IRS overestimated Direct File costs last year by $45 million
A Treasury watchdog report found that the tax agency projected $61.2 million in costs for the free electronic filing tool in fiscal 2025 but spent just $16.2…
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IRS faces inventory backlog, IT project delays this filing season, watchdog says
A memo from Treasury’s deputy inspector general for audit warns the tax agency that massive staff cuts and the government shutdown have put the IRS behind the…
House lawmakers renew IRS push to digitize paper returns
The BARCODE Efficiency Act is a companion to 2025 Senate legislation requiring scannable code on paper forms and the use of optical character recognition tech.
House bill seeks AI boost for IRS to flag tax fraud
The DETECT Act asks the GAO to report on AI’s potential for empowering the tax agency to identify instances of fraud.
Nearly half of RIF’d IRS probationary staffers had ‘fully successful’ or better reviews, watchdog finds
The other half that were sent termination notices in February had no performance rating on record, per the Treasury Inspector General for Tax Administration.
IRS dumps kiosks at tax centers after watchdog found dozens of inoperable machines
The tax agency canceled a contract with the kiosk vendor following the Treasury Inspector General for Tax Administration’s initial report.
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IRS has lost 25% of its IT workforce since Trump took office, watchdog finds
The tax agency overall is down a quarter of its staff through a combination of deferred resignations, retirements and RIFs, according to new data.
IRS criminal division can better manage seized digital assets, watchdog finds
The Treasury Inspector General for Tax Administration said the IRS Criminal Investigation unit has some work to do in how it tracks and safeguards virtual currencies it…
IRS data error likely affected millions of Education Department forms
A Treasury watchdog report reveals how inaccurate tax information impacted FAFSA requests, offering a warning to agencies as they follow a Trump executive order to spur data…
Taxpayer Advocate Service on track for summer launch of new case management platform
Replacing a 20-year-old system with a new product called Phoenix should help the independent IRS body more efficiently manage its ever-growing caseload.