CRS Examines Contracting of Tax Debt Collection

The Congressional Research Service has issued a report on the controversy over whether private sector companies should be allowed to collect delinquent taxes—an issue that has stirred considerable controversy, and criticism from the National Treasury Employees Union. The report noted that because a 2004 law allowed the agency to contract-out part of that activity, “critics arguably lost the first round of the debate.” The report noted that several bills currently pending in Congress would repeal that authority. “Although the prospects in the current Congress for enactment of such a measure appear less than promising, the fundamental concerns underlying the two bills may lead Congress to pay close attention to critical aspects of the initiative as it unfolds and to re-examine periodically the question of whether it is promoting the public interest,” CRS said.