The IRS Said They Sent a Referral. So Why Is Nothing Happening?
The IRS says your issue was referred to another department, but weeks later nothing has changed. A recent TIGTA report sheds light on how internal IRS referrals work, why delays can occur, and how recent workforce reductions may increase challenges for taxpayers seeking answers.
By Brandon Lynch, EA | Former IRS Supervisory Revenue Officer
3-Minute Read
"I called the IRS weeks ago, and they told me my issue was referred to another department. Why haven't I heard anything?"
It's a question many taxpayers ask after contacting the IRS for help.
In many cases, the employee handling the call cannot resolve the issue directly. Instead, they must submit an internal referral to another IRS function for review or action. While this process is a normal part of IRS operations, a recent report issued by the Treasury Inspector General for Tax Administration (TIGTA) identified weaknesses in how certain referrals are tracked and documented.
For taxpayers, these findings help explain why some issues take longer than expected to resolve.
Not Every IRS Issue Can Be Solved During a Phone Call
Many taxpayer issues require research, review, or action by another IRS department. When that happens, the employee assisting the taxpayer may submit an internal referral and forward the matter to the appropriate function.
Common examples include:
Missing or Misapplied Payments
If a payment was applied to the wrong tax year, tax period, or account, additional research may be required before the issue can be corrected.
Amended Return or Processing Issues
Taxpayers often contact the IRS when an amended return appears stalled or has not been processed within expected timeframes. These situations frequently require review by another IRS function.
Identity Verification or Account Adjustments
Certain account issues require specialized review before changes can be made. Until that review is completed, refunds, adjustments, or other account actions may be delayed.
For taxpayers, the process may seem simple: the issue was referred, so someone should be working it. Unfortunately, the reality can be more complicated.
Why Delays Can Occur
According to TIGTA, IRS functions do not always track referrals in the same manner. The report found instances of incomplete documentation, inconsistent tracking methods, and difficulties determining the final disposition of some referrals.
In some cases reviewed by TIGTA, IRS functions were unable to readily produce documentation showing how referrals had been handled or resolved.
This does not mean referrals are routinely lost or ignored. However, it does illustrate the challenges that can arise when multiple IRS functions are involved in resolving a taxpayer's issue.
For taxpayers, those challenges may result in additional delays, repeated phone calls, or uncertainty regarding the status of a case.
Workforce Changes May Increase These Challenges
One aspect of the report deserves particular attention.
The referral issues identified by TIGTA largely occurred before the IRS experienced significant workforce reductions during 2025 and 2026.
Since then, the agency has lost thousands of employees, including many experienced personnel with years of institutional knowledge. These employees often understood not only what procedures existed, but how issues moved between departments and how complex cases were resolved in practice.
Most IRS employees are working hard to assist taxpayers and process an enormous volume of work. However, when experienced employees leave and newer employees take on increasingly complex workloads, administrative challenges can become more noticeable.
As the IRS continues to adjust to staffing changes, taxpayers may experience longer response times, additional follow-up requirements, and greater difficulty obtaining status updates on unresolved issues.
What Taxpayers Can Do
If the IRS tells you that an issue has been referred for review, don't assume that silence means progress.
Keep copies of all correspondence, document your contacts with the IRS, and maintain records of any employee identification numbers, case references, or promised actions. If a reasonable amount of time has passed without a response, follow up and request an update.
For more complex matters involving collections, liens, levies, payment plans, or unresolved account issues, professional representation may help ensure that important issues remain visible and continue moving toward resolution.
Final Thoughts
Understanding how the IRS works is often just as important as understanding the tax law itself.
Many taxpayer issues require coordination between multiple IRS departments, and delays can occur when cases move through those channels. Recent TIGTA findings highlight some of the challenges that exist within that process, while ongoing workforce changes may place additional pressure on already complex systems.
At Lynx Tax Advisors, we help taxpayers understand where their cases stand, navigate IRS procedures, and advocate for timely resolution when issues become stalled.
Because when it comes to dealing with the IRS, clarity matters.
Source:Treasury Inspector General for Tax Administration (TIGTA), Report No. 2026-10-027, June 2026.