Currently, there are around 2,300 Revenue Officers employed by the IRS and working on delinquent tax cases throughout the country.
IRS Revenue Officers are high-level, very skilled agents working with the IRS to resolve complex and serious tax collection issues. If your case is assigned a Revenue Officer, then it means your tax situation is escalating substantially, and you’ll be dealing directly with an agent personally assigned to resolve your situation.
Learn more about why an IRS Revenue Officer was assigned to your case, what it means for your tax situation, how to respond, and when to seek out help from a tax resolution specialist below.
What is an IRS Revenue Officer?
An IRS Revenue Officer is a public employee tasked with collecting delinquent taxes on behalf of the U.S. Department of the Treasury. Employed by the IRS, a Revenue Officer’s primary goal is to collect back taxes.
Revenue Officers work with taxpayers on a direct, personal, case-by-case basis. This personalized and dedicated approach helps produce results for the IRS. Revenue Officers are authorized to take direct actions like demanding taxpayers to submit unfiled tax returns, filing liens, levying assets, garnishing wages, and designing payment plans to help taxpayers.
Revenue Officer Vs. Revenue Agent
While an IRS Revenue Officer is focused on collections, IRS Revenue Agents are focused on auditing taxpayer’s returns to ensure compliance. If a Revenue Agent decides to assess tax against a taxpayer who fails an audit, they are not responsible for collecting the tax. That job falls on the Revenue Officers.
Revenue Officers Vs. Automated Collection System (ACS)
The IRS also has another type of collection team called the Automated Collection System (ACS). The ACS is comprised of automated computer systems and several employees who handle much smaller, less complex tax cases.
All collection efforts are conducted through automated notices and call centers. The computer systems can send out notices about tax delinquency and initiate liens or levies. If your case is in the automated system and you call the IRS, an ACS employee will answer your call.
ACS employees are not assigned to specific cases. The person who answers the phone will simply look your case up on the computer. These employees don’t give personalized attention to each case. Therefore, the ACS call center handles low-priority cases, whereas a Revenue Officer handles high-priority, complex cases that may require direct action and attention.
When Does the IRS Assign a Revenue Officer?
The IRS will assign a Revenue Officer to your case when you don’t comply with tax laws and owe a significant balance to the IRS. A few things that could trigger the IRS to assign an officer include:
- Having a large unpaid tax balance
- Not complying with filing requirements for more than a year
- ACS was unsuccessful in collecting anything from you
- Serious cases of unpaid payroll taxes
- Repeated issues with delinquent taxes and unfiled returns.
In general, you’ll only get a Revenue Officer assigned to your case if the tax agency believes you need a direct IRS contact in order to remain compliant.
Notices You May Receive Before Assignment
You’ll never get assigned an IRS Revenue Officer unexpectedly. Before an IRS Revenue Officer is assigned to your case, you’ll receive multiple notices from the tax agency, including (but not limited to):
- CP14: A Notice of an Unpaid Tax Balance
- CP503: A 2nd Notice of an Unpaid Tax Balance
- CP504: Final Notice of Intent to Levy
- Letter 1058: Notice of Intent to Levy and Your Right to a Hearing
Each of these letters includes further information describing what steps you can take to prevent the further escalation of your case.
What Happens When a Revenue Officer is Assigned to Your Case?
Expect an initial contact once a Revenue Officer is assigned to your case. This will usually happen through the mail. The letter will inform you about the Officer’s assignment to your case. You may also receive Form 9297, which helps the Revenue Officer collect information about how you can pay your taxes.
The Revenue Officer may also request an in-person meeting by sending Letter 725-B. The IRS no longer makes unannounced in-person visits to homes or workplaces except in very rare situations, but in some cases, the Officer may call you before sending a letter.
Once you’re in contact, the Revenue Officer will likely want you to collect specific financial information to help them with your case. They will want detailed explanations of your income, expenses, and reasons for not paying what you owe.
Revenue Officer Assignment Vs. Automated Collections
A Revenue Officer Assignment is much different than dealing with the ACS for collections for several reasons. In general, being assigned to a Revenue Officer means that your case is more complicated, serious, and complex than the ACS would tackle.
Personalized Attention
One of the top ways that an officer will be different than the ACS is because your case will get specific, personalized, direct attention. The officer will directly deal with you. Your case will be handled via a call center with the ACS so multiple agents can deal with you.
Increased Risk of Enforcement
Another important difference is that you run an increased risk of experiencing enforcement actions when you’re dealing with a Revenue Officer. Since they’re directly dealing with you, they are more likely to issue a lien or levy. They’re intensely scrutinizing your case. Their goal when they go to work in the morning is to collect the money you owe the IRS.
