Overview

The Taxpayer Bill of Rights (TBOR) gives taxpayers clear, enforceable guideposts for interacting with the IRS. It was published by the IRS in 2014 and organized into ten rights that address transparency, process, privacy, and remedies (IRS TBOR, 2014). Knowing these rights makes it easier to respond to notices, prepare for audits, negotiate collections, and pursue appeals without giving up control or being subject to unnecessary pressure.

In my practice advising individuals and small businesses, clients who understood the TBOR reached better outcomes more quickly. Awareness of specific rights—like the right to representation and the right to appeal—often changes the trajectory of disputes and reduces unnecessary stress.

Brief history and purpose

The TBOR was introduced to improve taxpayer trust, provide consistent standards for IRS personnel, and give taxpayers simple language about what protections are available. The public version and summary are available from the IRS (see: https://www.irs.gov/taxpayer-bill-of-rights and the PDF summary at https://www.irs.gov/pub/newsroom/taxpayer_bill_of_rights.pdf). Those materials remain the authoritative source for the ten rights and examples of how the IRS applies them.

The ten rights and what they mean in practice

  1. Right to Be Informed — You have a right to clear explanations of tax laws, deadlines, and IRS procedures. If a notice is unclear, request a written explanation and documentation that supports the IRS position (IRS TBOR).

  2. Right to Challenge the IRS’s Position and Be Heard — You may contest IRS findings and present your case at an administrative level before the IRS and, if necessary, in an independent forum such as the U.S. Tax Court or federal courts.

  3. Right to Privacy — Your tax information is generally confidential and protected by law. The IRS must follow rules before sharing your data and should limit access to authorized purposes (Internal Revenue Code sections and IRS privacy policies).

  4. Right to Finality — You deserve a clear timeframe for when the IRS believes a tax issue is resolved. Statutes of limitations and administrative timelines protect taxpayers from indefinite claims.

  5. Right to a Fair and Just Tax System — The IRS must apply tax laws uniformly and provide fair procedures when assessing or collecting taxes.

  6. Right to Appeal an IRS Decision in an Independent Forum — If you disagree with an IRS determination, you can appeal within the IRS and, if unresolved, pursue litigation in independent courts.

  7. Right to Challenge the IRS’s Position and Be Heard — (Often combined with Right #2 in practical guidance) You can submit additional facts and arguments for review by appeals agents.

  8. Right to Retain Representation — A taxpayer can appoint an attorney, CPA, or enrolled agent to represent them in all IRS interactions. Representatives receive written authorization (Form 2848) to act on your behalf.

  9. Right to a Refund — If you overpaid taxes, you are entitled to seek a refund within the law’s prescribed time limits.

  10. Right to Be Free From Illegal Collection Actions — The IRS must follow collection due process rules and cannot harass or use abusive tactics. Collection Due Process (CDP) rights allow you to request a hearing and propose alternatives such as installment agreements or an Offer in Compromise (OIC).

NOTE: The TBOR text and supporting examples are available on the IRS site: https://www.irs.gov/taxpayer-bill-of-rights. For practical steps on collections options, see the IRS pages on CDP and Offer in Compromise: https://www.irs.gov/credits-deductions/collection-due-process and https://www.irs.gov/individuals/offer-in-compromise.

Practical applications: using the TBOR step by step

When you receive an IRS notice or face collection or audit activity, apply the TBOR with these concrete steps:

  1. Read the notice carefully and identify the action requested and the deadline. Many problems arise from missed response dates.

  2. Identify which TBOR rights apply. For example, if the IRS proposes an assessment, the Right to Be Informed and the Right to Appeal will be relevant. If you’re receiving repeated collection calls, the Right to Be Free From Illegal Collection Actions applies.

  3. Document everything. Save notices, letters, dates and times of phone calls, the agents’ names and badge numbers, and any evidence that supports your position. Good records are essential in audits and appeals.

  4. Exercise the Right to Retain Representation. If the matter is complex or the dollar amounts are large, hire a qualified representative (attorney, CPA, or enrolled agent). Representatives use Form 2848 to obtain authority to negotiate and communicate with the IRS.

