Nina E. Olson, the taxpayer advocate, released the annual report to Congress, which addressed a need for the Internal Revenue Service (IRS) to help small nonprofit groups understand its rules. "Smaller EOs frequently lack professional tax guidance. The IRS has increased enforcement actions against EOs [tax-exempt organizations] and the resources dedicated thereto. However, resources devoted to EO education and outreach, which were never adequate, have continued to decline."

Furthermore, "the National Taxpayer Advocate believes the IRS can and should do more to help EOs, particularly small organizations, comply with the complex requirements to which they are subject. The National Taxpayer Advocate urges the IRS to conduct research to assess the service needs and preferences of the spectrum of EOs and to develop a strategic plan to enhance the scope and effectiveness of its outreach to these organizations.

To read the report, click here.