IRS adds to TAP and increases interest rates 2 U

By Dian Vujovich

On the better side, earlier this month 70 new people were selected to join the Taxpayer Advocacy Panel (TAP). The group now totals 102 volunteers from all over the country, including D.C. and Puerto Rico, and has been around since 2002. Its purpose is to provide Iris with a much need human touch: TAP volunteers keep the agency abreast of what they hear and learn from taxpayers within their districts about tax issues as well as pass on suggestions for ways to make this Uncle agency a better and more efficient one.

Volunteers serve for three years, agree to commit 300 to 500 hours per year, be current on their own tax obligations and able to pass an FBI criminal background check.

If you’ve some suggestions for Iris, contact TAP by calling 888-912-1227, or visit www.improveirs.org.

As for the bad, Iris is hungry: Beginning April 1, the interest rates on the money owed the IRS will increase by 1 percent.

According to last week’s press release:

“The Internal Revenue Service today announced that interest rates for the calendar quarter beginning April 1, 2011, will increase by one percentage point. The rates will be:

• four (4) percent for overpayments (three (3) percent in the case of a corporation);
• four (4) percent for underpayments;
• six (6) percent for large corporate underpayments; and
• one and one-half (1.5) percent for the portion of a corporate overpayment exceeding $10,000…”

Interest rates are set by the Internal Revenue Code and determined on a quarterly basis.
Of course there’s more to this, so contact your tax advisor for specific details.