Reply #8: Private Debt Collection Could Work for Taxes

[evilkumquat]

Ten years ago, I managed a collection agency that handled collecting delinquent county taxes. Within a couple years, we had managed to collect over $100,000, much of it from cases that were almost beyond the legal ability to collect through the ten-year statute of limitations. Quite frankly, as a private collector, we had better access to resources the local government did not.

There was no way whatsoever for us to have cost the county more in collections because everything we collected was on a commission: if we collected zero dollars, the county paid us zero dollars. We only got paid if the county paid.

I guess the collection agencies' contracts with the IRS are structured a bit differently?

Oh, and in this extremely Red county of this extremely Red state in which I live, my company lost the collections contract once we started going after local attorneys and governmental officials who were delinquent.