Fiscal Year 2024 Statutory Review of Compliance With Legal Guidelines When Issuing Levies

The Director, Field Collection, SB/SE Division, should ensure that the taxpayers who were not given the opportunity for a CDP hearing are given their CDP rights, if appropriate; and obtain authorization to retain any improper levy proceeds or refund the proceeds to the taxpayer.

The Director, Field Collection, SB/SE Division, should ensure that the instances identified in this report that are associated with unauthorized representatives receiving CDP levy notices due to various revenue officer errors are discussed with the responsible employees and their managers so that they can protect taxpayer’s rights and prevent unauthorized disclosures. These employee’s managers should consider the failure to observe written regulations, orders, rules, or procedures that result in the violation of improper disclosure of tax return information when evaluating employees’ performance or for misconduct if such action on the part of the employee is intentional.

The Director, Collection Policy, SB/SE Division, should determine the cause of the technology error that allowed CDP levy notices to be sent to unauthorized representatives and consider if a programming change is needed to prevent this error from recurring.

The Director, Field Collection, SB/SE Division, should ensure that for the instances identified in this report that are associated with representatives not receiving CDP levy notices when they were authorized, a Letter 5427 is sent to the taxpayer notifying them that their representative is not receiving notices, if appropriate.