Tax Examiners, Collectors, and Revenue Agents determine tax liability of, or collect taxes from, individuals or business firms according to prescribed laws and regulations.

NATURE OF THE OCCUPATION

General duties of Tax Examiners may include:

Review information gathered from taxpayers, such as material assets, liabilities, income, surpluses, net worth, and reported financial status

Interview taxpayers or their representatives

Identify potential tax issues

Evaluate evidence of taxpayers' finances to determine if a tax liability exists

Prepare a written explanation of findings to notify taxpayers of any tax liability

Advise taxpayers of appeal rights

General duties of Collectors may include:

Investigate delinquent tax cases referred by agency investigators, using computer records

Trace the whereabouts of delinquent taxpayers through telephone contact or field work

Interview taxpayers and business representatives such as attorneys or accountants

Determine collectibility of accounts, and either arranging for partial payments, offers of compromises, or seizure and sale of property

Direct service of legal documents, such as subpoenas, warrants, notices of assessment, and garnishments

Recommend criminal prosecutions and civil penalties, when necessary

Counsel and advise taxpayers and businesses to prevent future delinquencies

Prepare reports of action taken

General duties of Revenue Agents may include:

Analyze accounting books to determine appropriateness of accounting methods used and compliance with statutory provisions

Investigate records of financial transactions, methods of operation, and industry practices to determine completeness of accounting books and tax returns

Issue determination letters on the correct tax liability, or on tax issues including the correct classification of employee plans, such as pension, profit-sharing, stock bonus, and bond purchase plans

Security taxpayer agreement or submitting contested cases for appeals hearings

Access taxpayer accounting systems via a lap-top computer, perform computations and audits on the computer, and print out information as needed

Some Revenue Agents hold informal hearings to resolve cases from other Agents or Examiners that resulted in taxpayer agreement. Revenue Agents may also serve as members of regional appeal hearings boards and be known as appellate conferees.

The tools, equipment and materials used may include:

OCCUPATIONAL SPECIALTIES

Tax Examiners, Collectors, and Revenue Agents may specialize in these areas:

160.167-038 TAX EXAMINERS review taxpayer accounts to ensure that they have been handled accurately by Collectors and auditors.

188.167-074 REVENUE OFFICERS, also called Collectors, investigate and collect delinquent federal taxes and secure delinquent tax returns.

160.167-050 REVENUE AGENTS are professional accountants who conduct field audits of the most complicated, upper-income individual and corporate tax returns to resolve a variety of tax law, accounting, or investigative problems.

In addition to learning about these specialties, you may also find it helpful to explore the following MOIScripts:

WORKING CONDITIONS AND REQUIREMENTS

Tax Examiners, Collectors and Revenue Agents usually work independently under the supervision of a senior worker. They may conduct joint investigations with other agents and investigators.

This work usually requires daily contact with taxpayers, tax attorneys, certified public accountants, and others. They spend the majority of their time indoors in offices which are comfortable, well lighted, and well ventilated. Revenue Agents and Collectors spend substantial time in the field, traveling to taxpayers' homes and businesses. Agents and Collectors employed in large metropolitan areas will rarely find it necessary to make trips out of the area. Agents and Collectors assigned to more sparsely populated locations might have to travel out-of-town frequently.

Working hours are generally 40 hours, 5 days a week. Occasionally, the work may require the taxpayers to be contacted outside of normal working hours.

Tax Collectors, Examiners, and Revenue Agents who have Certified Public Accountant (CPA) certificates may join the American Institute of Certified Public Accountants and must pay periodic dues.

You Should Prefer:

• Activities which require business contact with people

• Activities which require thought and analysis

• Activities which require special processes or methods

You Should Be Able To:

• Plan, direct, and control an entire activity

• Use reason and think logically

• See detail/errors in numbers/spelling in written/numerical data

• Use mathematics quickly and accurately

• Communicate well, both orally and in writing

• Rate information by using personal judgment and measurable standards

Math Problem You Should Be Able to Solve:

If a person owes $200 to the Federal government, receives $50 from the State government and $20 from the Local government, what is his or her net loss or gain?

Reading Example You Should Be Able to Read and Comprehend:

Income taxes are the second most important source of state revenue. Individuals in most states are required to pay a percentage of their income to the state in taxes.

Writing Example You Should Be Able to Produce:

You should be able to write a report explaining to a tax payer what their liabilities are.

Thinking Skill You Should Be Able to Demonstrate:

You should be able to look at someone's tax records and then decide if they have any liabilities.

Although not required for employment, some employers encourage and assist employees to obtain Certified Public Accountant (CPA) certificates. The Internal Revenue Service, for example, provides tuition payments for CPA review classes and grants administrative leave on the days the CPA exam is given. (See MOIScript #29 Accountant and Auditor for CPA requirements). Applicants for Federal Revenue Agents positions must pass an Administrative Careers With America (ACWA) exam and have a bachelor of science degree, 4 years collection experience or combination of both education and experience.

