The agency said Monday awardees will focus on overdue inactive tax receivables under certain accounts the IRS no longer works on due to lack of resources and the accounts overdue status.
Each taxpayer will receive a written notice from the IRS that informs them about the transfer of their account to a private collection agency, which in turn must submit a separate letter to the taxpayer as a confirmation.
Private collection agencies will not ask for payment on a prepaid debit card. Taxpayers will be informed about electronic payment options for taxpayers on IRS.gov/Pay Your Tax Bill. Payment by check should be payable to the U.S. Treasury and sent directly to IRS, not the private collection agency, ” the IRS said.
Congress enacted a law in December to authorize the privatization of overdue tax debt collection efforts.