  5. Use administrative appeal routes before litigation. Contact IRS Appeals early. Administrative appeals are often faster, less costly, and leave the door open to court review if needed (IRS Appeals: https://www.irs.gov/appeals).

  6. If collections are underway, consider available remedies: Request a Collection Due Process hearing, apply for an installment agreement, or file an Offer in Compromise when eligible.

  7. Contact the Taxpayer Advocate Service (TAS) if your case involves economic hardship or systemic IRS delays. TAS is an independent organization within the IRS that helps resolve taxpayer problems (https://www.taxpayeradvocate.irs.gov/).

Real-world examples and scenarios

  • Audit scenario: A client received a correspondence audit requesting substantiation of business expenses. Invoking the Right to Be Informed, we requested a detailed explanation of the adjustments and a point-of-contact. With organized documentation and an appeal letter emphasizing ordinary and necessary business expenses, the adjustment was reduced and ultimately resolved in the taxpayer’s favor. For broader audit preparation guidance, see our article on how audits work: Understanding the IRS Audit Process: What Triggers an Audit and How to Prepare.

  • Collection scenario: A small business faced a tax lien. Using the TBOR’s protections and Collection Due Process, we requested a CDP hearing, negotiated an installment agreement, and later submitted a financial hardship request that temporarily suspended enforced collection. The business avoided bankruptcy and stabilized cash flow.

  • Correspondence audit: When a taxpayer receives a letters-only audit, proactive documentation and a timely response that references applicable TBOR rights can prevent escalation to a field audit. See our checklist for preparing correspondence audit responses: Preparing for a Correspondence Audit: Document Checklist and Sample Response Letter.

Additionally, our guide Using the Taxpayer Bill of Rights During Collection and Audit Issues explores practical scripts and letter templates you can adapt for appeals and CDP hearings.

Common mistakes and how to avoid them

  • Ignoring notices or missing deadlines: The IRS sets strict deadlines for appeals and replies. Missing them can forfeit administrative rights.

  • Failing to document communications: Without documentation, it’s harder to show error or harassment.

  • Assuming the IRS is always correct: The burden often shifts during appeals; gather evidence to support your position and present it clearly.

  • Not using representation when appropriate: Professionals know procedural rules and can often resolve matters without escalating to litigation.

When to escalate to the Taxpayer Advocate Service or court

Use TAS if you experience a systemic delay, clear hardship, or if normal IRS channels won’t resolve an urgent problem. TAS will evaluate whether your case meets their criteria and help you pursue a fair outcome (TAS: https://www.taxpayeradvocate.irs.gov/).

If administrative appeals fail, options include filing a petition in U.S. Tax Court (before paying most types of tax), or pursuing a refund suit in U.S. District Court or the Court of Federal Claims after paying the tax and filing for refund. Consult a tax attorney to choose the right forum for your case.

Practical checklist for taxpayers (quick reference)

  • Immediately record dates and contents of any IRS communication.
  • Confirm the exact deadline for response and appeals.
  • Ask for a written explanation if a notice is unclear (Right to Be Informed).
  • Submit documentation supporting your position; request an appeal where appropriate.
  • Consider Form 2848 to appoint a representative.
  • If collections begin, evaluate CDP rights, installment agreements, and OIC eligibility.
  • If severe financial hardship or administrative breakdown occurs, contact the Taxpayer Advocate Service.

FAQs (brief)

  • How long do I have to appeal an IRS decision? Time limits vary by action and procedure. For many IRS collection notices, you have 30 days to request a Collection Due Process hearing; for other assessments, appeal periods can be 30 or 60 days depending on the notice. Check the specific notice and IRS guidance.

  • Can the TBOR be used in state tax disputes? The TBOR applies to federal tax administration. State tax agencies may have their own taxpayer rights statements; consult your state tax agency for parallels.

Sources and further reading

Professional note and disclaimer

In my practice as a certified financial planner and tax advisor, I regularly reference the TBOR when preparing audit responses and negotiating collections. The steps outlined here reflect best practices but are educational in nature. This article does not substitute for personalized legal or tax advice. For case-specific guidance, consult a qualified tax attorney, CPA, or enrolled agent.