Duties & Limitation of an IRS Revenue Officer

A variety of professionals are usually employed by the IRS whose sole duty is to collect on delinquent taxes, penalties, and other monies owed to the government. IRS revenue officers play a vital role in the collection process. When you owe money to the IRS, it is necessary that you learn what a revenue officer is and what duties and limitations this individual has when collecting on your obligation.

Chief Revenue Officer

In some organizations, there exists a position known as Chief Revenue Officer (CRO), who is a person accountable for all revenue-generating functions of a business. They are also responsible for overseeing the plan for profitable revenue generation over the company’s long term. A CRO’s purpose is to align and optimize the whole customer experience with the objective of increasing revenue. The CRO mostly reports to the Chief Financial Officer (CFO).

Since the CRO is saddled with primary or shared responsibility for operations, sales, corporate development, marketing, pricing, and revenue management, functions that extend across multiple teams in most companies, a good CRO must uphold a perfect communication framework across the various organizational functions and share best practices among the revenue stream managers in order to maximize revenue production.

Duties of IRS Revenue Officer

A revenue officer (RO) is an individual who collects revenues, such as taxes and duties, for the government. The specific duties of a revenue officer are based on the agency that employs the individual. A revenue officer is generally employed by a government agency such as the Internal Revenue Service (IRS) in the United States, or the Canada Revenue Agency (CRA) in Canada.

Unfortunately, many scammers falsify to be IRS revenue officers and claim to have the ability to arrest the people they are trying to extort.

While an Internal Revenue Officer may seem intimidating at first, it is important to know what this individual’s job is when it comes to your tax problem. The following are the duties imposed on these officers by their employer, the Internal Revenue Service:

• Enlighten taxpayers about their tax responsibilities.
• Use analytical and investigative skills to enforce the tax laws.
• Secure the interests of the federal government and tax-paying public.
• Collect delinquent tax accounts and secure delinquent tax returns.
• Conduct research, interviews, and investigations for information. These interviews often take place at the taxpayer’s place of business or residence. Interviews can either be scheduled or unscheduled.
• Evaluate taxpayer financial statements in an attempt to determine the taxpayer’s ability to pay the tax bill.
• Obtain regular trainings in tax law, business law, investigative techniques, and enforcement procedures.
• Utilize different courses of action on a case-by-case basis.
• Consider other means of resolving tax debt issues if a taxpayer cannot pay their debt in full. Instances may include setting up payment agreements to allow the taxpayer to pay the bill over time, grant relief from penalties imposed when the tax bill is overdue, or suspend collection of accounts when a financial hardship has been demonstrated.
• Garnish bank accounts and wages.
• Seize real and personal property if needed to satisfy delinquent taxes.
• Provide guidance and service on various financial problems in order to assist a taxpayer with resolving their tax problems.
• Enlighten taxpayers on their rights under the law.
• Provide taxpayers with quality customer service, ensuring their safety and well being.

The IRS gives its revenue officers more than enough freedom when collecting money from taxpayers. These officers have authority to collect debts through means like:

• Sending out notices through the mail
• Making phone calls to delinquent taxpayers
• Visiting tax debtors at home or at work
• Issuing mandatory summons to appear at local IRS tax offices
• Issue levies against assets like your wages and bank accounts
• Seizing other applicable property at your home or business

A revenue officer is different from an IRS agent in that he or she does not conduct audits. IRS revenue officers handles your case only after you are audited and told that you owe more money or when you fail to pay your past due taxes on time.

IRS Revenue Officer Limitations

Regardless of having a wide range of authority to collect on people’s obligations to the IRS, these officers also are still limited in several key ways. If a revenue officer becomes involved in your case, you should know that this person cannot:

• Arrest you for not paying your taxes
• Order entry to your home or business by showing you a badge; the officer’s formal identification is a plastic card, not a badge.
• Set off first-time contact with you through any means other than an in-person meeting
• Threaten you with arrest or violence for unpaid taxes

You also should understand that most revenue officers do not move about with a gun and are typically respectful and courteous people, especially if you reciprocate that same kindness and courtesy. You can always contact the IRS or your local law enforcement agency if you believe that the revenue officer working your case is being intimidating or threatening to you.

What to Do if a Revenue Officer Contacts You

You have the right to advocate for and protect yourself if you are contacted by an IRS revenue officer. Your first step should involve retaining a qualified and professional tax attorney to act as your delegate and intermediary with the IRS and its officer.

Your attorney should also get in touch the IRS to find out if you have any missing returns or documents needed to lower or eliminate what you owe. If you have missing returns, your tax attorney should file them as soon as possible.

Before you or your attorney contacts the IRS, however, you should put some important paperwork to ensure that you can advocate in your case’s favor. You should gather at least three months’ worth of income verification like paycheck stubs and bank statements.

Your attorney also can aid you in filling out IRS Form 433-F. This form determines if your gross monthly income goes beyond your monthly allowable expenses. It also determines if you have sufficient liquid assets to sell off to settle what you owe. If you do have enough assets to liquidate, the revenue officer may prefer that you try to borrow against them first by taking out a bank loan.

Finally, you and your tax attorney should contact the IRS to determine the best outcome for your owed taxes, penalties, and other duties. Your attorney may be able to secure an Offer In Compromise or have the amount you owe set up on an installment agreement. If you cannot pay what you owe at the moment, you also could have your account put in Currently Not Collectible status.

The IRS utilizes revenue officers to collect what people owe to the government. You can remain proactive in your own tax case by being aware of what these revenue officers can and cannot do when they contact you about your owed taxes.