

See - IR-2005-77, Everson Praises Congress for Funding, Suspends Plan to Close TACs
IR-2005-63, May 27, 2005
WASHINGTON — The Internal Revenue Service announced today that it plans to close a portion of its Taxpayer Assistance Centers as part of the agency's continuing efforts to create efficiencies, modernize operations and reduce costs while maintaining its commitment to taxpayer service.
The IRS currently operates 400 Taxpayer Assistance Centers (TACs) that provide walk-in service for taxpayers. The agency will close 68 of those locations this fall following an extensive review. The decision was based on an objective model that weighed five criteria with multiple components, including workload considerations, geographic factors, demographics, employee costs and facility costs.
The closures reflect fundamental changes in how taxpayers file their taxes and access tax information. In recent years, the use of IRS.gov and e-filing increased rapidly, while face-to-face interactions with taxpayers declined. This year, the majority of tax returns were filed electronically, marking the first time in history that e-filing outpaced paper returns.
Adjusting the number of TAC sites will allow the IRS to focus on activities that provide the most efficient services. At the same time, taxpayers will still have access to a variety of IRS services, either by phone, through IRS.gov and from neighboring TAC offices and IRS volunteer tax assistance programs. As the IRS is modernizing how taxpayers receive service, the agency remains committed to improving service and meeting the needs of taxpayers.
“We’ve made significant improvements in service in recent years.  The walk-in sites are our most costly service vehicle, and we find taxpayers prefer to use our toll-free phone lines where their questions can be routed to subject matter experts,” said IRS Commissioner Mark W. Everson “Like most other federal agencies, we’re being asked to create efficiencies and be responsible with taxpayers’ dollars.  Using objective criteria, we’re creating these efficiencies where they’ll have the least impact on good service.”
In recent testimony assessing the IRS FY 2006 budget request, the Government Accountability Office stated: “In light of the current budget environment and IRS’s improvements in taxpayer service over the last several years, this is an opportune time to reconsider the menu of services it provides.” Further, in its testimony dated May 19, 2005, GAO credited IRS for identifying savings, including closing walk-in offices, noting that demand for walk-in services has continued to decrease. They also recognized that savings could be used to help maintain the quality of other services.
The IRS recognizes the cost benefits of alternates to walk-in offices for services as well.  For example, the IRS’s cost of preparing a tax return at a VITA site is $19, compared to the $46 it costs to prepare the same return at a TAC.  Downloading forms from the IRS website costs less than one dollar, while distributing a form at a TAC costs $9. Tax law questions can also be answered much less expensively ($11) – and with more accuracy and a higher customer satisfaction rate – through the toll-free lines than at a TAC ($22).
Face-to-face contact is the most expensive method of customer service, and the number of visitors to TACs has dropped as use of the IRS web site has dramatically increased. In Fiscal Year 2004, visitors to TACs were down 1.26 million from the prior year, and down nearly 2 million from Fiscal Year 2002.  At the same time, the number of visits to IRS.gov and the number of web page views climbed 128 percent and 155 percent, respectively, between fiscal 2002 and 2004.
The use of “Where’s My Refund,” an on-line service that provides refund status information formerly available only by calling the toll-free line or visiting a TAC, was up 1,316 percent from FY 2002 to FY 2004. Internet based services such as “Where’s My Refund” enable taxpayers to get answers without going to an IRS office.
The continued growth of e-filing also is a factor, with 66.5 million tax returns e-filed this year. There are fewer taxpayer errors with electronic filing, which means fewer calls and visits to the IRS following up on tax return issues.
Out of 2,300 employees who operate the TACs nationwide, fewer than 450 employees are located in the affected centers. As the agency’s budget allows, qualifying employees may be offered early out retirements and buyouts. Most employees should be entitled to priority placement for other jobs within the IRS and other Treasury bureaus.

Service


FY 2002


FY 2003


FY 2004


FY 02/04 % Change


Taxpayer Assistance Centers (TAC) Contacts


9,531,000


8,964,000


7,698,000


-19%


Toll-free Assistor Calls Answered


33,202,000


35,096,000


35,536,000


7%
 


Automated Calls Answered*


46,785,000
 


44,837,000
 


33,771,000
 


-28%*


On-line Where’s My Refund?


