Blog post

The big themes this year: faster digital tools, stronger identity protection, and a tougher stance on fraud — alongside practical ways to resolve balances and disputes. Here are the highlights, organized by the main sessions. You can view a copy of the 2025 IRS forum presentation here.

1) Smarter IRS Online Tools (Less Waiting, Clearer Next Steps)

• Tax Pro Account — real-time authorizations: We can request your Power of Attorney (Form 2848) or Tax Information Authorization (Form 8821) and you approve it online — no wet signatures, no mail. Authorizations typically post to the CAF within ~48 hours.About Tax Pro Account
• IRS Document Upload Tool: When you get an eligible IRS notice asking for documents, you can securely upload PDFs/JPGs/PNGs (up to 15MB each) and receive instant confirmation — no faxing or snail mail. Not for filing returns or general correspondence.IRS Document Upload Tool
• Interactive Tax Assistant (ITA): A 24/7 Q&A tool that walks through common tax topics (credits, deductions, filing requirements) in plain language.Interactive Tax Assistant
• Online Payment Agreement (OPA): Many individuals and businesses can set up or adjust payment plans online and get immediate confirmation.Apply for an Online Payment Agreement
• Offer in Compromise (OIC) Pre-Qualifier: A quick way to see if settling for less than the full balance might be an option (final approval still depends on a full IRS review).OIC Pre-Qualifier Tool
• Sign-in & security (ID.me): One secure login gets you into supported IRS tools (Tax Pro Account, Online Account, Get Transcript, etc.).About ID.me for IRS services

Why this matters: Faster approvals, instant upload confirmations, and self-service options help us cut response times and keep cases from escalating.

2) Security & Identity Protection (Simple Steps with Big Impact)

• Get an IP PIN: A 6-digit Identity Protection PIN helps prevent someone else from e-filing a return using your SSN/ITIN. It’s now broadly available (not just for past identity theft cases).Get an IP PIN
• New e-file safeguard for duplicate dependents: If two returns claim the same dependent, the second return can e-file by using an IP PIN. This avoids immediate e-file rejection while protecting against fraud.
• Have a written security plan (WISP): Tax pros are expected to maintain and follow a Written Information Security Plan and train staff. Free guides and checklists can help you set this up and respond correctly if there’s a breach.IRS: Security resources for tax pros  |
  FTC Data Breach Response Guide

Bottom line: If you’re a taxpayer, add an IP PIN. If you’re a business, make sure your security plan lives in daily practice — not just in a binder.

3) Fraud Trends from IRS Criminal Investigation (CI)

• Identity-theft & refund fraud: Organized groups file early with stolen SSNs and route multiple refunds to the same accounts or addresses. We watch for duplicate filings and suspicious patterns.
• Offshore schemes: Some promoters still hide income via offshore entities and unreported accounts (FBAR/FATCA violations). CI coordinates globally with the DOJ and foreign banks to investigate.
• Collusion & rings: Networks involving preparers and clients have pushed fraudulent credit claims (think pandemic-era credits) into the hundreds of millions.
• Protect authorizations: We mask CAF numbers on shared docs, monitor Tax Pro/CAF activity, use MFA, and review e-Services/EFIN dashboards regularly.

Takeaway: CI’s tools and coordination are getting stronger. We’re doubling down on due diligence and internal controls to keep clients protected.

4) Appeals & Alternative Dispute Resolution (ADR): Faster, Friendlier Paths to Resolution

• ADR is growing — and effective: Appeals reported a significant rise in ADR use and a high agreement rate in mediated issues.
• What it covers: Examination (non-docketed/docketed) and collection issues — including Fast Track Settlement, Post-Appeals Mediation, CDP/EH, CAP, OIC, and Trust Fund Recovery Penalty matters.
• How decisions are made: Appeals weighs the “hazards of litigation” (how courts might apply the law, facts, and evidence) to negotiate fair settlements.

Independent Office of Appeals — Overview

5) Paying & Resolving Balances (Don’t Wait — Act Early)

• Direct Pay & Electronic Funds Withdrawal: Easy ways to pay from your bank account; EFW can be scheduled while e-filing.
• EFTPS: Useful for businesses and practitioners (batch payments, history). Note: individual enrollment sunsets 9/30/2025; individuals can use Direct Pay instead.Electronic Federal Tax Payment System (EFTPS)
• Business Online Account: View balances, some digital notices/transcripts, and more.Business Online Account
• Withholding & estimates: Adjust during the year — especially after life or income changes — to prevent new balances due.Tax Withholding Estimator

6) Special Topics: Small Businesses & Nonprofits

• When records are thin: The IRS can reconstruct income using bank deposits, markup analysis, net-worth changes, and unit/volume methods. Preparers must ask follow-up questions, document answers, and apply due diligence — especially for refundable credits.
• For nonprofits: Form 990 series must be e-filed. Missing required filings for three consecutive years triggers automatic loss of exemption. (Keep those reminders on!)e-File requirements for exempt organizations

7) International: Forms 1042 & 1042-S and Partnership Withholding

• 1042/1042-S best practices: Use valid codes, keep all copies consistent, file amended forms promptly if errors are found, and review the annually updated instructions.About Form 1042-S  |
  About Form 1042
• Partnership withholding (IRC 1446(a)/(f)): Apply the correct withholding rates for foreign partners (corporate vs. non-corporate), and follow rules for considering character of income and tiered partnerships.Partnership withholding guidance (Form 8804/8805 instructions)