The United States Government has confirmed that the Internal Revenue Service (IRS) has the authority to make home visits to taxpayers who accumulate tax debts over long periods without resolving them.
IRS inspections are part of a forced collection process and take place when a taxpayer did not file the corresponding tax returns, ignored official notices, or failed to comply with payment agreements.
The IRS will make home visits to all of these people
In the following situations, the IRS may proceed with in-person visits by its agents:
- The debt has been unresolved for months or years
- The taxpayer does not respond to official communications
- Payment plans are not complied with
- There are signs of concealment of income or assets
- Direct verification of financial information is required
If the taxpayer does not take action after the visit, the IRS has the authority to seize bank accounts, wages, and property.
Are the visits automatic?
The usual process the IRS follows before making an in-person visit is as follows:
1. Letters and notices are sent by mail informing the taxpayer of the debt or the failure to file returns.
2. Final notices of intent to collect or seizure are issued.
3. The opportunity to pay, appeal, or negotiate is offered.
Finally, if the taxpayer does not respond for an extended period, the case may be assigned to a tax officer, who has the authority to carry out a home visit.
It is important to note that the IRS does not send agents to homes as a first step.