IRS Private Debt Collection Program Restores Revenues to Treasury

IRS report to Senate Finance Committee shows the program continues return on investment.

3/20/2019 8:00 AM

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IRS Private Debt Collection Program Restores Revenues to Treasury

The Internal Revenue Service (IRS) provided data to the Senate Finance Committee showing that the Private Debt Collection (PDC) program, a public/private partnership that works to bolster the U.S. Treasury, strengthen the effectiveness of the IRS and ensure fairness in the federal tax system, continues to demonstrate that it can more than pay for itself with revenues returned to the Treasury, according to a news release from the Senate Finance Committee.

For fiscal year 2018, the PDC program brought in $51 million in revenue after costs. In less than the first three months of fiscal year 2019, the program generated $30 million in revenue after costs, according to the news release.

“This program is helping make the system fairer to those who follow the law and fulfill their civic responsibility,” said Committee Chairman U.S. Rep. Chuck Grassley, R-Iowa, in the news release. “The IRS private debt collection program continues to prove its value. The most recent data again shows that revenue returned to the U.S. Treasury exceeds all associated program costs. That’s something we don’t often see here in Washington. The pace of collections is also accelerating, showing the full potential of the program has yet to be achieved.”

The program’s total revenue, taking start-up costs into account, is $53 million, and the total amount provided to the IRS is more than $23.6 million. Those funds are now beginning to be used to hire and train additional IRS compliance personnel who will be available to help increase the agency’s efficiency and responsiveness to American taxpayers, according to the Senate Finance Committee.

Grassley was instrumental in creating the IRS’ bipartisan PDC Program as chairman of the Senate Finance Committee in 2004 as well as its reinstatement in 2015 after the IRS terminated it in 2009 following a flawed review of the program.

If you are interested in sharing articles and analysis on legal cases, industry laws and regulations or other relevant topics for possible publication with ACA International, email our Communications Department at comm@acainternational.org.


Follow ACA International on Twitter @ACAIntl and @acacollector, Facebook and request to join our LinkedIn group for news and event updates. ACA International members are welcome to submit news items for possible publication to comm@acainternational.org. Visit our publications page for news submission guidelines and subscriptions to ACA Daily, Collector magazine and Pulse.

Advertising is available for companies wishing to promote their products or services. Be sure to visit the ACA Events Calendar on the Education and Training page to view our listing of upcoming CORE Curriculum and Hot Topic seminars featuring critical educational opportunities for your company.


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IRS Private Debt Collection Program Restores Revenues to Treasury

The Internal Revenue Service (IRS) provided data to the Senate Finance Committee showing that the Private Debt Collection (PDC) program, a public/private partnership that works to bolster the U.S. Treasury, strengthen the effectiveness of the IRS and ensure fairness in the federal tax system, continues to demonstrate that it can more than pay for itself with revenues returned to the Treasury, according to a news release from the Senate Finance Committee.

For fiscal year 2018, the PDC program brought in $51 million in revenue after costs. In less than the first three months of fiscal year 2019, the program generated $30 million in revenue after costs, according to the news release.

“This program is helping make the system fairer to those who follow the law and fulfill their civic responsibility,” said Committee Chairman U.S. Rep. Chuck Grassley, R-Iowa, in the news release. “The IRS private debt collection program continues to prove its value. The most recent data again shows that revenue returned to the U.S. Treasury exceeds all associated program costs. That’s something we don’t often see here in Washington. The pace of collections is also accelerating, showing the full potential of the program has yet to be achieved.”

The program’s total revenue, taking start-up costs into account, is $53 million, and the total amount provided to the IRS is more than $23.6 million. Those funds are now beginning to be used to hire and train additional IRS compliance personnel who will be available to help increase the agency’s efficiency and responsiveness to American taxpayers, according to the Senate Finance Committee.

Grassley was instrumental in creating the IRS’ bipartisan PDC Program as chairman of the Senate Finance Committee in 2004 as well as its reinstatement in 2015 after the IRS terminated it in 2009 following a flawed review of the program.

If you are interested in sharing articles and analysis on legal cases, industry laws and regulations or other relevant topics for possible publication with ACA International, email our Communications Department at comm@acainternational.org.


Follow ACA International on Twitter @ACAIntl and @acacollector, Facebook and request to join our LinkedIn group for news and event updates. ACA International members are welcome to submit news items for possible publication to comm@acainternational.org. Visit our publications page for news submission guidelines and subscriptions to ACA Daily, Collector magazine and Pulse.

Advertising is available for companies wishing to promote their products or services. Be sure to visit the ACA Events Calendar on the Education and Training page to view our listing of upcoming CORE Curriculum and Hot Topic seminars featuring critical educational opportunities for your company.


Subscribe to ACA Daily NEWSROOM

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