Two-Thirds Of Americans Oppose IRS Plan To Use Private Collection Agencies, New Poll Says

Press Release October 15, 2003

Washington, D.C.—Congress is on the verge of handing private taxpayer information over to debt collection agencies to collect taxes on commission even as a nationwide poll shows that two-thirds of Americans oppose the idea.

The poll conducted by Global Strategy Group, Inc. found that 66 percent of respondents disapprove of allowing the Internal Revenue Service (IRS) to hire private debt collection companies. When details of the IRS’s plan were provided, the number in opposition rose to 79 percent. The proposal, which would allow the IRS to contract with private debt collection agencies and to pay them up to 25 percent of the money they collect, is moving toward congressional approval as part of an international tax reform bill.

“The results of this poll strongly indicate that Americans across all political, geographic and income lines oppose this proposal,” said President Colleen M. Kelley of the National Treasury Employees Union (NTEU).

The tax collection proposal was recently approved by the Senate Finance Committee as part of an unrelated international tax bill (S. 1637). The House Ways and Means Committee is expected to take up its counterpart of the international tax legislation (H.R. 2896), which includes the same provision, within the next two weeks.

Tax Collection Poll Results—Add One

Two-thirds of the poll respondents who identified themselves as Democrats opposed the proposal, as did 64 percent of those identifying themselves as Republicans and three-

quarters of those who said they are political independents. Sixty-four percent of those who give President Bush a favorable rating oppose the idea.

The Global Strategy Group poll showed opposition to the proposal in every geographic area of the country—71 percent opposition in the west, 62 percent in the midwest, 72 percent in the south and 65 percent in the north.

What’s more, 84 percent of respondents expressed serious concerns about having their personal tax information turned over to private debt collectors; 81 percent expressed the same level of concern about having taxes collected on a commission basis; and 84 percent expressed concern that the private debt collection agencies didn’t have to be American companies.

The nationwide Global Strategy Group poll, which was conducted Oct. 10 to 13, is statistically valid with a margin of error of plus or minus four percent. For more information about the poll, contact NTEU at (202) 572-5500.

NTEU is the largest independent federal union, representing some 150,000 employees in 29 agencies and departments, including more than 97,000 in the IRS.

For more information, visit the NTEU web site at www.nteu.org

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