Public input on improvements to post-filing alternative dispute resolution programs is being sought by the Internal Revenue Service. Comments can be sent to the The IRS is especially interested in comments on the following:
- Reasons taxpayers choose not to use these ADR programs. Issues that are currently excluded from these ADR programs that should not be excluded.
- Other ways in which programs could be improved.
- Suggestions about educating taxpayers and representatives about ADR programs;
- Experiences with the use of mediators from the IRS Independent Office of Appeals, and suggestions for how Appeals can ensure that mediators promote an ADR engagement conducive to settlement.
- Suggestions for how best to extend the use of ADR programs to taxpayer segments that may be less aware of, or familiar with, ADR, such as small business and low-income taxpayers.
Feedback about whether there are types of cases where ADR has proven particularly useful:
- Issues that are currently excluded from these ADR programs that should not be excluded
- Other ways in which programs could be improved;
- Suggestions for how best to educate taxpayers and representatives;
- Experiences with the use of mediators from the IRS Independent Office of Appeals, and suggestions for how Appeals can ensure that mediators promote an ADR engagement conducive to settlement;
- Ideas to achieve tax certainty or resolution sooner beyond these existing programs;
- Suggestions for extending the use of ADR programs to taxpayer segments that may be less aware of ADR, such as small business and low-income taxpayers, and whether any unique characteristics of these segments necessitate modified ADR procedures;
- Feedback about experiences with the IRS when ADR programs were offered or not offered by IRS personnel or were denied when requested by taxpayers;
- Feedback about whether there are types of cases where ADR has proven particularly useful and how ADR use can be increased in these types of cases;
- Ideas to achieve tax certainty or resolution sooner beyond these existing ADR programs, including ideas for new ADR programs.
Four principal ADR programs are currently available.
The Fast Track Settlement process is for taxpayers under audit and in the jurisdiction of Large Business, International, Small Business and Self Employed, or Tax Exempt and Government Entities Division. This program utilizes an independent Appeals mediator to try to reach agreement on division issues.
Fast Track Mediation--Collection is available for certain collection cases and issues to help taxpayers resolve disputes involving Offers in Compromise and Trust Fund Recovery Penalties. Collection Due Process cases and cases worked at a Collection Campus site are some of the cases excluded from FTMC. Appeals mediators are also utilized in this method.
The Rapid Appeals Process is available to most LB&I cases or SB/SE estate and gift cases. Meant to be completed in one conference, RAP consists of a pre-Appeals conference in which IRS Appeals utilizes mediation techniques about unagreed issues while the case is in Appeals' jurisdiction.
Post Appeals Mediation is available if settlement discussions are unsuccessful and remaining disputed issues are fully developed. Cases mediate through other ADR programs are not eligible for PAM. This method is available for resolving disputed tax issues riginating from an audit or for disputed tax issues that originate through IRS tax collection actions.
