NJCPA Applauds Lawmakers for Signing Bipartisan Letters Calling for Taxpayer and Tax Preparer Relief from the IRS

Statement by Ralph Albert Thomas, CPA (DC), CGMA, CEO and Executive Director, New Jersey Society of Certified Public Accountants

ROSELAND, N.J. — The New Jersey Society of Certified Public Accountants (NJCPA) applauds the eight members of the New Jersey Congressional delegation who joined hundreds of their colleagues in signing bipartisan letters to the Treasury Department urging it to improve this year’s tax filing season process. The letters addressed to Treasury Secretary Yellen and IRS Commissioner Rettig ask the Treasury Department to provide immediate relief for taxpayers and tax practitioners by reducing the need to contact the IRS. The letters were written in response to the Treasury’s recent statement that the upcoming filing season would not be an improvement over last year.

NJCPA leaders and staff met virtually with most of the New Jersey delegation in November and stressed the need for Congress to pressure the IRS to adopt several recommendations to offer immediate filing relief. All the members of the delegation said they have been deluged with complaints from their constituents.

The launch of income tax filing season this week comes as taxpayers and preparers are already feeling frustration with the IRS over unprocessed prior-year returns and unanswered correspondence. The letters to Secretary Yellen and Commissioner Rettig requested that the IRS consider the following measures to bring immediate relief to taxpayers, and reduce the backlog, during this tax filing season:

• Halt automated collections from now until at least 90 days after April 18, 2022;
• Delay the collection process for filers until any active and pending penalty abatement requests have been processed;
• Streamline the reasonable-cause penalty abatement process for taxpayers impacted by the COVID-19 pandemic without the need for written correspondence;
• Provide targeted tax penalty relief for taxpayers who paid at least 70 percent of the tax due for the 2020 and 2021 tax years; and
• Expedite processing of amended returns and provide TAS and congressional caseworkers with timely responses.

The two letters, signed by 191 members of the House of Representatives and 25 Senators, promise that Congress “stands ready to support the IRS and looks forward to hearing how we can help you address any obstacles facing the agency.”

The following Congressional members from New Jersey signed the letters:

• Senator Robert Menendez
• Senator Cory Booker
• U.S. Representative Bill Pascrell, Jr.
• U.S. Representative Bonnie Watson Coleman
• U.S. Representative Josh Gottheimer
• U.S. Representative Christopher Smith
• U.S. Representative Mikie Sherrill
• U.S. Representative Frank Pallone, Jr.

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The New Jersey Society of Certified Public Accountants (NJCPA), with more than 13,000 members, represents the interests of the accounting profession and advances the financial well-being of the people of New Jersey. The NJCPA plays a leadership role in supporting the profession by providing members with educational resources, access to shared knowledge and a continuing effort to create and expand professional opportunities. Visit njcpa.org.