Bipartisan legislation offered by U.S. Rep. Randy Feenstra (R-IA) that requires the Internal Revenue Service (IRS) to clearly communicate tax-filing errors to taxpayers became law on Nov. 25 with the president’s signature.
“I’m thrilled that President Trump signed my bill to hold the IRS accountable to Iowa taxpayers,” Rep. Feenstra said on Monday. “For too long, the IRS has caused headaches and confusion when a taxpayer makes a fixable mistake on their taxes, providing no explanation as to why a refund is different than expected, or how to correct an error.”
The enacted Internal Revenue Service Math and Taxpayer Help Act, H.R. 998, which Rep. Feenstra sponsored on Feb. 5 with lead original cosponsor U.S. Rep. Bradley Schneider (D-IL), also requires the IRS to identify an item that is being changed and explain why a tax refund is higher or lower than expected, according to a bill summary provided by Rep. Feenstra.
“This law will require the IRS to clearly communicate tax-filing errors to Iowans and help them not only understand the mistake but also challenge it if they see fit,” said the congressman. “I will continue to work with President Trump to make government more efficient and ensure that the IRS is accountable to Iowa families, farmers, seniors, and small businesses.”
Under the new law, a notice sent by the IRS regarding a math or clerical error must include a clear description of the error, including the type of error and the specific federal tax return line on which the error was made; an itemized computation of adjustments required to correct the error; the telephone number for the automated transcript service; and the deadline for requesting an abatement of any tax assessed due to the error.
Among other provisions, the law also requires the IRS to send a notice related to an abatement of tax assessed due to a math or clerical error that clearly describes the abatement and includes an itemized computation of adjustments to be made to the items described in the notice of the error, according to the Congressional Record bill summary.