Why is the IRS assigning my account to a

Private Collection Agency (PCA)?

Congress has passed legislation authorizing the IRS to 

use private collection agencies to assist us in collecting 

overdue tax. The IRS has determined your account 

should be placed with a private collection agency for

collection of the balance due on your unpaid

tax liability.

What if I have already paid the balance due on 

this account? 

If you believe you received Letter 3998-C, We

Assigned Your Overdue Tax Account To A Private 

Collection Agency, by mistake, call the IRS number 

shown in that letter to contact the IRS customer service 

unit that works with private collection agency issues.

Can I call the private collection agency now?

Yes. You can find their telephone number in

the letter we sent you.

What will the private collection agency do?

The private collection agency assigned to

your account is working on our behalf. They

will contact you to resolve your account. They will 

explain the various payment options and help you 

choose one that is best for you.

What should I do now?

Gather together the correct tax year return

and supporting documents. The private collection

agency will contact you.

Who will receive my payments?

Send your payments directly to the IRS. The private 

collection agency will give you the appropriate IRS 

address to use when they contact you. Include the 

payment coupon provided by the private collection 

agency. Make your check or money order payable to 

the "United States Treasury." Write your name, Social 

Security number, and tax year on your payment.

Is there an organization outside the IRS that can 

provide tax assistance for free or a nominal fee?

Yes. Low Income Tax Clinics offer assistance

for free or for nominal fees. To determine if

you are eligible, or to locate a clinic near you, review 

Publication 4134, Low Income Taxpayer Clinic List.

Where do I go to find additional information 

regarding the IRS collection process and obtain 

forms or other publications?

You can get copies of IRS forms and publications by 

visiting our website at www.irs.gov or by calling 

1-800-829-3676.

Department of the Treasury

Internal Revenue Service

What You Can

Expect When the

IRS Assigns Your

Account to a

Private Collection

Agency

The IRS Mission

Provide America's taxpayers top quality service 

by helping them understand and meet their tax 

responsibilities and by applying the tax law with 

integrity and fairness to all.

FREQUENTLY ASKED QUESTIONS

Publication 4518 (8-2006)

Catalog Number 48087F
The IRS now contracts with private 

collection agencies to assist us in 

collecting on overdue tax accounts.

The American Jobs Creation Act signed by the 

President on October 22, 2004, allows the IRS to 

contract with private collection agencies to help 

collect federal tax debts. Other federal, state, and local 

government agencies already use private collection 

agencies to collect overdue accounts. The new law 

includes strong protection of taxpayer rights.

• Private collection agencies will be held to 

the same standards of service and taxpayer 

rights protection as the IRS requires of its own 

employees.

• Your privacy will be fully maintained.

Confidentiality requirements and restrictions 

required by law will be strictly enforced.

Private collection agencies under contract with us to 

collect overdue tax accounts are required to conform 

to the rules, regulations, and provisions of the Fair 

Debt Collections Practices Act. Specific provisions 

of this act prohibit private collection agencies from 

threatening or intimidating taxpayers. This law also 

provides for you to request your account be resolved 

by the original account holder (the IRS) rather than the 

assigned private collection agency.

If you do not wish to work with your assigned private 

collection agency to settle your overdue tax account, 

you must submit your request in writing to the private 

collection agency. 

Private collection agencies cannot take any type of 

enforcement action against you to collect this debt 

(such as filing a Federal Tax Lien or issuing a levy). 

However, the IRS does have the legal authority to 

take these type of enforcement actions to collect an 

overdue account.

You can get more information about your taxpayer 

rights and the IRS collection process from the 

following IRS publications:

Publication 1, Your Rights as a Taxpayer, explains 

your rights in detail including your right to 

representation. It also explains the examination, 

appeal, collection, and refund processes.

Publication 594, The IRS Collection Process,

explains the steps the IRS may take to collect overdue 

taxes.

Order IRS forms and publications at our

website: www.irs.gov or by calling

1-800-829-3676.

NEED ADDITIONAL HELP?

Contact the Taxpayer Advocate Service

1-877-ASK-TAS1 (1-877-275-8271)

or TTY/TTD 1-800-829-4059

or online at www.irs.gov/advocate

The Taxpayer Advocate Service is an independent

organization within the IRS whose employees assist 

taxpayers with unresolved tax problems who are 

experiencing economic harm, who believe that an IRS 

system or procedure is not working as it should, or who 

believe they were treated unfairly.

Their service is free, and tailored to meet your needs. In 

situations where IRS actions prevent you from providing 

for necessities such as housing, transportation or 

food; or if you own a business and are unable to meet 

basic expenses such as payroll, you may request the 

assistance of the Taxpayer Advocate Service. If you face 

a delay of more than 30 days to resolve a tax related 

problem, or are not receiving a response by the date 

promised, you may also request assistance from the 

Taxpayer Advocate Service.

You can call or write to your Local Taxpayer Advocate,

whose phone number and address are listed in your 

local telephone directory or you can contact the 

Taxpayer Advocate Service at 1-877-ASK-TAS1 (877-

275-8271). More information about the Taxpayer 

Advocate Service can be found in IRS Publication 1546, 

The Taxpayer Advocate Service - How to Get Help with 

Unresolved Tax Problems is available through the IRS 

web site at www.irs.gov/advocate.