Two IRS IT projects on hold

Placeholder Image for Article Template

The Internal Revenue Service has postponed two major IT projects partly because of budget constraints, according to a report by the Government Accountability Office. The actions are indicative of an IRS budget that has shrunk below 2009 levels and a decrease in full-time equivalent workers.

The Information Reporting and Document Matching system, which is designed to increase voluntary tax compliance and the accuracy of income reporting, was expected to be completed in 2019 and has already gobbled up $70 million. The Return Review Program (RRP) was initially slated to be complete in 2015 but is on hold indefinitely.

"IRS is working to develop a plan to move beyond the hold on RRP, and expects to complete the plan in the summer of 2014, and will initiate the plan after that time," the GAO report states. "Moving forward, this plan will help inform IRS' funding needs for RRP."

Budget cuts have chipped away at employee training as well. According to IRS Commissioner John Koskinen, funds for training and related travel expenses have decreased by 83 percent and 87 percent, respectively, since 2010.

GAO recommended that IRS officials allocate their limited resources more effectively by assessing the revenue yield against costs for different enforcement programs. IRS leaders agreed with that strategy.

"Given the time to develop additional key data, IRS is considering how to apply interim methods, findings or approximations," the GAO report states. "They are unsure when this work will be completed; we believe our recommendation remains valid."

About the Author

Reid Davenport is an FCW editorial fellow. Connect with him on Twitter: @ReidDavenport.

FCW in Print

In the latest issue: Looking back on three decades of big stories in federal IT.


  • Anne Rung -- Commerce Department Photo

    Exit interview with Anne Rung

    The government's departing top acquisition official said she leaves behind a solid foundation on which to build more effective and efficient federal IT.

  • Charles Phalen

    Administration appoints first head of NBIB

    The National Background Investigations Bureau announced the appointment of its first director as the agency prepares to take over processing government background checks.

  • Sen. James Lankford (R-Okla.)

    Senator: Rigid hiring process pushes millennials from federal work

    Sen. James Lankford (R-Okla.) said agencies are missing out on younger workers because of the government's rigidity, particularly its protracted hiring process.

  • FCW @ 30 GPS

    FCW @ 30

    Since 1987, FCW has covered it all -- the major contracts, the disruptive technologies, the picayune scandals and the many, many people who make federal IT function. Here's a look back at six of the most significant stories.

  • Shutterstock image.

    A 'minibus' appropriations package could be in the cards

    A short-term funding bill is expected by Sept. 30 to keep the federal government operating through early December, but after that the options get more complicated.

  • Defense Secretary Ash Carter speaks at the TechCrunch Disrupt conference in San Francisco

    DOD launches new tech hub in Austin

    The DOD is opening a new Defense Innovation Unit Experimental office in Austin, Texas, while Congress debates legislation that could defund DIUx.

Reader comments

Please post your comments here. Comments are moderated, so they may not appear immediately after submitting. We will not post comments that we consider abusive or off-topic.

Please type the letters/numbers you see above

More from 1105 Public Sector Media Group