AADMO to Release IRS Training Video for Credit Counseling Agency Investigations

The American Association of Debt Management Organizations (AADMO) is making available to the industry, media and public the IRS training video used for credit counseling investigations.

This internal training video was developed by the IRS in conjunction with the Attorneys General from various States and the FTC. This video, of several hours length, was broadcast within the IRS, shared with the States, and sent to Congressional staff.

“This is the inside story. This is vital information for lawyers representing a 501(c)(3) credit counseling agency, anyone who operates a credit counseling agency and anyone who serves on the board of an agency”, said Mark Guimond, Executive Director of the AADMO.

Quotes from the video include:

• “This is not an area of exempt organization law that requires a great deal of legal research. You won’t be staying up into the night reading treatises, legions of court cases and mountains of private letter rulings. We rely on two revenue rulings and two court cases.”

• “It is our hope that you, our front line troops, will be prepared to perform your pivotal role.”

• “?the negotiator, in large measure, works for the creditor?he facilitates the collection of the creditor’s accounts.”

• “There is no authority for viewing interest rate intercession, by itself, as furthering an exempt purpose.”

“This video tells the IRS agents what to look for in their investigations. It should be equally educational for credit counseling agencies in their efforts to comply with tax-exemption law,” added Guimond.