Jun 13, 2012

Ain't No Sunshine When The IRS Is Gone

The IRS will close down forty-three of its offices around the country and will consolidate space in others. But this doesn't mean that the nation's tax collectors are on the verge of going out of business: It's all part of a cost-cutting initiative designed to save taxpayers a boatload of money.
The IRS estimates it will be save $40 million by slashing its total office space by more than one million square feet. These moves will take place over the next two years. Other than payroll, rent and related building costs are the IRS' largest operational expenses, running close to $800 million a year. 
The IRS hasn't issued the list of offices to be closed yet, but it notes that none of the offices are walk-in taxpayer assistance centers. Thus, it doesn't anticipate that the space-reduction measures will have much direct impact on taxpayers. But it remains to be seen how the changes will play out for tax practitioners.
IRS representatives in the offices being shut down will be reassigned to nearby facilities or allowed to telecommute. No IRS employees will be losing their jobs as a result of the space reduction.
Currently, the IRS is operating more than 650 offices around the country.

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