1,050,000


12,366,000


14,866,000


1,316%


IRS.gov Page Views


366 million 


685 million


934 million


155%


IRS.gov Visits


67 million


103 million


153 million


128%

*Decline partially a result of on-line “Where’s My Refund.” Following is the complete list of Taxpayer Assistance Centers that will close later this year:
STATE
CITY
ADDRESS
Arizona
Phoenix
2400 West Dunlap
Arizona
Bullhead City
3090 Highway 95
Arizona
Lake Havasu City
2610 Sweetwater Avenue
Arizona 
Yuma
2450 South 4th Avenue
California
San Marcos
1 Civic Center Drive
California
Bakersfield
5300 California Avenue
California
El Centro
2345 South 2nd Street
California
Santa Rosa
777 Sonoma Avenue
California
Santa Barbara
1332 Anacapa Street
California
Fresno
5104 North Blythe Street
California
Camarillo
751 Daily Drive
Colorado
Colorado Springs
2864 South Circle Drive
Connecticut
Hartford
135 High Street
Connecticut
New Haven
150 Court Street
Florida
Plantation
7850 SW 6th Court
Florida
Saint Petersburg
9450 Koger Boulevard
Florida 
Fort Myers
2891 Center Pointe Drive
Georgia
Atlanta
2888 Woodcock Blvd
Idaho
Idaho Falls
1820 E. 17th Street
Idaho
Pocatello
611 Wilson Avenue
Illinois
Downers Grove
2001 Butterfield Road
Indiana
Fort Wayne
1415 Directors Row
Maine
Augusta
68 Sewell Street / 40 West
Maine
South Portland
220 Maine Mall Road
Maryland
Salisbury
212 W. Main Street
Maryland
Annapolis
190 Admiral Cochrane Drive
Maryland
Wheaton
11510 Georgia Avenue
Maryland
Frederick
201 Thomas Johnson Drive
Massachusetts
Pittsfield
78 Center Street
Massachusetts
Fitchburg
881 Main Street
Massachusetts
Quincy
1250 Hancock Street
Massachusetts
Hyannis
247 Stevens Street
Minnesota
Minneapolis
250 Marquette Avenue
Missouri
Springfield
3333 South National
Montana
Bozeman
220 W. Lamme Street
Montana
Great Falls
AA 5th Street North # 11
Montana
Missoula
2681 Palmer Street
Nevada
Reno
200 South Virginia Street
New Hampshire
Keene
196 Main Street
New Hampshire
Portsmouth
80 Daniel Street
New Jersey
Edison
100 Dey Place
New Jersey
Parsippany
1719 C Route 10
New Jersey
Fairfield
165 Passaic Avenue
New Jersey
Paramus
1 Kalisa Way
New York
New York
290 Broadway -- Foley Square
New York
Bronx
1200 Waters Place
New York
Hauppauge
1180 Veterans Memorial Highway
New York
Kingston
153 Sawkill Road
New York
West Nyack
242 West Nyack Road
New York
Albany 
Clinton Avenue & North Pearl
New York
Brooklyn
625 Fulton Street
North Carolina
Greensboro
320 Federal Place
North Carolina
Wilmington
3904 Oleander Drive
Pennsylvania
York
2801 Eastern Boulevard
Pennsylvania
Washington
162 West Chestnut Street
South Carolina
Charleston
1 Poston Road
Texas
Austin
825 East Rundberg Lane
Texas
Dallas
1100 Commerce Street
Utah
Provo
173 East 1st 100 North
Vermont
Brattleboro
1222 Putney Street
Vermont
Rutland
Eastridge Building, Route 4
Virginia
Hampton
903 Gateway Boulevard
Virginia
Baileys Crossroad
5205 Leesburg Pike
Washington
Silverdale
9833 Poplars Avenue, NW, #105
Wisconsin
Eau Claire
2403 Folsom Street
Wisconsin
Madison
545 Zor Shrine Place
Wisconsin
Green Bay
1920 Libal Street
Wyoming
Sheridan
1949 Sugarland Drive
Related Items:

Taxpayer Assistance Center -- Criteria for SelectionPDF


Statement by Commissioner Mark W. EversonPDF

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