chapte Administr: at procedures
1 Chapter 15: Administrative Procedures
ADMINISTRATIVE PROCEDURES Role of the Irs Audits of tax returns Requests for rulings Due dates Failure-to-file/pay-penalties Estimated taxes Severe penalties
2 ADMINISTRATIVE PROCEDURES Role of the IRS Audits of tax returns Requests for rulings Due dates Failure-to-file/pay-penalties Estimated taxes Severe penalties Statute of limitations
Role of the Irs (1of2) Enforcement of tax laws Collection of taxes due Interpretation of Internal Revenue Code
3 Role of the IRS (1 of 2) Enforcement of tax laws Collection of taxes due Interpretation of Internal Revenue Code
Role of the Irs Organization of the IRS(2 of 2) Commissioner Deputy Comm Chief counci Nat'l office Staff Agency-Wide Appeals Opearting CIO Nat'l Taxpayer Shared Services Type title here Divisions Type title here Advocate Wage Invest SMall Bus& Large &Mid-size Ta Income Self-Employed Business Exem 4
4 Role of the IRS Organization of the IRS(2 of 2) Chief Council Nat'l Office Staff Agency-Wide Shared Services Appeals Type title here Wage & Invest. Income SMall Bus & Self-Employed Large & Mid-size Business Tax Exempt Opearting Divisions CIO Type title here Nat'l Taxpayer Advocate Commissioner/ Deputy Comm
Audits of tax returns (1of2) 1997 statistics of returns audited Individual returns: 0.99% C corporations: 2.09% Individuals w/>$100K income: 1.66% Corps w/ assets >$250M: 38.6% Returns selected for audit by discriminant function other means
5 Audits of Tax Returns (1 of 2) 1997 statistics of returns audited – Individual returns: 0.99% –C corporations: 2.09% – Individuals w/ > $100K income: 1.66% –Corps w/ assets > $250M: 38.6% Returns selected for audit by discriminant function & other means