The IRS Independent Office of Appeals has announced a two-year pilot program for Post Appeals Mediation (PAM), starting October 1, 2025.
This initiative aims to enhance Alternative Dispute Resolution options for taxpayers by offering an accelerated mediation session following an unsuccessful Appeals proceeding, providing a final opportunity to negotiate before potential litigation.
IRS Promotes PAM
The PAM pilot program is designed to make the mediation process more appealing and efficient for taxpayers.
By allowing taxpayers to request mediation after an unsuccessful Appeals proceeding, the IRS hopes to facilitate quicker resolutions and reduce the need for costly litigation.
The program involves a one-day mediation session led by an impartial mediator from the IRS Independent Office of Appeals.
Appeals Team
Under this new pilot, cases will be reassigned to a fresh Appeals team unconnected with the original case.
This change is intended to provide a new perspective and facilitate a more effective resolution process.
The goal is not to create another appeal but rather to explore all possible resolution paths before considering litigation.
Enhancing Taxpayer Experience
The IRS’s commitment to improving taxpayer experience is evident in its efforts to increase the usage of its five ADR programs, including PAM.
John Hinding, Acting Chief of Appeals, emphasized that these programs offer cost-effective solutions for resolving tax disputes while making optimal use of IRS resources.
Program Highlights
- PAM offers accelerated mediation sessions after unsuccessful appeals.
- Mediations are facilitated by impartial mediators with no prior connection to the case.
- Taxpayers can bring their own co-mediator at their expense.
- Cases are reassigned to new teams for fresh perspectives during mediation.
- The program aims to reduce litigation costs and improve taxpayer trust in the IRS process.
Broader Implications
This initiative reflects broader efforts within the U.S. federal government framework aimed at enhancing efficiency in tax administration.
By streamlining dispute resolutions through programs like PAM, both taxpayers and the government can benefit from reduced uncertainty and improved compliance rates.
Such measures contribute positively towards economic interests by minimizing potential disruptions caused by prolonged tax controversies.
Additional Reading
To Sum Up
The launch of the Post Appeals Mediation pilot program marks a significant step towards improving dispute resolution processes within the IRS framework.
By offering expedited mediation sessions with fresh perspectives on cases, this initiative aims not only at reducing litigation costs but also enhancing overall taxpayer satisfaction through efficient service delivery mechanisms.
Sources: Internal Revenue Service.
Prepared by Ivan Alexander Golden, Founder of THX News™, an independent news organization delivering timely insights from global official sources. Combines AI-analyzed research with human-edited accuracy and context.
