US Tax Agency Failing to Properly Monitor Internal Investments

A report by GAO reveals that IRS is failing to prioritize and track its own internal investments because it lacks adequate procedures to do so.

WASHINGTON (Sputnik) — The US Internal Revenue Service (IRS) is failing to prioritize and track its own internal investments because it lacks adequate procedures to do so, a Government Accountability Office (GAO) report stated.

"IRS does not have a structured process for its modernization activities, because, according to officials, there are fewer competing activities than for operations activities," the report said on Wednesday.

While the IRS has developed a structured process for allocating funding to its operations activities consistent with best practices, it has not fully documented this process, the GAO pointed out.

"In addition, IRS does not have a structured process for its modernization activities, because, according to officials, there are fewer competing activities than for operations activities," the report noted.

The IRS relies extensively on IT systems to annually collect more than $2 trillion in taxes, distribute more than $300 billion in refunds and, for fiscal year 2016, the IRS planned to spend approximately $2.7 billion for IT investments, the GAO noted.