Van Hollen Introduces Bill to End Costly, Risky IRS Private Tax Collection Program

Van Hollen Introduces Bill to End Costly, Risky IRS Private Tax Collection Program

Congressman Chris Van Hollen (D-MD) today introduced legislation approved by the House of Representatives in the last session of Congress that would revoke Internal Revenue Service (IRS) authority to hire private sector debt collectors was introduced late yesterday as opposition to the controversial program continues to grow.

The measure, H.R. 695, was introduced by Reps. Chris Van Hollen (D-Md.) and Steve Rothman (D-N.J.) and mirrors a bill Rep. Van Hollen introduced last year that was approved by the House.

The IRS launched the program in September using three debt collection companies and has plans to expand the program to as many as 10 private collection agencies as early as March.

Both Rep. Van Hollen—recently appointed to the powerful Ways and Means Committee—and Rep. Rothman—a key member of the Appropriations Committee—are outspoken opponents of the IRS plan.

In addition to the Van Hollen-Rothman bill, Senate legislation was introduced earlier this month by Sen. Byron Dorgan (D-N.D.) and Sen. Patty Murray (D-Wash.) that instructs the IRS to suspend "immediately and indefinitely" its use of private debt collectors—and contains a prohibition against using funds appropriated to the IRS in fiscal 2007, "or any subsequent year," to implement the program.

http://vanhollen.house.gov/HoR/MD08/Newsroom/Press+Release+by+Date/2007/01-25-07+Van+Hollen+Introduces+Bill+to+End+Costly+Risky+IRS+Private+Tax+Collection+Program.htm