Direct Marketing Association, The v. Huber

Filing 50

RESPONSE to 15 MOTION for Preliminary Injunction with Incorporated Memorandum of Law filed by Defendant Roxy Huber. (Attachments: # 1 Exhibit 1, # 2 Exhibit 2, # 3 Exhibit 3, # 4 Exhibit 4, # 5 Exhibit 5, # 6 Exhibit 6, # 7 Exhibit 7, Part 1, # 8 Exhibit 7, Part 2, # 9 Exhibit 7, Part 3, # 10 Exhibit 7, Part 4, # 11 Exhibit 7, Part 5, # 12 Exhibit 7, Part 6, # 13 Exhibit 7, Part 7, # 14 Exhibit 8, # 15 Exhibit 9, # 16 Exhibit 10, # 17 Exhibit 11, # 18 Exhibit 12, # 19 Exhibit 13, # 20 Exhibit 14, # 21 Exhibit 15, # 22 Exhibit 16, # 23 Exhibit 17)(Scoville, Stephanie)

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Engage all 50 states
Engage all 50 states
through
through the State
Reverse File Match
Match
Reverse
Initiative (SRFMI) - a
Initiative
process
process that matches
extracts
IRS extracts received
through the
Governmental Liaison
Governmental
Data Exchange
Data Exchange
Program against state
master
master files to identify
individuals
individuals and
businesses who
businesses who filed
a state return but not
a state return
a federal return and
a federal
to identify differences
to identify
in federal and state
in federal
income reporting.
income reporting.

Determine tax
tax
administration
administration
benefits of utilizing
benefits of utilizing
state data warehouse
state data warehouse
concept.
concept.

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FY 2009*
FY 2OO9

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7/31/08
7/31/08
Pilot use
SRFMI
Pilot use of systemic SRFMI
data received from 14
data received from 14 states to
identify nonfilers and
underreporters
underreporters

6/30/09
6/30/09
Launch Phase 2 of pilot by
Launch Phase
pilot by
increasing state agency
state
participation by 50% to 21
taxing agencies

7/31/08
7/31/08
Complete project analysis test
Complete project analysis test
and issue report of findings
and issue report of findings

—

___

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FY 2009
:,:",
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Milestones

9/30109
9/30/09
Based on test outcomes, take
Based on
outcomes, take
steps to expand as appropriate
steps to expand as appropriate

Continue
Continue
expansion
expansion
of SFRMI
SFRMI
participation
to all
appropriate
state tax
agencies

A

4, 7

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3, 4, 7
3, 4, 7

__

I

__________
__________
_

D105

89
89
Exh.7

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Initiatives
1
.1
t.f"

Develop an
educational targeted
outreach DVD for
military personnel
preparing for
retirement.

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StrateQY
Component(s)t
t
Component(s)

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F¥2008
Milestones

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5, 7
5

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FY 2009
FY2009
Milestones

'~

12/31/08
Distribute and integrate DVD
into all military pre-retirement
seminars to reduce the
percentage of military retirees
entering the Federal
Employee/Retiree Delinquency
Initiative (FERDI) population

Beyond
9
OO
FY 2
FY2009*

3/31/09
Obtain FY 2008 FERDI data for
comparison to baseline data to
DVD’s
measure DVD's effectiveness
9/30/09
Conduct research to determine
the need for military disability
tax-related services

12/31/09
Continue distributing DVD in all
military pre-retirement seminars
to reduce the percentage of
military retirees entering the
FERDI population

Enhance outreach
efforts to industry
audiences about
available Audit
Technique Guides
and Tax Tips,
Tips.

7

6/30/08
Work with industry partners to
determine enhancements
needed to existing guides as
well as input on development of
new guides
Ongoing
Publicize Audit Technique
Guide availability to industries
national/local liaison
through nationaillocalliaison
activities

D106

90
Exh.7

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Establish links
Establish links to
IRS.gov on industry.
IRS.gov
industry,
practitioner.
practitioner,
educational. and
educational, and
governmental
governmental

(80 Id
(Bold

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=Pnmary)

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FY 2
.

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5/31/08

7
7

5/31/08
Promote Tax Centers
Pron:'0te Tax Centers
(dedicated web space) and
(?edlcated web spac~) and
links to state and national
links t? st~te and national
organizations
organizations

stakeholders
stakeholders
websites.
websites.

Develop and widely
distribute educational
distribute educational
fact sheets on areas
fact sheets on areas

7

9/30/08
9/30/08
Complete monthly
Complete monthly distribution
of 12 additional fact sheets
of 12 additional fact sheets

9/30/09
9/30/09
Complete monthly distribution
of 12 additional fact sheets

of high
of high
noncompliance.
noncompliance.