Increased Opportunities for Resolution
With an increased risk of enforcement also comes an increased opportunity for resolution. Dealing with multiple agents who might not be as well informed as a Revenue Officer could leave you confused about your options, but a Revenue Officer will directly talk to you one-on-one.
Steps to Take if You are Assigned a Revenue Officer
When you’ve been assigned a Revenue Officer, it’s normal to feel intimidated. To reassure you, we’ve outlined the steps you should take to ensure that the whole process goes as smoothly as possible for everyone.
1. Gather Documentation
First, start gathering documentation, financial records, and any other information you think the Revenue Officer might need. Having this prepared in advance will show the Officer that you want to work towards resolving your tax problems.
2. Respond Promptly
Next, you want to remain as compliant as possible with any of the Officer’s requests. Respond promptly to any requests for contact and adhere to any deadlines to avoid your case escalating any further.
3. Seek Professional Assistance
Another good idea is to consider hiring a tax attorney or an enrolled agent to discuss your rights. These legal advocates might help you protect assets, resolve disputes in a more favorable way, and help negotiate payment terms with your best interests in mind.
4. Explore Resolution Options
Next, consider your options for resolution. Installment agreements allow you to pay off your tax debt balance over a long period of time. Typically, you’ll make monthly payments to the IRS.
An offer in compromise negotiation is an agreement that lets you pay off less than what you owed initially if you cannot afford to pay in full. Filing for currently not collectible status could help you avoid collection efforts if you can prove to the IRS that you genuinely cannot afford to pay your tax debt without going into financial hardship.
When to Get Help from a Tax Professional
It’s best to consider getting help from a tax professional when you have a complex tax situation. Typically, if your case has escalated to the point of a Revenue Officer being assigned to your case, then you need legal support. The right advocate can help you avoid common mistakes and missteps that could wind up costing you a lot more in the long run.
Here at Wiggam Law, our team has saved our clients more than $2.7 million in tax assessment payments by helping them work through their tax situation.
FAQs: IRS Revenue Officers
Do you have more questions about IRS Revenue Officers, the IRS’s collection methods, and how to handle your situation? In general, it’s best to discuss your situation one-on-one with a tax attorney who can give you personalized counsel. That said, we will give some generic, basic answers to some of the most frequently asked questions below.
What is the role of an IRS Revenue Officer?
The main role of an IRS Revenue Officer is to recover delinquent tax money from taxpayers who aren’t cooperating with the IRS and to get the taxpayer compliant with any unfiled tax returns. They’ll fully analyze a taxpayer’s situation, review their options, and then reach out to them about settling their debt. A Revenue Officer has all the authority of the IRS itself, so they can take direct action to work towards collecting what’s owed.
What is the difference between a Revenue Officer and a Revenue Agent?
A Revenue Officer is focused on collecting what you owe. On the other hand, a Revenue Agent is more concerned about whether taxpayers submit accurate tax returns.
What notices indicate that a Revenue Officer has been assigned to my case?
If you receive IRS Notice 725-B, then that means a Revenue Officer has been assigned to your case. This letter will also outline the time, date, and location where you are expected to meet with your IRS representative.
What should I do if a Revenue Officer contacts me?
If a Revenue Officer contacts you, then you need to consider your options and rights carefully. In most cases, it’s best to reach out to a tax resolution specialist who can help you determine your options moving forward. The last thing you want to do is ignore the situation. If you don’t reply, then further escalation of your case is very likely.
Can a Revenue Officer seize my property or bank account?
Yes, an IRS Revenue Officer has the authority to take direct action on your account, including issuing a levy, lien, or wage garnishment order. The Officers themselves won’t personally take away your property, but they can take the legal steps necessary to get the process going.
How can I negotiate with a Revenue Officer?
You can negotiate with a Revenue Officer by understanding your options, outlining what you can pay, and asking the officer to work with you toward a resolution.
How to Deal with an IRS Revenue Officer and Other Tax Debt Problems
Were you recently notified that an IRS Revenue Officer was assigned to your tax case? Are you worried that getting assigned an IRS Revenue Officer might be the next escalation in your situation?
When an IRS Revenue Officer gets assigned to your tax case, it indicates a serious IRS action that you’ll no longer be able to ignore. While it can feel very intimidating to have an agent assigned to you specifically, it’s important to remember that this is an opportunity to resolve your tax issues once and for all.
Before you negotiate with your Revenue Officer, you should first consult with a tax resolution expert about your specific circumstances. Having a legal representative by your side will ensure that your needs are considered throughout the process. It can also help you minimize the risks associated with owing a tax debt and help you secure a more favorable resolution.
Here at Wiggam Law, our team of tax resolution attorneys will advocate for you and help you identify your options. Schedule a 30-minute consultation call with us or call us at (404) 233-9800 now to discuss your situation and get a sense of your options.