IRS Appeals Technical Guidance Coordinators: Understanding Their Role | Brian Gilroy

When facing a complex tax dispute with the IRS, understanding how the Independent Office of Appeals operates can make the difference between a favorable settlement and an unfavorable outcome.

One of the most important—yet least understood—aspects of Appeals is the Technical Guidance (TG) program and the role of Technical Guidance Coordinators (TGCs).

These specialized coordinators oversee how Appeals handles recurring and highly technical issues, ensuring national consistency while balancing taxpayer rights.

Key Takeaways

• The Taxpayer First Act of 2019 strengthened IRS Appeals’ independence and guaranteed taxpayer access to impartial dispute resolution
• Technical Guidance Coordinators oversee complex and recurring issues to ensure national consistency in Appeals settlements
• Coordinated Issues with Review and Concurrence (R&C) require Technical Specialist approval before settlement, adding oversight but sometimes creating delays
• Subject Matter Expert (SME) Issues bring specialized technical knowledge to Appeals cases but don’t automatically require R&C approval

Appeals After the Taxpayer First Act

The IRS Independent Office of Appeals has long served as a cornerstone of U.S. tax administration, providing taxpayers with an impartial forum to resolve disputes without litigation.

However, the Taxpayer First Act (TFA) of 2019 formally codified and significantly strengthened Appeals’ role. The TFA guaranteed that taxpayers have a statutory right to access Appeals in most disputes and reinforced its independence from IRS compliance and enforcement divisions.

Appeals’ Mission Under the TFA

According to the Internal Revenue Manual (IRM 8.1.1.1.2, updated January 2024), Appeals’ mission is:

“To resolve Federal tax controversies without litigation on a basis which is fair and impartial to both the Government and the taxpayer, promotes a consistent application and interpretation of, and voluntary compliance with, the Federal tax laws, and enhances public confidence in the integrity and efficiency of the IRS.”

This mission statement highlights Appeals’ dual responsibility:

• Safeguarding taxpayer rights through impartial resolution
• Ensuring consistent application of tax law nationwide

This balance between individual fairness and national consistency lies at the heart of the Technical Guidance program.

Types of Cases Appeals Handles

The IRS Independent Office of Appeals reviews a broad spectrum of tax controversies, including:

• Examination disputes (audits): Where taxpayers challenge adjustments proposed by IRS examiners
• Collection disputes: Including liens, levies, installment agreements, and offers in compromise
• Penalty disputes: Covering accuracy-related penalties, fraud penalties, and late-filing or payment penalties
• Innocent spouse relief cases: Requests for relief from joint tax liability
• Docketed Tax Court cases: Where a petition has been filed but the case is referred back to Appeals for possible resolution
• Specialized disputes: Corporate reorganizations, partnership allocations, transfer pricing, and valuation controversies

Among these diverse case types, a special category involves Appeals Technical Guidance (TG)—cases featuring recurring issues, complex technical questions, or matters where the IRS requires national consistency.

History of Appeals Technical Guidance

The Technical Guidance (TG) program emerged in the 1990s in response to a growing challenge: Appeals Officers in different parts of the country were resolving identical issues in different ways.

This inconsistency created fundamental unfairness. Two taxpayers with identical facts might receive drastically different settlement terms simply based on geographic location or which Appeals Officer handled their case.

Why TG Was Created

To address this problem, Appeals established the Technical Guidance function, supported by:

• Technical Guidance Coordinators (TGCs)
• Technical Specialists with deep expertise in specific areas

These professionals assumed responsibility for:

• Serving as subject matter experts on complex issues
• Ensuring national consistency in settlement positions
• Developing settlement guidelines for recurring issues
• Advising Appeals Officers and managers on highly technical matters

Today, TG is an established and essential part of Appeals’ structure, handling both Coordinated Issues and Subject Matter Expert (SME) Issues.

The Role of an Appeals Technical Guidance Coordinator

A Technical Guidance Coordinator (TGC) serves as the linchpin of the TG program. These are not ordinary Appeals Officers—they are recognized subject matter experts responsible for overseeing how Appeals handles recurring or exceptionally complex tax issues.

Core Responsibilities of a TGC

• Coordinate Appeals’ position on recurring issues across the country
• Review settlement proposals in designated cases to ensure national consistency
• Consult with Appeals Officers on complex matters requiring specialized technical knowledge
• Develop Appeals Settlement Guidelines (ASGs) in consultation with IRS Chief Counsel
• Act as a bridge between field Appeals Officers and IRS national office policy

TGCs become especially critical when Appeals deals with Coordinated Issues, Coordinated Issues with Review and Concurrence (R&C), and SME Issues.