Develop a strategy to
Develop a strategy to
reach practitioners
reach practitioners
without affiliation to a
without affiliation to a
professional
profe~sio.nal
organization.
organization.

3/30/08
Develop grass-roots delivery
Develop
delivery
channel with national retail tax
channel with national retail tax
preparation firms
preparation firms

7
7

9/30/08
9/30/08
Expand outreach to colleges
Expand outreach to colleges
and universities to include
and universities to include
graduates entering tax
graduates entering tax
preparation careers
preparation careers

D107

91
91
Exh.7

Initiatives

Relqtad Treasury
Related -Treasury
,,'Strategy
Strategy

FY2008
FY 2008
Milestones

Component(s}t
Component(s)

FY 2009
Milestones

Beyond
FY 2009
FY2Q09*

(Bold =-Primary)
<136Itl""= ·Prlmary),
Ongoing
Ongoinci
Continue contacts with
traditional partners to maximize
leveraged opportunities that
provide education and outreach
directly to business owners

Leverage key
partners such as the
SBA and its SCORE
program and SBDCs
to deliver small
business workshops
to the new business
community.

12/31/08
12131/08
Incorporate information
regarding common filing errors
into current tax workshop
curriculum

10/01/07
Establish a baseline of current
leveraged small business tax
workshops

7
7
I

12/31/07
Partner with SCORE and
SBDCs to enhance quality and
consistency of leveraged Small
Business Tax Workshops
3/31/08
Partner with SBA to increase
outreach through the National
Women’s Business Council
Women's
3/31/08
Partner with SBA to promote
voluntary compliance and share
information customized
information for new business
owners

(cont’d)
D108

92
Exh.7

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Increase the number of Small
Business Tax Workshops

(cont’d)
(cont'd)

9/30/08
Incorporate key messages into
professional curriculum taught
via Tax Practitioner Institutes
across the country

9/30/09

Determine a baseline and
Det~rmine
expand the participation of
current Historically Black
Colleges and Universities
(HBCUs) in the VITA program
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Deliver educational
messages through
existing relationships
with universities and
colleges.

12/31/09
Increase the participation of
Beta Alpha Psi, a national
scholastic and professional
fraternity, in the VITA program
10%
by 10%

7

I

12/31/09
Determine baseline and expand
the Cooperative Extension
Services Network tax prep and
education
education programs in each of
HBCUs,
the four regions, HBCUs, tribal
colleges and universities
and universities
- - --_ .

- -

D109

93
93
Exh.7

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Develop audio
educational
educational
messages for toll-free
messages for toll-free
wait times.
wait times.

Customize outreach
Customize outreach
to specific industries
to specific industries
to encourage
to encourage
voluntary compliance.
voluntary compliance.

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1/31/08
Develop
and appropriate
Develop text and appropriate
placement of specific
of
educational messages. Submit
Systems Change Request

3/31/08
3/31108
Begin launch of industry
specific
communication/outreach to
small business/industry
stakeholders and state
licensing agencies based on
data driven analysis of key
issues

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Milestones
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FY2OO9

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1/31/09
1/31/09
Implement approved
Implement approved
educational messages
messages
9/30/09
Work collaboratively with
appropriate functions to create
educational messages

9/30/09
Conduct outreach in all states
to promote the use of the IRS'
IRS’
web-based Tax Centers
designed to provide education
and web resources for specific
industries and professions

9/30/08
Provide educational materials
Provide
materials
to new and existing business
to new and existing business
owners through partnerships
owners through
with small business/industry
with small business/industry
stakeholders and state
stakeholders and state
licensing agencies in all 50
licensing agencies in all 50
states
states

D110

94
94
Exh.7

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Convene Service-wide task
force to collect and review
stakeholder feedback
Request feedback
from internal and
external stakeholders
on existing outreach
and educational
programs to identify
best practices and
enhancements.

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Qeyond
FY 2009
FY2009*
.

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Implement recommendations

10/31/07

7

Share recommendations with
external stakeholders and
obtain additional feedback

12/31/07
Provide recommendations
based on feedback
Ongoing
Implement appropriate
recommendations

D111

95
Exh.7

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Develop strategies to
educate first-time
filers,
business filers.

