IRS adding 3,500 phone reps to answer stimulus payment calls

The Internal Revenue Service is bringing in more help to deal with the flood of calls about economic impact payments.

The Internal Revenue Service is bringing in 3,500 telephone operators to deal with the flood of calls about economic impact payments from taxpayers waiting for their money from the IRS.

The $2 trillion CARES Act that Congress passed in March included provisions to give individual taxpayers $1,200 each, $2,400 for couples, plus an extra $500 for each of their dependent children to help them get through the economic fallout from the novel coronavirus pandemic. While 140 million of the 150 million payments have been sent oiut, according to figures from the IRS on Monday, numerous problems quickly emerged.

CORONAVIRUS IMPACT: ADDITIONAL COVERAGE
Rajeev Khanna

Rajeev Khanna is the chief information officer at Trucordia. He is a seasoned executive leader with over three decades of experience in insurance and other industries, directing global technological operations, product development, and infrastructure management. He balances strategic thinking with innovation and hands-on execution, leveraging his deep understanding of how technology can unlock value in the insurance industry. His expertise spans e-commerce, banking, technology, and professional services. With a passion for building effective and sustainable teams, Khanna has fostered collaborative environments while managing globally dispersed operations through his leadership and top talent mentorship.   

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Mark Rems is a principal and national leader of the KPMG Indirect Tax Technology practice. Based in Philadelphia, he has roughly 25 years of tax and technology experience helping clients improve their indirect tax function. He has led large global tax engine implementation projects for a variety of ERP systems including SAP, Oracle, and MS Dynamics. He also has extensive experience in programming and application development which includes developing custom integrations and standalone programs to assist clients with their indirect tax calculation and reporting processes. He has deep sales and use tax compliance experience and has helped clients centralize and automate their monthly compliance function. He has direct experience working in a number of niche tax technical areas such as motor fuels, excise taxes, telecom taxes and lease taxes.

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Amit Ringshia is a principal in KPMG's New York Ignition office. He focuses on the design and delivery of technology solutions and has more than 16 years of experience delivering tax technology driven transformations. He is focused on innovating solutions in areas of tax data management, tax process automation and integration, tax analytics, digital labor and tax department collaboration. He is responsible for assisting in technical aspects of projects including solution design, development, infrastructure, governance models, management and migration. He has architected solutions that integrate multiple tax technologies with company technologies to optimize efficiencies for an effective tax function. He leads teams with experience in software development and tax domain. He supports engagements by leveraging his technology and tax experience with project execution and delivery expertise. He has assisted engagement teams and their clients to enhance the utilization of technology in data collection, processing, analysis and reporting. In addition, he has delivered tax technology solutions that span the breath of tax department functions such as planning, compliance, transfer pricing, audits and provisioning for both direct and indirect tax functions. He is an active member of various tax and technology groups in New York City and is a regular speaker at various tax and technology conferences. He also organizes innovative technology sessions and trainings for tax professionals.

The IRS relied on direct deposit information from taxpayers’ 2018 and 2019 tax returns, when it was available. But many bank accounts were temporary ones set up by tax prep chains for doing refund transfers, and there was no record of the taxpayer’s own bank account. Taxpayers were asked to enter their own direct deposit information online in such cases, and many are still awaiting their checks. The paper checks only recently started being sent out, and in some cases the IRS didn’t have the most up-to-date addresses for taxpayers. In some cases, payments were mistakenly sent to deceased taxpayers and people living abroad.

Much of the IRS workforce has been working remotely as a result of the COVID-19 pandemic, although some have been called back to work to deal with the voluminous unopened paper correspondence that has piled up in trailers outside the IRS offices. Now it is starting to bring back employees to answer the phones and answer questions from anxious taxpayers about the status of their payments, although presumably these employees could work remotely.

The IRS warned Monday that telephone assistance and other services will nevertheless remain limited. The agency expects to bring back additional telephone helpers as state and local advisories allow.

In any case, answers for most of the common questions related to the economic impact payments can be found online on IRS.gov. The IRS regularly posts new and updated responses to the most frequently asked questions about economic impact payments here and in the FAQ page for its Get My Payment tool. Taxpayers who want to know about the status of their economic impact payment can check the Get My Payment page regularly. The information is updated as the IRS continues to process the rest of the payments for delivery.

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Answers for most questions about the stimulus payments are also available on the automated message for people who call the phone number provided in the letter they receive about their economic impact payments, known as Notice 1444, a letter signed by President Trump informing them their payment has arrived (whether it has or not). Those who need more assistance at the end of the message will have the option of talking to a live representative.

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A woman walks out of the Internal Revenue Service (IRS) headquarters building in Washington, D.C., U.S., on Wednesday, Feb. 17, 2016. Taxpayers have until Monday, April 18 to file their 2015 tax returns and pay any tax owed. Photographer: Andrew Harrer/Bloomberg
Andrew Harrer/Bloomberg