IRS Keeps Percentages Paid Private Collection Companies Secret

By Peter J Reilly, Forbes, Oct. 10, 2018

It would be interesting to know what the split is when a private collection company convinces a delinquent taxpayer to pay up. There is a belief common in some circles, that private businesses do everything better than government does.  Well, when it comes to collecting delinquent taxes, it seems like Congress wants to reinforce that belief. Back in the nineties, Congress made it illegal for the IRS to evaluate people whose job it is to collect delinquent taxes based on how much they collect.  More recently the IRS has been required by Congress to hire private collection companies to contact delinquent taxpayers.  The companies get a percentage of what they collect.  Scott Hodes wanted to know what percentages companies the companies get.  The IRS won't tell him.

Read more here.

Copy of court decision here.