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(Bold Primary)

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FY 2009
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3/31/08
Collaborate with small
business/industry partners to
develop an outreach campaign
to educate first time Schedule
C filers, including common
errors to avoid
12/31/08
Implement outreach strategy to
first-time business filers

Expand relationships
and collaboration with
foreign tax
administrations to
increase informal and
formal
communications on
international tax
administration
matters.

7

9/30/08
Complete OECD project
dealing with international
guidelines on attribution of
profits to permanent
establishments

9/30/09
Participate in OECD work on
monitoring Transfer Pricing
Guidelines

~

9/30/08
Participate in OECD monitoring
of Transfer Pricing Guidelines
including international business
including international
restructurings project
project

-- - -

Return to Table of Contents

D112

96
Exh.7

L
GLOSSARY
AARP American Association of Retired Persons
AARP - American Association of Retired Persons
-

AMS Account Management Services
AMS - Account Management Services
-

ASFR Automated Substitute for Return
ASFR - Automated Substitute for Return
-

AUR Automated Underreporter
AUR - Automated Underreporter
-

BSA Bank Secrecy Act
BSA - Bank Secrecy Act
-

BSM Business Systems Modernization
BSM - Business Systems Modernization
-

CADE Customer Account Data Engine
CADE - Customer Account Data Engine
-

CAP Compliance
Program
CAP - Compliance Assistance Program
-

CAWR Combined
Wage Reporting
CAWR - Combined Annual Wage Reporting
-

CI Criminal
CI - Criminal Investigation
-

Compliance
CMP - Compliance Monitoring Process
-

Response
CSIRC - Computer Security Incident Response Center
-

CSP - Common Services Projects
-

CTC - Child Tax Credit
-

EFTPS - Electronic Federal Tax Payment System
-

EITC - Earned Income Tax Credit
-

ERO - Electronic Return Originator
-

ETA - Electronic Tax Administration
-

FAQ - Frequently Asked Question
-

FHWA - Federal Highway Administration
-

FIN 48 - Financial Accounting Standards Board Interpretation No. 48
-

FUTA- Federal Unemployment Tax
FUTA
-

FY - Fiscal Year
-

IRC -Internal Revenue Code
IRC Internal Revenue
-

IRS -Internal Revenue Service
IRS Internal Revenue
-

I-CAS -Internet Customer Account Services
1-CAS Internet
-

IT -Information Technology
IT Information Technology
-

JITSIC - Joint International Tax Shelter Information Center
JITSIC Joint International Tax Shelter Information Center
-

JOC - Joint Operations Center
JOC Joint Operations Center
-

LEP - Limited English Proficiency
LEP Limited English Proficiency
-

LMSB - Large & Mid-Size Business Operating Division
LMSB Large & Mid-Size Business Operating Division
-

LSR - Leadership Succession Review
LSR Leadership Succession Review
-

97
97

D113
Exh.7

MeF Modernized e-File
MeF - Modernized e-File
-

NDNH
of New
NDNH - National Directory of New Hires
-

NMT
NMT - Net Misreporting Percentage
-

NRP - National Research Program
-

NTA
NTA - National Taxpayer Advocate
-

OECD - Organization for Economic Cooperation and Development
-

OPR - Office of Professional Responsibility
-

PCA - Private Collection Agency
-

PFAPEA- Pre-Filing Agreement
PDC - Private Debt Collection
-

PGP - Priority Guidance Plan
-

PTIN - Practitioner Taxpayer Identification Number
-

QETP - Questionable Employment Tax Practices
-

ROI - Return on Investment
-

SAR - State Audit Reports
-

SBA - Small Business Administration
-

SB/SE - Small Business/Self-Employed Operating Division
-

SBDC - Small Business Development Center
-

SCORE - Service Corps of Retired Executives
-

SRFMI- State Reverse File Match Initiative
SRFMI
-

TAB - Taxpayer Assistance Blueprint
-

T AC - Taxpayer Assistance Center
TAC
-

T AS - Taxpayer Advocate Service
TAS
-

TBR - Taxpayer Burden Reduction
-

TCE - Tax Counseling for the Elderly
TOE
-

TCMP - Taxpayer Compliance Measurement Program
-

TDI- Taxpayer Delinquency Investigation
TDI
-

TEGE - Tax Exempt & Government Entities Operating Division
-

TIEA - Tax Information Exchange Agreements
-

TIN - Taxpayer Identification Number
-

TREES - TEGE Electronic Examination System
-

TY - Tax Year
TY-Tax
VCR - Voluntary Compliance Rate
-

VITA - Volunteer Income Tax Assistance
-

Return to Table of Contents

W&I- Wage & Investment Operating Division
W&I
-

98
D114
Exh.7