"But the IRS Told Me..." Isn't Always the End of the Story

One of the statements I hear most often from clients is:

"But the IRS told me..."

I understand why people trust the answer they receive.

After all, it's the IRS. You would expect the information to be accurate.

However, a recent report from the Treasury Inspector General for Tax Administration (TIGTA) serves as an important reminder that even IRS representatives can make mistakes.

What the Report Found

Inspectors conducted 91 unannounced visits to IRS Taxpayer Assistance Centers across the country to evaluate the assistance taxpayers receive.

The results were eye-opening.

During the visits where tax law assistance was provided, 46% of the answers given were incorrect or incomplete.

In other visits, inspectors were denied entry, couldn't receive assistance, or arrived to find the office unexpectedly closed.

While the IRS works hard to serve taxpayers, this report reminds us that no single phone conversation should be treated as the final authority on a tax matter.

Why This Matters to Tax Professionals

As tax professionals, this isn't about criticizing the IRS.

It's about understanding our responsibility.

Many clients will tell us:

"The IRS told me..."

That information may be well-intentioned, but it should always be verified before relying on it.

Every taxpayer's situation is unique.

A single fact can completely change how the tax law applies.

That's why professional judgment matters.

Your Responsibility Goes Beyond Preparing Tax Returns

Your role isn't simply entering numbers into tax software.

Your responsibility is to:

• Research the applicable tax law.

• Analyze the taxpayer's specific facts and circumstances.

• Apply the law correctly.

• Provide recommendations supported by authoritative guidance.

When you're uncertain, verify your position using trusted resources such as:

• Internal Revenue Code

• Treasury Regulations

• IRS Publications and Instructions

• Revenue Rulings and Revenue Procedures

• IRS Notices

• Tax Court and other applicable court decisions

• Professional tax research platforms

Document Your Research

Research is only part of the process.

Proper documentation is just as important.

Maintain:

• Detailed client interview notes

• Supporting documentation

• Copies of research when appropriate

• An explanation of how you reached your conclusion

If your work is ever questioned, your documentation should tell the story—not your memory.

The Value of a True Tax Professional

This report is a valuable reminder that one phone call should never replace proper tax research.

Your clients aren't paying you simply because you know how to prepare a tax return.

They're trusting you to interpret the law, apply it correctly, document your decisions, and help them make informed financial decisions.

That's the value of being a true tax professional.

Warm regards,

Dr. Gwennetta Wright

Xpert Business Solutions