Page 87 - IRS Plan

Objective 4 to operate more effectively
Deliver cutting-edge technology, data, and analytics

Technology improvements at the IRS must always be driven by what will improve customer service
and enforcement and in a way that secures taxpayer information. The key dependency for many initiatives
in the Plan is the modernization of our core IT infrastructure, which now includes some of the oldest
information systems in the federal government. We currently cannot get the full value of the data we have
because we do not standardize or store it in a single environment. Until the passage of the IRA, the IRS
lacked the resources to bring our technology infrastructure into the current era. In addition, the inability
to plan for stable funding led to a start-and-stop approach that did not allow for sustained progress.

IRA funding will enable us to make dramatic improvements to our IT infrastructure. The multi-year nature
of the funding will allow us to successfully plan and deliver. We will design and deliver modern technology
platforms that center around data and applications, with natively integrated protective and detective
security controls. These platforms are embedded within Objectives 1, 2, 3 and 5, and will be built using
enterprise platforms and services.

Where we are heading

We will retire legacy applications and adopt in near-real time. This will provide taxpayers
modern systems. We will deliver new technology with greater transparency into the status of their
capabilities faster, at a larger scale and with better returns, refunds, payments, etc., while also
reliability and cybersecurity built in, so taxpayers enabling those who choose to leverage online
can seamlessly access their data and rest assured services to do so, thereby reducing demand
that their data is protected and secure. IRS across other service channels for those who
employees and taxpayers use more than 600 need them.
applications today, many of them over 20 years
old. Most applications are custom-built and loosely We will modernize IT Infrastructure. We
integrated, requiring employees to use multiple will implement leading technology architecture,
systems for similar tasks. We will consolidate software development, infrastructure, cloud,
dozens of core applications into secure, network and data practices while replacing critical
commercial, cloud-based platforms to provide legacy processing systems. This will automate
employees and taxpayers with new services faster and standardize many of the manual processes
and with less technical knowledge, onboarding we use today and bring the rest of our technology
time and operating costs required. As we infrastructure into the current era. Our vision for
modernize, we will streamline software infrastructure operations is to work in an “always-
development by incorporating modular designs on” mode with redundancy built into mission-
and reusability, including micro-services and critical systems. We will design all applications
application programming interfaces (APIs). We will and core platforms to have built-in resiliency,
move from a batch- to event-driven processing visibility and security to recover seamlessly
model. Historically, the IRS designed its tax return in the event of a mistake, outage or disaster—
pipeline using legacy programming languages to with minimal impact to taxpayers or employees.
manage stacks of paper arriving at regional We will improve our ability to detect and address
service centers. We will change the underlying issues before they interrupt services. As we
logic and processing to post transactions to a automate and standardize the environment across
database—a modern approach that will allow cloud and vendor environments, we will provision
taxpayers and employees to update accounts, new secured, monitored and fully configured
send payments and resolve enforcement actions, servers on demand. This change will allow us to
often via self-service, and to see the changes reliably scale service, such as provisioning

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