Chair Sullivan would like to coordinate the National and would like to forward this suggestion to the Joint Committee. Committee Chair Hanna questions whether the panel should do this. Committee Member Oatley gave an example. He feels employees may feel uncomfortable doing it internally. This would provide them with an outside source to make suggestions. Committee Member Tillerson feels employees should use internal means to make suggestions. The committee should not interfere with the internal structure. Committee Member Handelman discussed that employees don't always get the training they need. The committee should consider their concerns. She thinks the committee should have a relationship with the union. Committee Member Sullivan agrees with Handelman and Oatley. Committee Chair Hanna asked why couldn't they just contact the committee directly. Committee Member Handelman responded that the employees should have a direct contact with the committee.

Sub-committee Chair Sullivan explained that this was an "Old CAP" Issue. The CAP held meetings with employees and manager and got suggestions. Committee Chair said for Sub-committee Chair Sullivan to meet with TAP Manager Ferree and TAP Analyst Chavez about this and see if there are any objections.

Telephone Listing/Answering Quality
Committee chair Ed Hanna said he would like to have more volunteers work on this issue.

Sub-committee chair Tim Jarrell stated he has asked for information from individuals at several events he has attended over the last couple of weeks about how they have been treated by the IRS on the telephone. He will have a report for the May meeting.

He said Area 2 was also working on this issues he would like to know what they are doing so we don't duplicate the process. Committee member Handelman suggests a memo to the other committee telling them what this committee is doing. Committee chair Hanna requested Sub-committee chair Jarrell to send a memo to Area 2 chair Mary Balmer.

One Call/One Accountability/Complaint Process Resolution
Sub-committee chair Buck Paolone said he faxed a memo to his sub-committee requesting feedback from the sub-committee meeting. He will have something for the May meeting. He would like to combine this issue with the telephone quality.

Walk-in Review
Committee chair Ed Hanna will get information out on this issue. He will work with Analyst Chavez and DFO Lewis for a presentation at the May meeting.

OIC
Sub-committee chair Owen Oatley stated he would really like some statistics on the OIC Program. He wants to contact the National Taxpayer Advocate to get the statistics from the Report to Congress. He wants to know who in National Office is working on this.

ACTION ITEM: Analyst Chavez will discuss with manager on how to get this information.

Estimated Tax Payments Available on Internet or via Phone
This issue is on hold.

Eliminate "Red" copy W-2 Requirements
This issue is on hold.

Need for Specialist for clergy returns and information
This issue is on hold.

Schedule K-1s
Sub-committee chair Owen Oatley sent out information on this issue. This information was discussed. The question is should there be an addition to the instructions as to what needs to be included or should the balance sheet requirement that was eliminated be repealed? Committee chair Hanna will get something to Sub-committee chair Oatley on this issue and it will be addressed at the May meeting.

Other Issues

Outsourcing
Committee chair Ed Hanna reviewed an email that was sent out by Committee member Agnes Tillerson concerning tax return processing being outsourced. She said this was being done in India. Committee chair Hanna said he would like practitioners to advise individuals if a return is being outsourced. Several committee members said they had not received this email. Committee member Tillerson will resend and follow-up on this issue.

New Issues

Issue #10 - This individual would like his real estate taxes and mortgage interest he pays to be refundable even if he has non-taxable income. Committee states this is a legislative issue and they do not want to pursue.

Issue #11 - This caller shared his experience with assistors on the toll-free line. He experienced rudeness and the assistor hung up on him. This falls under the telephone quality issue. Committee wanted to know what happens to calls like this. Analyst Chavez advised that if the caller gets the name and badge number of the employee the citizen can contact TIGTA and make a report. Committee wanted to know what happens if that happens.

ACTION ITEM: Analyst Chavez will get TIGTA procedures for committee.

Issue #12 - Woman complained about the complexity of forms and instructions when reporting dividends. Committee discussed that there has been a recent change in the requirements for reporting dividends. They do not want to pursue this issue.

Issue #13 - This citizen would like the estimated tax penalty to be eliminated if the tax is under a certain amount. Committee discussed this issue and said there was a limit but maybe the threshold should be raised. Committee decided to accept this issue. Committee member Gwen Handelman will work on this issue.

Issue #14 - Citizen wrote a letter stating that the $3,000 limit for a capital loss should be raised due to inflation. Committee discussed and they thought that Area 4 and 6 were both working on this issue.

ACTION ITEM: Analyst Chavez will determine if another area is working this and consider transferring this issue to one of them.

Issue #15 - Citizen states when you have a negative number you lose your depreciation. You lose the depreciation. Committee discussed and determined this is a legislative issue and they do not want to pursue. The citizen had a second issue of printing a phone number with an extension on each form so if you have a question you can call that number and get an answer. This falls into the one call accountability issue.

Issue 16 - Citizen called to complain about the IRS advertising "free tax filing". Area 5 is working this issue so this issue was transferred to Area 5.

Issue 403-1 - This individual had 3 suggestions. The first concerns spreading the filing over 12 months. The committee discussed this and determined it would be a difficult chore with fiscal year filings requiring overlapping of tax rates, deductions and credits for 2 years. The second issue concerns creating a tax credit for every day a person is well. This is a legislative issues and committee request he be advised to contact his congressional representative concerning this issue. His third issue concerns a county surtax on state income tax. This is a state issue and the committee has no jurisdiction for this issue.

Issue 403-2 - This taxpayer has several ideas however they are not very clear. Analyst tried to contact taxpayer without success. This suggestion came in from a contact with Committee Member Helen Curol. She will try and contact this individual and clarify the suggestion.

Issue 403-3 - Tax professional called concerning the check-a-box stating it is still not being honored. Committee chair Hanna stated this has been raised to the Joint Committee and they are still working on it.

Issue 403-4 - Preparer states he has a client whose return is rejected every year because someone else is using his child's SSN. Committee discussed. It was determined that the preparer should contact the local taxpayer advocate with the individual's information.

Issue 403-13 - This is an issue that was suggested by Committee member Owen Oatley. He would like to see the IRS have a special group that would have a high degree of expertise in tax problem of military personnel as well as a special telephone number just for military personnel tax questions. Committee member Oatley stated that TAP Manager Ferree and Analyst Chavez has sent him several items that indicate that the IRS does have some specialist working on this but he would like to pursue the issue of a special telephone number. This issue will be discussed in more detail at the May meeting.

Discussion for May 2003 Meeting
Analyst Chavez discussed the upcoming meeting in Atlanta. The meeting will be held at the Century Center Marriott. Air arrangements are being made now. If you haven't received your itinerary by next Tuesday please contact Analyst Chavez. Hotel reservations will be made by next Tuesday and you will get your confirmation numbers as soon as they are confirmed. Analyst Chavez is working with the Atlanta campus on tours of the submission center and the joint operation center (telephone center) for the meeting. The tours will probably be divided into 2 parts because it will be easier to take smaller groups into the areas. Final arrangements for the tours have not been completed but will be soon.

The next meeting is schedule for the May 16 & 17, 2003 in Atlanta, Georgia.

Meeting was adjourned.