Coordinated Issues in Appeals Technical Guidance

What Are Coordinated Issues?

Appeals Coordinated Issues (ACIs) are recurring, high-impact tax issues where the IRS wants to ensure uniform nationwide treatment. These typically involve significant revenue implications or complex legal questions affecting many taxpayers.

Examples of Coordinated Issues include:

• Corporate tax shelter transactions
• Transfer pricing adjustments in multinational corporations
• Partnership allocation disputes
• Specialized tax credits (Research & Development credit, energy credits)
• Valuation disputes involving intangible assets

How Coordinated Issues Work

When an issue is designated as a Coordinated Issue:

1. A Technical Specialist is assigned to oversee the issue
2. The specialist develops an Appeals Settlement Guideline (ASG) or Appeals Technical Position (ATP)
3. The ASG outlines recommended settlement approaches based on legal analysis and litigation hazards
4. Appeals Officers use these guidelines to ensure consistent resolution across taxpayers facing the same issue

This structure prevents one taxpayer from receiving a highly favorable settlement while another with identical facts receives significantly worse terms.

Coordinated Issues with Review and Concurrence (R&C)

What Is Review and Concurrence?

Review and Concurrence (R&C) represents a heightened level of oversight for certain Appeals Coordinated Issues. When an issue is designated as ACI-R&C, Appeals Officers cannot finalize settlements without first obtaining concurrence from the assigned Technical Specialist.

The R&C Process

1. Settlement Development: The Appeals Officer develops a proposed settlement based on the facts, law, and litigation hazards
2. Submission for Review: The proposal is submitted to the Technical Specialist for review
3. Technical Analysis: The Specialist evaluates the facts, applicable law, and national consistency implications
4. Concurrence Decision: The Specialist either:
   • Concurs with the settlement
   • Suggests revisions to align with national guidelines
   • Withholds concurrence if the settlement conflicts with established positions
5. Case Closure: The case cannot be closed until concurrence is documented

R&C ensures consistency in high-stakes cases but adds an additional layer of oversight that can extend case timelines.

Subject Matter Expert (SME) Issues in Technical Guidance

What Are SME Issues?

In Appeals, Subject Matter Expert (SME) Issues are matters requiring expertise from specialized technical disciplines that go beyond standard tax law knowledge.

Common SME disciplines include:

• Engineering: Cost segregation studies, property valuation, depreciation schedules
• Economics: Transfer pricing analysis, intangible asset valuation, economic substance doctrine
• Financial products: Derivatives, complex financial instruments, hedging transactions
• International taxation: Treaty interpretation, cross-border transactions, foreign tax credit calculations

The TGC’s Role in SME Issues

When an SME Issue is identified and referred to Technical Guidance:

• A Technical Specialist with relevant expertise is assigned
• The Specialist may serve as a consultant (providing technical input and research) or as a team member (participating directly in case analysis and negotiations)
• The goal is to provide technical depth while preserving the Appeals Officer’s independence in settlement decisions

Critical distinction: SME Issues do not automatically require Review and Concurrence. Unless the issue is also designated as ACI-R&C, the Technical Specialist’s role is primarily advisory, not binding. The Appeals Officer retains settlement authority.

Why Some Tax Practitioners Criticize Review and Concurrence

While R&C promotes uniformity in tax administration, it has generated significant criticism from tax practitioners and the organized tax bar.

Key Concerns from the Tax Bar

1. Perceived Erosion of Independence

Appeals is valued precisely because of its independence from IRS compliance functions. Critics argue that mandatory concurrence requirements reduce Appeals Officers’ discretion and shift effective control to specialists who may be more aligned with enforcement positions.

2. Reduced Flexibility for Fact-Specific Cases

R&C can prevent nuanced settlements that account for specific taxpayer circumstances. The emphasis on national consistency may force “one-size-fits-all” outcomes that don’t reflect the unique facts of individual cases.

3. Delays and Inefficiency

The additional review and concurrence step often extends case resolution timelines. For taxpayers facing collection activity or business uncertainty, these delays can be costly and stressful.

4. Policy Over Substance

Critics suggest that R&C makes Appeals feel more like an extension of IRS enforcement policy rather than a neutral dispute resolution forum, undermining its fundamental purpose.

