Summary: In November 1997, the Internal Revenue Service (IRS) held the first in a series of problem-solving days in its 33 districts. Between November 1997 and July 1998, these events attracted more than 22,000 taxpayers, who met with IRS staff in an attempt to resolve their tax problems. IRS advertised its problem-solving days in national and local newspapers as well as in television and radio spots. Taxpayers and practitioners were urged to call in advance to schedule appointments to discuss their tax problems. Some taxpayers who called in advanced were able to resolve their problems over the phone. For taxpayers who scheduled an appointment, IRS was generally able to provide information about the taxpayers' case at the time of the appointment. Taxpayers who walked in without an appointment generally were able to meet with IRS staff to discuss their situation. Surveys found that taxpayers were generally satisfied with the initiative, even though not all taxpayers who participated in the problem-solving days were able to fully resolve their problems. IRS has reviewed the types of problems that taxpayers have sought to resolve on problem-solving days and identified four main problem areas: penalties, audit reconsiderations, installment agreements, and offers in compromise. IRS now has task groups reviewing each of these areas to identify administrative or legislative actions needed to reduce such problems in the future.
