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CMS-1403-FC
The FPLP is a collection and enforcement tool used by
the IRS for individuals that have received all requisite
notification of tax delinquency and who have either
exhausted or neglected to use their respective appeal
rights; therefore, the FPLP is only applied after all
previous IRS collections efforts have failed. Accordingly,
the FPLP is an automated levy program where certain
delinquent taxpayers are systematically matched and levied
on their Federal payments disbursed by Treasury’s FMS.
In 2001, we implemented the FPLP process for Medicare
Part C and vendor payments, and in FY 2009, we will
implement the FPLP process for payments made to providers
and suppliers reimbursed under Part A and Part B of the
Medicare program. However, the FPLP does not allow CMS to
offset a payment when an individual reassigns his or her
benefits to a third-party, such as a group practice where
an existing Federal tax delinquency exists.
Consistent with statutory authority found under
sections 1866(j)(1)(A) and 1871 of the Act, we believe that
we have the authority to establish and make changes to the
enrollment process for providers and suppliers of service.
Accordingly, to ensure that the Federal government is able
to recoup delinquent Federal tax debts from physicians and
NPPs who are enrolled in the Medicare program and are
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