Tax debts

The service agreed to ease its policies for low-income taxpayers who are trying to settle their tax debts and still get tax refunds.

The service also noted that it would always notify taxpayers that their accounts are going to collections.

The average American will pay $525,037 in taxes over their whole lives.

The Internal Revenue Service has decided to use its discretion to avoid reducing the size of Economic Impact Payments with tax debts owed to the federal government.

The Internal Revenue Service mistakenly sent letters to many taxpayers saying it would be reducing their Economic Impact Payments to pay off the taxes they owed.

Private collection agencies that have contracted with the Internal Revenue Service to collect overdue tax debts have collected nearly $500 million since 2017, according to a new report, but that’s just a fraction of the over $30 billion owed.

The IRS is making some changes in its collection program to lessen the burden on taxpayers with outstanding tax debts who are trying to cope with the economic fallout of the COVID-19 pandemic.

The Internal Revenue Service said Friday it would restart issuing its 500 series of balance-due notices to taxpayers later this month after they were paused on May 9 due to the COVID-19 pandemic.

The Internal Revenue Service agreed to quit warnings about unpaid taxes while it works through millions of pieces of unopened mail that have accumulated during the pandemic.

House Ways and Means Chair Richard Neal wants the IRS to quit sending balance due notices for now.