As stated in the U.S. Department of the Treasury website, ” The IRS sends around 170 million notices to individual taxpayers every year to help them claim the credits and deductions they are eligible for and meet their tax obligations. ”
In IRS communication IR-2024-155, the IRS reached the milestone of receiving 1 million documents since the system was launched in 2021. Per IRS information, approximately, 265,000 taxpayers have used this system in 2024 so far and they expect… around 84,000 average monthly users for 2024.
Also, the IRS receives a large amount of paper tax returns and other paper correspondence (… The IRS receives about 76 million paper tax returns and forms, as well as 125 million pieces of correspondence, notice responses and non-tax forms each year. ) so any tools to expedite the resolution of outstanding balances, cases and other procedures is always a step on the right direction, even if so far these digital tools are less that 1% of the other correspondence (265,000 2024 first half x 2 as semiannual / 125 million pieces of correspondence).
As part of the Simple Notice Initiative, the IRS should prioritize this replying option in the notice as currently the vast majority of notices indicate to either a) call the IRS agent signing the letter, b) reply by mail or c) reply by fax with your response and support documentation. This Upload tool is still not known to many taxpayers and/or tax professionals.
Link U.S. Department of the Treasury – FACT SHEET: IRS Launches Simple Notice Initiative
Link IR-2024-155 – Document Upload Tool reaches key milestone; 1 million submissions receivedc
