Neal, Lewis Urge IRS to Issue Timely impact Payments

July 1, 2020

The Honorable Charles P. Rettig
Commissioner
Internal Revenue Service
1111 Constitution Avenue, N.W.
Washington, D.C. 20224

Dear Commissioner Rettig,

We write today regarding problems that constituents are facing with their economic impact payments (EIPs). We respectfully request that the Internal Revenue Service (IRS) take prompt action to address these problems and ensure Americans receive their full EIPs in a timely manner.

Since the IRS began issuing EIPs, congressional offices have been inundated with inquiries from constituents. Despite the Department of the Treasury's announcement that payments have been sent “to all eligible Americans for whom the IRS has the necessary information to make a payment,” congressional offices are hearing from countless Americans who bring this claim into question.

Those who received a portion of their EIPs have a wide range of questions including why their payment amount is different than what they expected, why they were not paid for their dependents, and why their payments were offset incorrectly. These individuals are desperate to receive full payment as soon as possible, and, unfortunately, are coming to us with unique questions that only the IRS can answer.

Americans still awaiting their EIPs rightfully are frustrated that they have not received any of the emergency assistance they were promised. We are hearing from taxpayers who still await a payment date on the Get My Payment portal or who received a Notice 1444 but no payment. Most cannot get an explanation from the IRS as to why they have not received their EIPs or information on when they can expect payment.

Constituents and congressional offices alike have experienced much frustration with the IRS's existing platforms for handling EIP inquiries. For example, the IRS's designated mailbox for congressional offices is largely unresponsive, as it appears that there is not enough staff designated to answer the massive volume of inquiries.

Similarly, the IRS's EIP phone line has frustrated many callers who report that they are unable to speak with a live assistor. Those who can speak with an assistor are disappointed that assistors appear only to recite from public FAQs, are not authorized to access taxpayer-specific information, and sometimes provide incorrect answers. As a result, callers often cannot receive the resolution that they seek.

The Taxpayer Advocate Service (TAS) also is experiencing a large demand for assistance from taxpayers and congressional offices who feel like they have nowhere else to turn. However, as the National Taxpayer Advocate noted in her recent Objectives Report to Congress, “[u]nless the IRS develops procedures to resolve missing payments or underpayments, TAS cannot assist taxpayers with EIP problems.”

As the report explains, instead of establishing procedures to resolve EIP cases this year, the IRS simply is “advising taxpayers that they should claim unreceived payments on their 2020 income tax returns filed next year.” Understandably, for the many Americans facing financial distress as a result of the pandemic, this answer is unacceptable.

After having heard from TAS and so many concerned constituents, we urge the IRS to take all necessary steps to ensure that Americans will not have to wait until 2021 to receive their full EIP amounts. Such action should begin with establishing procedures for the IRS and TAS to resolve recurring issues (e.g., missing payments, missing dependents, incorrect offsets) and allow for immediate issuance of an EIP.

With a record number of Americans newly unemployed or facing financial insecurity, it would be irresponsible to further delay emergency assistance that Americans desperately need now. Finally, we reiterate a request from April 30, 2020 that the IRS reschedule its public briefing on EIPs. Americans deserve to hear directly from the IRS on this important topic.

We respectfully request a response by July 8, 2020, describing what steps the IRS will take to ensure all eligible Americans are paid in a timely manner. As always, thank you for your prompt attention to this matter.

Sincerely,

The Honorable Richard E. Neal, Chairman
Committee on Ways and Means

The Honorable John Lewis, Chairman
Subcommittee on Oversight