For years, the Internal Revenue Service (IRS) has been criticized for its antiquated processes and Information Technology (IT) systems. This analysis explores the current state of the IRS’s appropriations and aims to understand how the agency is spending on programs that are critical to upgrading and modernizing their internal systems to meet the demands required…
The Inflation Reduction Act of 2022 (IRA, Public Law No: 117-169) appropriates an additional $79.6B to the Internal Revenue Service (IRS) through the end of FY2031. This includes $45.6B for tax enforcement, $25.3B for operations support, $3.2B for taxpayer services and $4.8B for business systems modernization. Additionally, the IRA appropriates $15M to the IRS to…
The 2022 Budget Reconciliation bill may ultimately contain a well- funded provision that directs the IRS to evaluate the development of an IRS-operated free tax filing system. Recent experience with similar government-run ventures indicate that the federal government is ill-equipped to develop such a system. An IRS-run tax filing system would require substantial investments in…
The American Coalition for Taxpayer Rights (ACTR) was formed in 2011 by the nation’s leading retail tax preparation and tax software companies and financial institutions, which collectively prepare and file more than 120 million of the 155 million federal tax returns annually. ACTR advocates for taxpayer rights and strengthens America’s voluntary tax compliance system.
