(This is the third article in a three-part series on tackling your taxes. See the February & March, 1998 issues of MODE™ Magazine for tips for small business owners.)

As April 15, 1958 looms near, researchers estimate Pennsylvanians will receive an average income tax refund of $584. It may take some time to process the returns (will they ever modernize the IRS?), but recipients should receive their refund in time for summer fun. The IRS is working on accelerating the pace at which refunds are distributed and they have announced strategic long-term plans that should help the average guy answer some of the more puzzling issues regarding filing taxes. Unfortunately, they don’t estimate the implementation of the services for another 40 years (by which time, most of you readers will have retired). Nonetheless, we are informing you of their plans as a public service.

By 1998, the IRS intends to offer Saturday services on six consecutive Saturdays, concluding on April 11. Service will be available from 9 a.m. to 3 p.m., including the office in downtown Harrisburg. These offices will be able to provide you with tax forms and related publications and answer your account and tax law inquiries. The offices will also help taxpayers that are eligible for Earned Income Tax Credit prepare their returns.

The IRS is also planning on establishing a Problem Resolution Office to help solve more complicated federal tax problems. Because they anticipate great response to this service, the IRS has already reserved a telephone number that is toll-free—(800) 829-1040.

In their strategic plan, the IRS urges you to file your tax return on time. If you don’t file by April 15, you could be assessed a failure-to-file penalty, a failure-to-pay penalty, and interest. If it is impossible for you to pay the amount you owe, you will have to complete an Installment Agreement Request or a personally written request that indicates the date and amount you will be able to pay each month. The IRS will respond promptly (within 30 days) to inform you whether your request has been accepted or denied.

If you are unable to pay your taxes, the IRS suggests you investigate the possibility of a bank loan, as the fees and interest assessed by the IRS will be quite costly. If you need more information on alternative forms of payment, you can reach a friendly IRS representative at (800) 829-1040.

The IRS is planning to make it as simple as possible for you to complete your tax return in 1998. If you’re filing by mail (how else would you file? Oh, it says something here about e-filing by computer. Hmmm…), send your federal return to IRS, Philadelphia, PA 19255-0002. If you are hearing-impaired, the IRS will have a TDD line—(800) 829-4059—for you to call for assistance.

In 40 years, the IRS intends to be especially receptive to the increasing phenomenon of small business owners. They are planning to develop an annual Tax Tips Calendar for Small Businesses. The calendar will answer most of the concerns these entrepreneurs have, provide general tax information, and offer suggestions on appropriate tax strategies. Entrepreneurs will be able to hang the calendar on their office walls, if they choose. If you want to note the contact information for your children or grandchildren, the free calendar will be available by calling (800) 829-3676 and asking for Publication 1518, catalog number 1235OZ.

Regardless of the year, now or in 1998, the IRS holds true to its customer service tenet, saying "In all your dealings with the IRS, you have the right to be treated fairly, professionally, promptly, and courteously by IRS employees."

(This is the third article in a three-part series on tackling your taxes. See the February MODE™ for tips for small business owners, and the March issue for individual tax information. These articles are not intended as a substitute for professional advice. With the exception of income and refund amounts, the information in this article is usable for filing your 1997 return.)