FROM THE OFFICE OF PUBLIC AFFAIRS

In October 1997, the IRS initiated a series of reports designed to identify the scope of the problems regarding taxpayer rights violations at the IRS. The IRS released its first report in December 1997; today, the IRS is releasing its second report.

I am deeply troubled by this report's conclusion that the inappropriate use of enforcement statistics has put taxpayer rights in jeopardy in districts around the nation. This is an unacceptable situation that must and will change. Commissioner Charles Rossotti and I are committed to fundamentally changing the agency to one that respects taxpayer rights while collecting the revenue due.

The disturbing practices shown in these reports demonstrate the importance of recent steps taken by the IRS. These steps taken by Commissioner Rossotti include:

• stopping the use of revenue goals in field offices and ending its practice of ranking districts on those results;
• requiring higher supervisory levels of decision-making for all seizures;
• initiating monthly Problem Solving Days to make the IRS more accessible to taxpayers; and
• beginning to develop performance measures, including customer service and the protection of taxpayer rights, that will promote quality and appropriate case actions.

Today, Commissioner Rossotti has announced additional measures that make clear that such abuses will no longer be tolerated. These new steps include:

• establishing a panel, including officials from other agencies, to resolve employee disciplinary cases arising from the report;
• conducting regular reviews of each district's compliance with the Taxpayer Bill of Rights, to ensure that employees are not evaluated based on revenue goals;
• reviewing the need to examine activities in other IRS districts not covered by this report; and
• issuing a directive to all employees underscoring the importance and the absolute need to comply with the provisions of the Taxpayer Bill of Rights.

The actions we have announced are executive actions which take an important step in the right direction. In addition to our efforts, it is also critical that Congress pass H.R. 2676, which will help our efforts to strengthen taxpayer rights and improve customer service.