Page 15 - IRS Plan
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Overview of the Plan
This Strategic Operating Plan (also referred the additional resources provided under the IRA to
to as the “Plan”) outlines how we will deploy the address high-dollar compliance issues, such as
investments in the IRA to better serve taxpayers, those related to complex partnership structures,
tax professionals, and the broader tax ecosystem. large corporations, and high-income individuals.
We will improve the taxpayer experience through
better customer service, clearer guidance on how The Congressional Budget Office estimates that
to correctly file taxes, increased options for filing the additional $80 billion provided to the IRS by
electronically, and robust online accounts to take the IRA will increase federal revenue by more than
care of business quickly and independently. We $180 billion in the decade ahead, considering only
will utilize tailored solutions to meet the diverse direct enforcement revenue based on additional
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needs and preferences of all taxpayer groups. staffing. We believe the actual increase will be
greater, since all our efforts as outlined in this
Congress has given us responsibility to administer, plan—including in the areas of service, issue
as effectively and efficiently as possible, more than resolution and effective enforcement—will increase
150 credits, deductions and other tax preferences overall tax compliance. We will also use data and
in the tax law (generally referred to as “incentives” technology to ensure our resources are focused on
throughout this Plan). We know that many factors noncompliant taxpayers. Through both service and
drive unintentional noncompliance and prevent enforcement efforts, ensuring taxpayers get their
taxpayers from claiming the incentives for which taxes right will help address the tax gap over time.
they are eligible. We will significantly improve the For a more detailed allocation of funds of the Plan,
services we provide and tailor our compliance work please see Part III.
in new ways. Taxpayers will have the tools,
information and assistance needed to get their tax To enable improved taxpayer services and
filings right – both in paying what they owe and compliance, we must deliver technology
claiming the incentives for which they are eligible. capabilities at a faster pace and bigger scale than
Our employees will likewise have the data, we have achieved before. We will invest in new
analytics, and tools to ensure compliance and technology, building on contemporary foundational
fairness in the tax system. platforms, with modern architectures designed to
meet our future needs. This will require careful
Our work to improve service must also be coupled coordination between delivering new capabilities
with efforts to improve compliance by those who and modernizing or retiring legacy platforms. It will
choose not to meet their obligations. The IRA also require shifting to an IT delivery model that
acknowledges that an adequately funded federal better integrates business unit perspectives to
tax administration will generate significant revenue deliver faster and better results to improve services
for the country. The federal government loses to taxpayers. While ensuring the continued privacy
nearly half a trillion dollars each year due to and security of taxpayer data, we will enhance our
taxpayer noncompliance. This investment will use of data and analytics to drive operations and
significantly improve the IRS’s ability to address decision-making. Improved data analytics will
the tax gap. better position us to optimize operations for
taxpayers and employees alike.
We will devote resources to enforcing the tax laws
against taxpayers who attempt to avoid paying We will work to attract and retain the best talent as
their tax obligations. All compliance efforts will be we transition to being a modern, digitally capable,
consistent with the Secretary of the Treasury’s customer-centric agency. We will develop and
August 10, 2022, directive that IRA resources are support a workforce that has modern tools to do its
not used to increase the share of small businesses job effectively, broad knowledge of complex tax
or households earning $400,000 or less that are issues, analytical capabilities to work efficiently
audited relative to historical levels. We will use and effectively, and the organizational culture
8 IRS IRA Strategic Operating Plan
Part I: Executive Summary