It’s election season, so Congress is on my mind. Occasionally, I have called on my client’s Representative to get what I need from the IRS. And every time, the IRS has responded to the congressmember immediately, whereas I was often ignored for months. Why and when does this work?
November 7, 2024
Helping Constituents Aids with Reelection
Most Senators and Representatives (and their staff) are delighted to help constituents with low-visibility, administrative problems the congressmember can quickly impact, such as getting a Social Security payment unstuck. Legislators believe helping constituents helps with reelection – a constant concern for all but retiring members of Congress. And Congressmembers pursue reelection above all else: even if they sought elected office to solve big policy problems or for the power or prestige of the office, legislators must remain in office to fulfill their broader goals.
Moreover, legislating on big, national problems often results in political blame (not credit) because a significant number of voters will dislike any solution (consider immigration reform and why Congress hasn’t done this for decades). Thus, calling a legislator with an easy problem that’s likely to result in a grateful constituent always gets a congressmember’s attention. And the IRS responds to legislators because they are the IRS’ boss, responsible (via congressional oversight committees) for IRS budgets and mandates.
Passport Holds/Installment Agreements
Here’s the context in which I’ve used this strategy most often. One tool the IRS has to compel a taxpayer to pay their tax debt is ordering the State Department to put a hold on the taxpayer’s passport, thus eliminating the taxpayer’s ability to travel abroad. Full payment or entering an Installment Agreement tax payment plan gets holds lifted. Some clients are already scheduled to travel when they learn of their passport hold. The IRS rarely moves quickly, but short time frames are especially tricky when the State Department is also involved. Even when I’ve immediately negotiated an Installment Agreement, the State Department can fail to timely process the passport hold release.
This is when asking the client’s legislator to contact State (or the IRS) can really pay off. A call from a Senator or House member (or their staff) almost always lights a fire under the State Department to process the release on the passport hold. It’s always worth trying. Hey, we elected ‘em, they work for us, so put ‘em to work!
Delayed Tax Refunds
Some clients wait years for their tax refund. Seriously. This happens most with refunds triggered by filing an amended return. Why is the refund “constipation” associated with amended returns in particular? First, and most obviously, the IRS moves faster in its collection efforts, than its refund duties, so refunds of any kind can languish. Second, the IRS focuses its limited manpower primarily on the current tax year, putting fewer resources into issues arising from older tax years. Thus, getting a “older” refund disgorged from the IRS can take months and even years: it’s simply not their priority. But many clients need that money. That’s when I tell them have their member of Congress get on the horn to the IRS and demand, “S’up?? How many more years do you need to repay a hard-working taxpayer the money they’re legally owed??” Works every time!
Are you wondering whether getting your Senator or Representative involved will help “unstick” a problem you have with the IRS? Call me and let’s chat: 818-889-8080.
November 7. 2024