Automated Collection System

(ACS)(ACS)

2October 2010

ACS MissionACS Mission

It is the mission of ACS to collect delinquent

taxes and returns through the fair and

equitable application of the tax laws,

including the use of enforcement tools when

appropriate, and provide education to

customers to ensure future compliance.

3October 2010

What Is ACS?What Is ACS?

ACS is a computerized system that maintains:

Taxpayer Delinquent Account (TDA) - Balance-due accounts; and

Taxpayer Delinquent Investigation (TDI) - Return delinquency investigations.

4October 2010

Service Center Balance Due Service Center Balance Due Notice RoutineNotice Routine

MF Notice

Status XX CP501

Status XX CP503

Status XX CP504

Status XX

TDA

Status XX

ACS

Status XX

Queue

Status XX

Field

5October 2010

National Call Router in Atlanta:National Call Router in Atlanta:W&I Call Sites (1-800-829-7650)W&I Call Sites (1-800-829-7650)

6October 2010

National Call Router in Atlanta:National Call Router in Atlanta:SBSE Call Sites (1-800-829-3903)SBSE Call Sites (1-800-829-3903)

IA

7October 2010

Predictive DialerPredictive Dialer

The Predictive Dialer system calls the taxpayer’s or representative’s number(s).

If someone answers, the call is transferred to the next available agent in the Buffalo NY callsite.

If the call is picked up via voicemail, a message is left for a callback.

8October 2010

ACS Support SitesACS Support Sites

Two ACS Support Sites handle all correspondence (paper) generated by the W & I ACS Call Sites. Austin’s support site is Fresno. The other site is Kansas City.

9October 2010

ACS ActionsACS Actions

IssuesLettersLeviesLiens

History Codes Scheduled follow-up dates Documented case comments

10October 2010

NotificationNotification

We are required by law to notify taxpayers in writing at least annually about balance due accounts

11October 2010

Enforcement ActionsEnforcement Actions

ACS employees issue two types of enforcement actions:

Notice of Levy

Notice of Federal Tax Lien

12October 2010

Required Notices Before a property can be levied, the taxpayer

must be sent certain notices:

Notice and Demand (CP501)

Notification of Third Party Contact

Notice of Intention to Levy and Notice of Taxpayer’s Right to a Due Process (CDP) Hearing (LT11)

13October 2010

Automated Levy Program (ALPs)

State Income Tax Levy Program (SITLP)

Federal Payment Levy Program (FPLP)

Alaska Permanent Fund Dividend Program (AKPFD)

14October 2010

FPLPOPM retirement incomeMiscellaneous vendor paymentsTravel advances and reimbursementsFederal salariesSocial Security Administration (SSA) benefits

(not Supplemental Security Income—SSI)Federal contractor/vendor payments

15October 2010

Notice of Federal Tax Lien (NFTL)

Document filed in accordance with state law to make the liability public, and to protect the government’s interest.

A claim on an individual’s property for payment or satisfaction of a debt, obligation, or duty.

16October 2010

Lien Requirements

A Federal Tax Lien is created when:Assessment is madeDemand for payment has been madeTaxpayer has neglected or refused to pay

(within 10 days)

17October 2010

Required Lien Filing

Case closures:

Installment Agreements Currently Not Collectible

Unable to Contact Unable to Locate Hardship

Reassignments to the Queue

18October 2010

Appeals

Collection Due Process (CDP)

Collection Appeals Program (CAP)

19October 2010

Payment OptionsPayment Options

Full payment today Full payment within 60 days Borrow Assets

20October 2010

Payment Options Payment Options cont.cont.

Installment Agreement (IA)Streamlined IARegular IAPartial Pay IA (PPIA)

21October 2010

Payment Options Payment Options cont.cont.

Currently Not Collectible (CNC)

Offer In Compromise

22October 2010

Installment Agreement Payment Installment Agreement Payment OptionsOptions

Direct Debit Payroll Deduction Credit Card Electronic Federal Tax Payment System

(EFTPS) Pay by Check or Money Order

23October 2010

Information Requested for Financial Information Requested for Financial StatementStatement

Recent Pay Stubs Assets

CashReal PropertyPersonal Property

24October 2010

Information Requested for Financial Information Requested for Financial Statement Statement cont.cont.

Housing & Utility Cost Operating Cost on Vehicles Medical Expenses Life Insurance Payroll Deductions Child Care Child Support Other Monthly Obligations - Union Dues, Court

Ordered Payments, Etc…

25October 2010

Financial AnalysisFinancial Analysis

Determine maximum ability to pay Equity in assets Debt satisfaction Substantiation National and Local standards

26October 2010

National StandardsNational Standards Food, Clothing and Other

Items FoodClothingHousekeeping SuppliesPersonal Care ProductsMiscellaneous

Out-of-Pocket Health Care Expenses

27October 2010

Local StandardsLocal Standards Housing and Utilities Transportation

Ownership Operating Costs Public Transportation

28October 2010

Levy ReleasesLevy Releases

Account Resolution – Determined by the facts of the case.

Creating HardshipFinancial StatementForeclosureEvictionRepossession

29October 2010

Levy ReleasesLevy Releases cont.cont.

Managerial Approval:Regular IACNCPPIA

If Levy Released:Fax to Employer – if Fax # providedMail Copy to Taxpayer, Bank, and/or

Employer