IRS Urged to Look at PTIN Service Processor Charges

Submitter Information

Submitter Name: Bruce Schmiedlin

• Docket ID: IRS-2020-0005

• Document Type: Public Submission

• Document Subtype: Public Comment

• Status: Posted

• Received Date: Apr 16, 2020

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Comment

The $14.95 the third-party fee is excessive, and the IRS should reject all bids received. With today's automation, and the great similarity to other processing sites, there is very little cost to the third-party contractor. It's a pure profit grab.

In fact, once the slight modifications are made to adapt existing software/sites to the PTIN purpose, the on-going costs will be trivial. How is it that Iowa Tax and Tags can process an online payment for $0.35, but the IRS cannot negotiate better than $15?

$12 million dollars ($15 x 800,000 users) annually is grossly excessive enrichment. The IRS is not negotiating with the PTIN holders' interests in mind.

I ask that the IRS rebid this service, making it clear that such gross enrichment will be rejected.