Table 16.  Delinquent Collection Activities, Fiscal Years 2005-2008

[Money amounts are in thousands of dollars.]

Activity

2005

2006

2007

2008

(1)

(2)

(3)

(4)

Returns filed with additional tax due:

Total amount collected [1]

[r] 27,615,348   

[r] 29,172,915   

[r] 31,952,399   

28,465,648   

Taxpayer delinquent accounts (thousands):

Number in beginning inventory

5,981   

6,478   

7,074   

8,240   

Number of new accounts

5,870   

6,100   

7,146   

7,099   

Number of accounts closed

5,373   

5,504   

5,980   

6,107   

Ending inventory:

Number

6,478   

7,074   

8,240   

9,232   

Balance of assessed tax, penalties, and interest [2]

57,594,901   

69,555,590   

83,488,988   

94,357,717   

Returns not filed timely:

Delinquent return activity:

22,765,462   

23,305,535   

30,287,802   

24,888,918   

Amount collected with delinquent returns

3,584,255   

3,905,764   

3,968,163   

3,773,528   

Taxpayer delinquency investigations (thousands) [4]:

Number in beginning inventory

3,022   

3,658   

3,874   

3,732   

Number of new investigations

2,558   

2,373   

2,587   

1,972   

Number of investigations closed

1,922   

2,157   

2,729   

2,271   

Number in ending inventory

3,658   

3,874   

3,732   

3,433   

Offers in compromise (thousands) [5]:

Number of offers received

74   

59   

46   

44   

Number of offers accepted

15   

12   

11   

Amount of offers accepted

325,640   

283,746   

228,975   

200,103   

Enforcement activity:

Number of notices of Federal tax liens filed

522,887   

629,813   

683,659   

768,168   

Number of notices of levy served on third parties

2,743,577   

3,742,276   

3,757,190   

2,631,038   

Number of seizures

512   

590   

676   

610   

[r]—Revised. 

[1]  Includes previously unpaid taxes on returns filed plus assessed and accrued penalties and interest.  For Fiscal Year 2008, includes a total of $37,254,116 (dollars) collected by private debt collection agencies.

[2]  Includes assessed penalties and interest but excludes any accrued penalties and interest.  Assessed penalties and interest—usually determined simultaneously with the unpaid balance of tax—are computed on the unpaid balance of tax from the due date of the return to the date of assessment.  Penalties and interest continue to accrue (accrued penalties and interest) after the date of assessment until the taxpayer’s balance is paid in full.

[3]  Net assessment of tax, penalty, and interest amounts (less prepaid credits, withholding, and estimated tax payments) on delinquent tax returns secured by Collection activity.

[4]  A delinquency investigation is opened when a taxpayer does not respond to an IRS notice of a delinquent return.

[5]  An offer in compromise (OIC) is a binding agreement between a taxpayer and the IRS that settles the taxpayer’s tax liabilities for less than the full amount owed.  An OIC will not be accepted if the IRS believes the liability can be paid in full as a lump sum or through a payment agreement.

NOTES:  Detail may not add to totals because of rounding.  All amounts are in current dollars.

SOURCE:  Small Business/Self-Employed, Collection Planning and Analysis, Collection National Reports  SE:S:C:PA:CNR