Appeals’ Perspective

Appeals and the IRS maintain that national consistency is critical—especially in areas involving:

• Billions of dollars in potential tax revenue
• Complex legal issues with far-reaching implications
• Issues where inconsistent settlements could create systemic unfairness

The IRS views R&C as reinforcing fairness across the entire tax system, not eroding it. Without consistency mechanisms, taxpayers with identical cases might receive vastly different treatment based solely on geographic location or timing.

Balancing Independence and Consistency

The tension between Appeals’ independence and the IRS’s need for consistency remains an ongoing challenge in tax administration.

• Consistency ensures fairness across taxpayers, preventing “whipsaw” outcomes where similarly situated taxpayers receive dramatically different settlements
• Independence ensures fairness to individual taxpayers, allowing Appeals Officers to resolve disputes based on the unique facts and circumstances of each case

The Technical Guidance program, along with TGCs and Technical Specialists, represents Appeals’ attempt to balance these competing values—though not without continuing debate.

How Understanding TG Impacts Your Appeals Case

For taxpayers and their representatives, understanding the Technical Guidance structure is essential when dealing with complex Appeals cases.

Strategic Considerations

• Identify whether your issue is Coordinated or SME: This determines the level of oversight and whether R&C applies
• Understand applicable Appeals Settlement Guidelines: Knowing the national position helps frame realistic settlement expectations
• Build relationships with Technical Specialists: In R&C cases, the Specialist’s concurrence is essential
• Prepare for extended timelines: R&C cases typically take longer than standard Appeals matters
• Work with experienced representation: Navigating TG issues requires sophisticated understanding of both substantive tax law and IRS procedures

Conclusion: The Critical Role of Technical Guidance in Modern Appeals

The IRS Independent Office of Appeals serves as a critical safeguard in tax administration, offering taxpayers a fair, impartial, and independent forum to resolve disputes without litigation.

Within this structure, the Technical Guidance program ensures that complex or recurring issues receive consistent treatment across the country. At the center of this effort are Technical Guidance Coordinators and Technical Specialists, who manage Coordinated Issues, provide subject matter expertise, and—in ACI-R&C cases—exercise concurrence authority.

Understanding how TG works—especially the distinction between Coordinated Issues, Review and Concurrence requirements, and SME Issues—is vital for navigating high-stakes tax disputes. While debate continues over R&C’s impact on Appeals’ independence, the Technical Guidance program reflects Appeals’ ongoing mission: to resolve tax controversies fairly, impartially, and consistently, while maintaining public trust in the IRS.

Facing a complex Appeals case involving Coordinated Issues or technical matters? Contact Brian Gilroy—a former IRS Appeals Officer who is also a Board Certified Tax Attorney, CPA, and EA—for experienced representation that understands both the substantive law and the internal Appeals process.

Frequently Asked Questions About Technical Guidance in IRS Appeals

What is a Technical Guidance Coordinator in IRS Appeals?

A Technical Guidance Coordinator (TGC) is a subject matter expert within IRS Appeals responsible for coordinating the agency’s position on complex and recurring tax issues. TGCs develop settlement guidelines, consult with Appeals Officers, and ensure national consistency in how similar cases are resolved.

What are Coordinated Issues in Appeals?

Appeals Coordinated Issues (ACIs) are recurring, high-impact tax issues where the IRS wants to ensure uniform treatment across all taxpayers. Examples include corporate tax shelters, transfer pricing disputes, and specialized tax credits. Technical Specialists develop Appeals Settlement Guidelines to promote consistency.

What does Review and Concurrence (R&C) mean?

Review and Concurrence (R&C) is a requirement for certain Coordinated Issues (ACI-R&C) where Appeals Officers must obtain approval from a Technical Specialist before finalizing a settlement. This ensures settlements align with national guidelines but can extend case timelines.

How are SME Issues different from Coordinated Issues?

Subject Matter Expert (SME) Issues require specialized technical knowledge in areas like engineering, economics, or international taxation. A Technical Specialist provides expertise but, unlike ACI-R&C issues, SME Issues don’t automatically require Review and Concurrence approval.

Why do tax practitioners criticize the R&C process?

Tax practitioners often criticize R&C for reducing Appeals’ independence, limiting flexibility for fact-specific settlements, causing delays, and making Appeals feel more like an enforcement function than an impartial dispute resolution forum.

How can I tell if my Appeals case involves Technical Guidance?

Your Appeals Officer should inform you if your case involves a Coordinated Issue, R&C requirement, or SME referral. Issues involving complex technical matters, recurring tax positions, or significant revenue implications are most likely to involve Technical Guidance. Working with experienced tax counsel who understands TG procedures is essential for these cases.