As the Washington Post reports, a proposal pending before the Senate would require the IRS to turn unpaid tax bills over to private debt collectors. The proposal would, in the Post's words, "reviv[e] a program that has previously led to complaints of harassment and has not saved taxpayers money." The leading proponent is Democrat Chuck Schumer, whose state is home to two of the four debt collection firms that stand to benefit, the Post reports.
The IRS's National Taxpayer Advocate opposes the idea, explaining that "outsourcing the collection of federal tax debts . . . disproportionately impacts low income and other vulnerable taxpayers, and despite two attempts at making it work, the program has lost money both times, undermining the sole rationale for its existence."
Read the Post story here.
