IRS to Resume Collection Notices Following Pandemic Pause (1)

December 19, 2023, 9:30 PM UTCUpdated: December 19, 2023, 10:45 PM UTC

The IRS is ending an almost two-year pause as it resumes automated collection notices for all tax years, and will offer penalty relief for many taxpayers, the agency said Tuesday.

About 4.7 million individuals, businesses, and tax-exempt organizations will be eligible for penalty relief for tax years 2020 and 2021. That means about $1 billion in savings to taxpayers, the IRS said.

The follow-up collection notices reminding taxpayers of outstanding tax bills were halted in 2022 as the Internal Revenue Service grappled with a backlog of paper returns and correspondence.

Following the pause, lawmakers and Taxpayer Advocate ...

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