EDUCATION AND PREPARATION OPPORTUNITIES

NOTE: A High School Diploma with specific Vocational Education Classes or a Bachelor's Degree (Four years of study beyond High School) or a Master's Degree (five to six years of study beyond High School) or a Professional Degree or Doctorate (seven to ten years of study beyond High School) may qualify a person for this occupation.

The following education and preparation opportunities are helpful in preparing for occupations in the MOIScript:

***SCHOOL SUBJECTS***

0600 BUSINESS , 0700 CAREERS , 0900 COMMUNICATIONS , 1000 COMPUTERS , 1100 ECONOMICS , 2200 MATH , 3300 TECHNOLOGY

***VOCATIONAL EDUCATION PROGRAMS***

005 ACCOUNTING & COMPUTING

Approved programs in Accounting and Computing prepare students to compute, calculate, and record numbers to keep financial records. Instruction includes using billing machines, bookkeeping machines, and computers to prepare bills and reports, obtain records, and find information.

Courses in other office & distributive education programs may be required for completion of this program.

High school students should consult their guidance office for more information about the specific requirements of this program at their school or area vocational education center.

***POSTSECONDARY PROGRAMS***

001 ACCOUNTING

Programs in Accounting provide opportunities to gain the knowledge and skills needed for preparation emphasizing the development of basic conceptual accounting as a foundation for career development, and employment preparing and interpreting business data. Professional careers in Accounting are found in three general areas: Managerial Accounting (Controllership), Certified Public Accounting, and Governmental Accounting. Individuals who teach Accounting at the secondary school level must have a Michigan Teaching Certificate.

Courses will vary from school to school but may include:

Search for a College and/or Instructional Program

***APPRENTICESHIP OPPORTUNITIES***  

There are no Apprenticeships related to this MOIScript

***MILITARY TRAINING PROGRAMS***

There are no Military Programs related to this MOIScript

E-Learning Courses and Programs

OPPORTUNITIES FOR EXPERIENCE AND METHODS OF ENTRY

It is possible to explore or gain experience in this field by working in summer or part-time jobs as a bookkeeper, accounting clerk, or junior accountant. Paid and volunteer experience can also be gained by working as an income tax preparer or in a paraprofessional position such as a taxpayer service specialist. Secondary vocational education programs in accounting and computing and postsecondary accounting programs provide experience also.

                School-to-Work opportunities include:

informal apprenticeships

mentorships

job shadowing experiences

touring a local Tax Examiner, Collector, and Revenue Agent employer

internships

volunteer work with a Tax Examiner, Collector, and Revenue Agent employer

community service work with an agency

The most common method of entry is through direct application to federal, state, and local government agencies. Applicants interested in Internal Revenue Service positions should contact the Local IRS Recruitment office. It may also be possible to obtain information on openings from school placement offices and local offices of Michigan Works!.

EARNINGS AND ADVANCEMENT

Earnings of Tax Examiners, Collectors, and Revenue Agents vary according to the experience and education of the employee and the geographic location and type of employer. Earnings also vary depending on the job classification of the employee.

Nationally, in 1994, Tax Examiners, Collectors, and Revenue Agents employed by the federal government earned annual salaries of:

Promotions to higher level positions can lead to corresponding increases in pay. The salaries of these federal government workers may be higher in some urban areas.

In Michigan , Tax Examiners earned an average annual income between $25,560 and $32,424 (1995).

Tax Examiners, Collectors, and Revenue Agents employed by the State of Michigan had annual earnings of (mid 1994):

Income tax investigators and their supervisors employed by the City of Detroit had annual earnings ranging from (1994) $25,100 to $34,800.

Most Tax Examiners, Collectors, and Revenue Agents receive life, hospitalization, dental, and accident insurance; vacation, holiday, and sick leave; and retirement plans. These benefits are paid for, at least in part, by employers. Employers may also provide tuition reimbursement and administrative leave for employees taking the CPA examination.

Tax Examiners, Collectors, and Revenue Agents may advance to supervisory agents, tax hearings officers, or appellate conferees. Advancement depends on seniority, skills and training attained, demonstration of ability to perform progressively more difficult and responsible work, and supervisory ability.

EMPLOYMENT AND OUTLOOK

Nationally, there were approximately 64,300 Tax Examiners, Collectors, and Revenue Agents employed in 1996. Employment is expected to increase about as fast as the average for all occupations through the year 2005. The industry distribution for tax examiners, collectors and revenue agents looked like this:

About 1,150 Tax Examiners, Collectors, and Revenue Agents are employed in Michigan . Most were employed by the federal government, although some worked for state and local governments.

Employment of tax examiners, collectors, and revenue agents in Michigan is expected to increase about as fast as the average for all occupations through the year 2005. An average of 30 openings is expected annually, with 10 due to growth and 20 due to replacement of workers who retire, die or leave the labor force for other reasons. Additional openings will occur as workers transfer to other jobs or occupations. Presently, there is a federal hiring freeze in the four-state region which includes Michigan but this may be lifted for Revenue agents from time to time, depending on budget constraints.

MICHIGAN 'S EMPLOYMENT OUTLOOK TO 2005

SOURCES OF ADDITIONAL INFORMATION

Printed Occupational information is available upon written request from the sources below.