Yesterday, IRS Commissioner Doug Shulman spoke at the AICPA fall meeting. When the IRS Commissioner speaks, we should all listen for clues as to what is in store for us as taxpayers.
Commissioner Shulman talked about a number of things, including the return preparer program that now requires paid tax return preparers to register and obtain a Preparer Tax Identification Number (PTIN). He said that since September 28, 2010, almost 740,000 individuals have registered. It is perhaps surprising over 60% of PTIN holders are not attorneys, CPAs or enrolled agents.
One of the most interesting things that Commissioner Shulman talked about was a new vision for the IRS in which the present system would be changed into what he called a “real-time tax system.” The hope is that tax enforcement will move away from audits that may take place years after a return is filed to a system in which errors are corrected promptly after filing.
“We’re moving away from the after-the-fact, or ‘look-back’ model,” Commissioner Shulman said.
Look for more information in the near future on the IRS’s vision for a more high-tech tax enforcement agency. According to the Commissioner, plans are already in the works for a public meeting to discuss the “real-time tax system” and to solici feedback from the tax community.