THE BRIDGE TO VOLUNTARY COMPLIANCEEDUCATION = EASY MONEY

JACOB FOY, NEW JERSEY DIVISION OF TAXATION

The Bridge to Voluntary Compliance• Compliance Starts from Within

• About Taxation University

• Education as a Bridge• Educating Staff• Call Center Agents• Public Outreach

Voluntary Compliance Factors• Economic:

• Tax Rates• Probability of Audit• Fines

• Psychological:• Public’s Knowledge• Social Norms and Fairness• Attitude Towards Government

See: Preconditions of Voluntary Tax Compliance – Hofman, Hoelzl, and KirchlerPMC 2012 Mar 14.

Voluntary Compliance• 83% Already Do it

• Remaining Gap is:• 7% Non-Filers• 10% Possibly Needing Enforcement

Estimates from IRS Tax Gap Study, TY 2006

What is Taxation University?

Taxation UniversityAll Education Functions Merged in 2014:

• REACH Center

• Call Center

• Outreach

It’s also a Brand…

And an Opportunity…• Who do we Educate?

• Division Staff• Call Center Agents• The Public

• How do People Digest Information?

Creating & Improving Courses

The TaxU Approach• Short Classes

• 100 Min Max

• Multiple Sessions• For Complex Material

The TaxU Approach• Quarterly Course Sign Up

• 39 Courses in Total • Always more in Development

• Subjects:• Income Tax• Business Taxes• Property Tax Relief Programs

• New: Career Majors

• Microsoft Office• Professional Development• Plain Language

Why use Plain Language?• You have an Audience that WON’T Read

• If your Web Content, Documents, or Notices are unclear, your Staff will:

• answer more phone calls• receive incomplete correspondence• mail unnecessary bills• collect less revenue

Partnerships Overview

I feel like we’re just dumbing it

down.

Call Center Agents• Difficult Job

• Poor Morale

• High Standards

• Broad Scope of Knowledge

Call Center Education• Keep it Simple

• Layman’s Terms

• Create Manuals as Needed

• Easy to Navigate Resources• Exploit Digital Strengths• Hyperlink, Hyperlink, Hyperlink

Public Outreach

Public Outreach• Explain Obligations:

• Small Business Owners• Income Tax Filers• Property Tax Relief Programs• Tax Professionals

• Don’t Forget to Take Their Feedback

Public Outreach• Tax Basics

• Recent Tax Law Changes

• Policies and Procedures

• Upcoming Notices and Projects

Voluntary Compliance & Education• Support a Voluntary Compliance Culture

• Open the Door

• Encourage Education

• Let the Public Fill your Coffers• They Will, if They Have Clear Direction

Want more information???

Jacob Foy, Team LeaderTaxation University

New Jersey Division of Taxation609.633.6015

jacob.foy@treas.nj.gov