National Taxpayer Advocate Nina E. Olsen has identified many problems which are escalating at a rapid rate.
The impacof tax law changes late in the year has ed to IRS delays in handling taxpayers returns and caused many taxpayers to underclaim benifits because they did ot know what the law was because the IRS unable to proerly update the aleady confusing instructions for filling out their return. She state that the 203 filing season is already at risk and is likely to pose problems for many taxpayers.
Provisions of the tax law which expired dec. 2011
The AMT patch wich means that an estimated 27 million more taxpayers will be subject to the alternative minimum tax.
The deduction for state and local taxes which will affect another 11 milion taxpayers.
The deductioin for mortgage insurance premiums, onother 4 million taxpayers adversly affectedA provision allowing persons 70 1/2 an up to make taxfree withdrawals from their individual retirement accunts to make charitable contributions.
Many more provisions will expire dec 2012 including
the Bush era cuts in marginal tax rates
reduced tax rates on dividends and long term capital gains
various marrage penalty relief provisions
certain components of the child tax credit
the earned income tax credit
the adoption credit
and the moratoria on the phase-outs if itemized dedeuctions and personal exemptions (Oboma's reward to his evil rich campaign contributors)
The uncertainty about this and other tax provisions affecting corporations and small business affects the public sector business to make plans ( something the dems cant understand)
The greater risk of tax fraud and tax related identity theft is also covered in this report and the IRS ability to make speedy refunds to hard pressed and needy taxpayers will also be adversly affected
The Taxpayer assistance orders (TAO) and the Taxpayer Advocate directives (TAD) which are designed to protect taxpayers rights are currently being ignored by the IRS and the IRS has sought to limit the Advocates authority to issue these items
The IRS has not yet complyed with the proposed Taxpayer Advocates directives designed to assist victims of preparer fraud and has challenged the directive to improve their audit process.
TAO's and TAD's are important tools to elevate taxpayer rights and issues to the IRS leadership, (NOTE, MORE REFUSEAL TO BE ACCOUNTABLE BY THIS ADMINISTRATION)
This is just a short summary of some of the things included in the NTA" eport
The NTA is an independant orginization withinthe IRS and is designed to help taxpayers who are experiencing econ omicdifficulty's
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