Page 70 - IRS Plan

Part III
Part I Part II Obj 1 Obj 2 Obj 3 Obj 4 Obj 5 Part IV Part V

Indicators of success

ü Decreased repeat noncompliance rates ü Decreased tax gap relative to the gap without
the resources provided by the IRA
ü Decreased enforcement contact with the IRS
for compliant taxpayers

ü Appropriate compliance activities for priority
segments that are sufficient to achieve
voluntary compliance

How expanded enforcement will further the energy security and clean energy
provisions of the IRA for consumers, small businesses, communities, and

industries

• We will quickly identify and address noncompliant activity, including fraud, to ensure credits
are properly claimed by eligible taxpayers.

Strategic shifts

From To
Enforcement efforts underutilize risk analytics We will use enhanced data and analytics to select
to identify high-priority segments. compliance cases based on highest risk
of noncompliance, and to choose enforcement
actions predicted to be most effective.

Enforcement is resource-constrained, with We will increase capacity and expertise
coverage rates for complex filings and high for enforcement to better address high-dollar
dollar noncompliance at historical lows. noncompliance among complex filers.

Initiatives included in this objective

Employ centralized, analytics-driven, Expand enforcement for large
3.1 risk-based methods to aid in the 3.2 corporations: The IRS will increase
selection of compliance cases: enforcement activities to help ensure tax
The IRS will use improved analytics compliance of large corporate taxpayers
to aid in the selection of cases predicted
to be at risk of noncompliance, choosing
enforcement treatments that maximize
opportunities to improve and sustain
taxpayer compliance while ensuring
fairness in selection

IRS IRA Strategic Operating Plan 63
Part II: Objectives and Initiatives